New Delhi: Whether it is playing on a rummy app or streaming a web series on an OTT platform, it seems that Indians are enjoying their digital life to the fullest. Various agencies carry out a lot of studies to find out our relationship with our gadgets and devices. The findings may be interesting to read, but they are even more important for businesses.
Market insights are crucial for businesses, as these macro-level findings dictate a lot of their strategies. For instance, the preferences of gamers when it comes to casual or fantasy games or poker or rummy game inspire the next batch of game developers. The fact that Indians are spending as much as 20% of their time on social media and entertainment (as per Nielsen report) is of interest to many industry watchers.
A look at different studies conducted in recent years confirms the average Indian’s affinity towards digital entertainment.
More than time pass
In a research done by an IIM Ahmedabad faculty and Esya Centre in August last year, it was observed that Indians spend a fifth of their active hours on social media, OTT platforms and online gaming. In terms of minutes, game time amounts to 46 minutes every day. App data of over 20.5 lakh users were analysed, while respondents from 10 cities were surveyed.
When it comes to online gaming, it was found that men spent 12 minutes more than women. However, women spent twice as much time per gaming session as men. 99% of gamers are more engrossed in casual games and card games. The respondents are spending less than ₹100 a month on online games. However, given India’s large gaming community, it amounts to a large figure.
AC Nielsen, along with AbsolutData, found that Indians spend more time on social media than on their personal emails. While socialising is high on the agenda, 51% of the respondents use social media to play online games as well. This indicates that social media continues to be a fertile breeding ground for expanding a game’s reach.
A study by the social media platform Local Circles shows that social media, OTT platforms and gaming are the holy trinity of entertainment for teenage Indians, as confirmed by responding parents. Six out of every 10 youngsters between the ages of 9 and 17 spend more than three hours on these forms of entertainment.
While researchers dish out the results, it is worth probing why digital and gaming entertainment is getting so much attention.
Reasons behind the pattern
Gamers in India see a whole range of benefits in gaming. According to the Esya Centre/IIM Ahmedabad survey, 75% of the respondents have skill development as the motivation, be it through sports research, motor skills or number-crunching.
But undoubtedly, affordable internet plans and high internet penetration have been the bedrock for this growing shift in pattern. At 71% penetration, every household likely has more than one smartphone in India.
In a closely-knit society like India, staying in touch is important. Online gaming and digital entertainment have become part of the country’s social culture and have earned popularity due to peer recommendations as well. Besides, entertainment like gaming fosters the spirit of community-building. Like-minded individuals gel together over their common interest in specific games, be it a multiplayer shooting game or a round of rummy on popular platforms like RummyPrime.
All these factors explain the rising prominence of online games as a mode of entertainment in India.
Game time is prime time
As Indians spend more time on digital entertainment like online games, it is strengthening the gaming industry incredibly. In the three years till 2023, the gaming industry in India grew at 28% CAGR, posting a market size of $16,428 crores during the year. It is expected to more than double in the five years till FY2028. This also underlines healthy growth in real-money games as well. EY’s latest study indicates that the percentage of real-money gamers will cross 30% next year, up from 22% in FY2022.
While looking at the popularity of gaming in India, the importance of smartphones must be reiterated. Thanks to the aforementioned 71% smartphone penetration, 94% of Indian gamers are playing on mobiles. The rise of real-money gaming and mobile gaming has inspired developers to think along those lines. This is apparent from the fact that there are more than 400 startups in the real-money games segment alone!
Apart from real-money games like poker and rummy, India has also emerged as the fantasy sports market in the world, with more than 180 million users. Not surprisingly, India has so far produced three gaming unicorns and raised more than $2.8 billion from investors in the last five years.
To sum up
The great Indian gaming and entertainment exodus has drawn international investor attention to the market. It has motivated hundreds of new gaming studios and developers and generated millions of employment opportunities. As the largest gaming market in terms of app downloads, India is emerging as a vibrant market in the gaming and entertainment sectors.