The gaming industry has undergone a significant shift over the past few decades, from the pay-to-play model to the free-to-play model, and now, to the rise of Paid Competitive Gaming (PCG) which is expected to reach $16 billion by 2024, as per a report.
"Global Paid Competitive Gaming Report 2023," a report by gaming market research firm Newzoo and gaming platform MPL was launched last week at the Game Developer Conference in San Francisco.
The report chronicles the rise of this promising gaming segment and trends in this space. It is based on a consulting analysis by Newzoo and customised research conducted by the company in 2022 on 24,562 respondents across 12 of the largest gaming markets.
The PCG market is growing at a CAGR of 31.9 percent from 2021 to 2024, which is six times faster than the overall global mobile games market, the report said. The mobile games market is forecast to reach $223 billion by 2024 at a 4.9 percent CAGR.
PCG offers gamers a unique competitive experience, allowing them to compete in low to high-stakes skill-based games against other players worldwide, beyond traditional games. Real-money prize pools allow players to monetise their gaming abilities, and effective skill-matching ensures a fair and competitive playing field for all participants.
Tony Habschmidt, Head of Consulting at Newzoo, says, "PCG has become a burgeoning example of this, and focuses on offering players the ability to monetise their experiences with and through other players, opening up the potential to be rewarded for their skills. As new players are drawn to it from traditional forms of gaming and from adjacent entertainment realms like sports and social media, PCG will democratise and redefine the industry."
The report highlights that PCG represents an exciting new segment of the gaming industry, and with publishers embracing new and innovative models, it is set to change the way gamers monetise their experiences. The report also indicates that PCG is drawing new players from traditional forms of gaming and adjacent entertainment realms like sports and social media.
The PCG market is expected to continue its rapid growth, presenting a new and unique opportunity for gamers to monetise their skills while enjoying a competitive gaming experience. As the gaming industry continues to evolve, PCG is poised to become a rising star, bringing in new players and redefining the industry.
