In 2014, Frost & Sullivan noted that mobile gaming in Southeast Asia experienced an impressive growth, with US$1 billion of total revenue. This was reported to be the best growth in the world, compared to any other region.
The good news is, it’s unlikely to stop here, as this revenue is predicted to reach US$7 billion by 2019.
Reasons for mobile gaming growth
Frost & Sullivan are sure that the mobile gaming trend in Southeast Asia will keep growing in the next few years. Although Malaysia and Singapore still dominate the industry, Indonesia and Thailand are two rocketing players who’ll be there in no time, while other countries such as Lao PDR, Cambodia, and Myanmar are still in the initial phase.
The shift from feature phones to smartphones has made it easy for people in the region to access games. The trend of playing games on social media also grows. The interesting fact is, although the tablet-market doesn’t level with that of smartphones, tablet-users contribute significantly to the revenue of mobile gaming.
In Southeast Asia, tablets result in 4.2 times bigger ARPU (average revenue per user) than the use of smartphones. However, with more size and specification, it’s almost certain that smartphones will exceed the percentage of tablets by 2019.
Problems with mobile games in Southeast Asia
Payments is still the main issue in most Southeast Asian countries, since credit cards aren’t that popular for online shopping. In Singapore and Malaysia, the number hardly reaches 10 per cent, let alone in other countries.
Nonetheless, the carrier billing method is currently blossoming in some countries, including Indonesia. Other solutions such as Bitcoin are currently growing in the region.
What makes mobile games tick
When it comes to operating systems, Android still dominates the game. It’s popularity is almost unparalleled, thanks to the flood of Chinese Android-based products in the regional market. Although most of them are categorised as low-end phones, forcing developers to think out of the box to design great games with low-end hardware requirement.
Another interesting thing to note is that numerous games are run on a messenger platform. LINE has enjoyed a huge benefit due to this move, as many of its games become people’s favorites, especially in Thailand and Indonesia. Social-conferencing platform-based approach indeed is still new, and quite successful, making players like Facebook Messenger lurk around to hit at the right moment.
Last but not least, social media also plays an important role in the growth of mobile gaming penetration. Jakarta, Bangkok and Kuala Lumpur are three cities with the most Facebook users. Social media-based games are also in the spotlight, thanks to the helpful marketing done by social media.
The post Frost & Sullivan: Mobile Gaming in Southeast Asia Will Reach $7 Billion by 2019 first appeared on DailySocial.