GAMING-RELATED MARKETING

African gaming market set to exceed US$1-billion in value next year

By our News Team | 2023

New study finds Nigeria leads the way in total annual gaming revenue, followed by South Africa, Kenya, Ethiopia and Ghana.

The sub-Saharan African gaming market is set to surpass US$1-billion in value by 2024 and will keep growing in the subsequent years.

This is according to a new report commissioned by Carry1st, an Africa-focused publisher of games and digital content, in collaboration with Newzoo, a provider of games market data and insights.

Photo by Pavel Danilyuk from Pexels

The pair believe the continued growth will be driven by increased mobile gaming revenue, which is outpacing the revenue generated by console and PC gaming combined. Mobile revenue is projected to reach over $1-billion by 2024 and will continue to grow in the following year by an estimated 10.6%.

“Historically, it has been nearly impossible to get reliable data on the African market, so we’re pleased to partner with Newzoo to share this report,” says Carry1st CEO and Co-founder, Cordel Robbin-Coker.

“This latest data demonstrates that Africa continues to be the fastest-growing mobile gaming market in the world. This is even more pronounced, [given that] Western markets [are] seeing their first signs of slowed growth and even decline.”

Africa to follow in the footsteps of Southeast Asia

“With a massive influx of internet users and rapid adoption of digital payments, Africa is poised to follow in the footsteps of Southeast Asia and emerge as a major player in the global gaming industry.”

Examining 10 major countries in the region – Nigeria, South Africa, Kenya, Ethiopia, Ghana, Côte d’Ivoire, Angola, Tanzania, Cameroon and Uganda – based on gaming revenues in 2022, the report reveals:

Nigeria leads the way in total annual gaming revenue ($249-million), followed by South Africa ($236-million), Kenya ($46-million), Ethiopia ($42-million), and Ghana ($34-million).
Ethiopia had the highest YoY growth in 2022, growing 13% compared to the slowest-growing Uganda, which grew 6%.
Nigeria and South Africa contribute twice the revenue of the other eight top countries combined.
All 10 countries in the study saw YoY% growth.

Says Tom Wijman, Lead Games Analyst at Newzoo: “The African games market is a story of potential. For the last three years, growth in the market has outpaced the global average and it is set to keep doing so for the coming years.

“Saying that, it’s also a challenging region to find success in. Sub-Saharan Africa houses 7% of the global player audience, but its players spend less than half a percent of global gaming revenues.

“Infrastructural improvements will ensure that Africa’s player audience will continue to grow rapidly, whereas adoption of digital payments and inclusion of these payment methods in gaming platforms will ensure players can convert into paying gamers.”

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