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Arcade Gaming Market Expected to Achieve 4.5% CAGR by 2029: Growth Forecast Insights
Use code ONLINE30 to get 30% off on global market reports and stay ahead of tariff changes, macro trends, and global economic shifts.What Is the Expected CAGR for the Arcade Gaming Market Through 2025?
The size of the arcade gaming market has seen a slight increase in recent years. The market, valued at $13.61 billion in 2024, is projected to reach $13.73 billion in 2025, growing at a compound annual growth rate (CAGR) of 0.9%. Factors such as location-based trends, cultural impacts, the competitive environment, social trends, and market saturation have largely contributed to the growth observed during the historical period.
What's the Projected Size of the Global Arcade Gaming Market by 2029?
The market size for arcade gaming is predicted to observe a consistent expansion over the coming years, escalating to the figure of $16.36 billion in 2029 at a compound growth rate (CAGR) of 4.5% annually. The growth during the forecasted period can be credited to factors such as globalization coupled with market reach, the influence of mobile gaming, strategies focusing on market enlargement, and the improvement of the gaming experience. Some of the prominent trends set to mark the forecast period include the integration of mobile, emerging immersive technologies, communal gaming, the adaptation of gaming for home use, the gamification of experiences, and the reimagining of arcade spaces.
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Top Growth Drivers in the Arcade Gaming Industry: What's Accelerating the Market?
The growth of the arcade gaming market is anticipated to be boosted by the increase in physical activity. This refers to any energy-consuming movement of the body propelled by skeletal muscles. The rise in physical activities can be attributed mainly to the health advantages they offer. As the need for physical activity grows, new approaches emerge, with arcade gaming serving as a bridge, infusing innovative health tools and engaging players with interventions that combine regular workout, a nutritious diet, and appropriate sleeping habits. For example, in December 2023, figures from the Australian Bureau of Statistics (ABS), a national statistical organization based in Australia, revealed that roughly one in four people aged 15 and over (23.9%) adhered to the physical activity recommendations in 2022. Adult physical activity statistics revealed that almost half (48.5%) exercised by walking, and just under half (47.4%) walked for transportation. Moreover, one in three people (32.8%) engaged in moderate exercise, and three out of ten (30.5%) did strength or toning exercises. Almost one in five (18.6%) took part in vigorous exercises. Thus, the growth of the arcade gaming market will be fueled by the escalating levels of physical activity.
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What Trends Will Shape the Arcade Gaming Market Through 2029 and Beyond?
A noteworthy trend increasingly being observed in the arcade gaming market is the introduction of innovative and technologically superior products. Established players in the market are unveiling state-of-the-art arcade games to retain their dominant position. For example, in July 2024, US toy firm, Coleco, rolled out the ColecoVision Full-Size Stand-Up Arcade Unit. This arcade cabinet uniquely merges 40 classic ColecoVision games with the potential to incorporate ROMs from a variety of traditional and modern gaming systems, courtesy of its open-source framework. The device boasts an easy installation process and features superior quality joysticks, a trackball, arcade buttons, alongside an authentic ColecoVision gamepad, all presented on a sharp, high-definition 32-inch screen. On top of this, it also functions as a communal platform, enabling vintage gaming aficionados to interact with each other.
What Are the Main Segments in the Arcade Gaming Market?
The arcade gaming market covered in this report is segmented -
1) By Type: Video Games, Simulation Games, Mechanical Games
2) By Genre: Racing, Shooting, Sports, Action
3) By Distribution Channel: Online, Offline
4) By Application: Residential, Commercial, Gaming Hubs
Subsegments:
1) By Video Games: Action Games, Adventure Games, Fighting Games, Sports Games, Puzzle Games, Rhythm Games
2) By Simulation Games: Racing Simulators, Flight Simulators, Sports Simulators, Virtual Reality (VR) Simulators, Business and Management Simulators
3) By Mechanical Games: Pinball Machines, Coin-Operated Mechanical Games, Redemption Games, Ticket Redemption Games
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Which Top Companies are Driving Growth in the Arcade Gaming Market?
Major companies operating in the arcade gaming market include Bandai Namco Entertainment, Sega Amusements, Raw Thrills Inc., Taito Corporation, Konami Digital Entertainment, Capcom Co. Ltd., LAI Games, Adrenaline Amusements, Andamiro Co. Ltd., ICE (Innovative Concepts in Entertainment), Bay Tek Entertainment, UNIS Technology Ltd., Wahlap Technology, BANDAI NAMCO Amusement America, Benchmark Games, Play Mechanix, Game Play Network Inc., Global VR, Golden Tee Golf (Incredible Technologies), Hanco Technologies, Stern Pinball Inc., Pac-Man Entertainment, Barron Games International, Sega Corporation, Funovation, CXC Simulations, Smart Industries, Team Play Inc., Valley-Dynamo
Which Regions Will Dominate the Arcade Gaming Market Through 2029?
North America was the largest region in the arcade gaming market share in 2024. The regions covered in the arcade gaming market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
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