Casual games dominate the gaming industry, with new data from PwC’s report revealing that “traditional” games only contribute to 26.7% of the revenue in the US market. The majority of the industry’s $54.1 billion revenue in 2022 came from social and casual games, while esports accounted for just 0.8%. Although the industry saw a sluggish 2.4% year-on-year growth, social and casual gaming continues to hold a significant share, generating an impressive $37.1 billion annually. In-app game advertising plays a major role in this revenue, bringing in $19.3 billion.

While traditional gaming still generated a substantial $15 billion, it experienced a 0.8% decline in 2022 due to market corrections following the Covid-19 spike. The report predicts a slow recovery with a concerning 1.9% growth rate, causing traditional gaming’s share to drop to 22.8% by 2027. Despite the decline, traditional gaming still outperforms the US movie box office revenue by nearly three times, as movies generated $5.99 billion, whereas the gaming industry is valued at $25.8 billion.

In terms of platforms, consoles earned $9.5 billion in 2022, surpassing the PC’s $5.5 billion. However, the PC gaming sector experienced negative growth across all areas, with 85% of its revenue coming from micro-transactions. In contrast, esports, although contributing half a billion dollars, represented less than 1% of the total gaming revenue, indicating its relatively minor impact.

Overall, the dominance of casual games in the market showcases their appeal and revenue potential, with PwC’s report forecasting their market share to increase to 74% by 2027. The gaming industry continues to demonstrate its prominence and economic superiority compared to other entertainment sectors.