How Gaming Became a Very Profitable Niche
Gaming has managed to weave its way into just about every area of pop culture. It is profitable as you will find it in TV, music, sports, and more. The gaming industry currently brings in over $200 billion as revenue. There are more than 2.4 billion gamers worldwide.
Unlike in the past when gaming was associated with bored teenage boys and idle adults, it is now for everyone. Women now make up the most significant demographic for playing video games. Even when you don't enjoy a game in real life, you can love it in a video game.
From the perspective of advertisers, the gaming niche is profitable. It is appropriate even for brands that aren't directly connected to the gaming industry. After all, gaming has become one of the glues that hold pop culture together. Here are a few reasons why the gaming niche has become very profitable.
Adoption of the Free-to-Play Model
In the last few years, the free-to-play model has taken off. In the trend, gamers can register and play their favorite games for free. There are legit online casinos that pay real money even when players choose games from this model.
Even though the gaming industry doesn't seem to be making much from these games, they are highly profitable. They are some of the most profitable video game models today. Most of the revenue is from in-game items. These items are acquired with real money. The most common in-game items to buy include weapons, character outfits, and cars. Gaming companies earn billions of dollars from them annually.
With Fortnite's $2.4 billion revenue, for example, more than a billion came from in-game items. With this trend being on a constant rise, the free-to-play model is generating thousands of dollars in revenue every year.
Gaming Content Can Take Various Forms
Gaming content isn't just available in one form. It comes in many forms to suit different needs. The content includes competitive championships, instructional videos, reviews, and playing games for fun. eSports is one of the fastest-growing categories.
Like with football, baseball, and other pro sports, eSports has lots of remarkable teams, fans, and players. It is gaining lots of revenue and media attention and contributing to the growth of the gaming industry.
Walkthrough videos are popular as well. Experts help new gamers find hidden gems, beat their foes, or get a better pace. The videos are generally helpful, and the commentary is typically hilarious. Watching another person play can be even more fun than playing yourself.
Gaming content is very engaging. It is no surprise that viewers are always coming back for more. There are millions of fans from all over the world, and they are always in pursuit of something fun. They enjoy most kinds of game-related content.
An Engaged Culture and Community
The nature of gaming is generally social, and the community is engaged. About two-thirds of people in the United States play video games on their devices. Therefore, the gaming niche already appeals to about 64 percent of the population. The numbers are always growing.
With game launches, it is possible to draw in crowds as big as the audiences of blockbuster movies. Being one of the best-selling entertainment products, it is no surprise that the gaming niche is making such huge profits. Thanks to the community nature of the industry, there is no shortage of new players.
Gaming Content Isn't Only for Gamers
The gaming niche continues to grow because it isn't just for gamers. There is content for everyone. According to a 2014 study by the Google Consumer Survey, only 37 percent of those who consume gaming content are actually gamers. People have different motivations to consume the content.
While some are interested in humor and entertainment, others are more concerned with game tips and learning new strategies. You don't need to enjoy gaming to consume gaming content. For advertisers, the content promotes reach and delivers an unmatched level of engagement.
The competition in the gaming industry may be intimidating, but it has contributed to its growth. From freelancers to established companies, the competition is immense. The industry is attracting lots of people looking to make a profit. Increased competition translates to an improvement on the value offered to customers. In return, they keep coming back for more.
Newcomers have no choice but to step up and compete with industry leaders.
It is no surprise that the gaming industry records excellence in all aspects. The increased competition automatically drives out incompetent people and companies.
Stereotypes Have Been Broken Down
The stereotypes surrounding gaming and the gaming industry are no longer existent. The breakdown of stereotypes has given the industry room to grow. Even though gaming content is still one of the best ways to reach young men, it can reach other demographic groups. Gaming content is now great for targeting adult women as well. Adult women have become the biggest gamers. Viewership among women aged 25 and above has increased significantly in the recent past. People who consume gaming content have various interests. This is true for both men and women.
Gaming Blogs Are Easy to Monetize
Gaming blogs and vlogs are very profitable. The best thing about them is that they are very easy to monetize. These vlogs and blogs are solely focused on gaming. About 95 percent of customers are likely to read online reviews before making purchases.
Seventy-three percent of them value written reviews over star ratings, and 72 percent will only take buying action after going through reviews. Seventy-one percent of customers get more comfortable with a product after reading reviews. Fifty-seven percent of marketers report to have gained customers solely through blogging. After all, blogs are the fifth most credible source of information online.
It is, therefore, no surprise that gaming blogs and vlogs will always be popular. They have high ROI and can be excellent sources of passive income. There are many ways to monetize your gaming blog. They include; showing ads on the blog, influencer marketing, affiliate marketing, and publishing paid reviews.