A recently published report examines patterns in gaming expenditure, including game purchases, additional content, in-app transactions, and subscriptions. This study has pinpointed significant trends in gaming spending this year and highlighted an unexpectedly large impact by gamers from North America and Europe. Remarkably, these regions, comprising just 20% of the world’s players, are responsible for almost half of global gaming expenditure. To be more specific, North American gamers spend approximately $52.7 billion, and European gamers shell out around $33.1 billion every year.
A joint report from gaming monetization platform Tebex and video game market intelligence firm Newzoo calculated global spending by PC, console, and mobile gamers, offering insights into the surge of gaming expenditure across different platforms worldwide.
According to the analysis of sales data for both physical and online video games, the forecast indicates that the worldwide games market is expected to generate approximately $188.9 billion in earnings by year-end 2025. It’s projected that nearly half of this amount, or around 46%, will come from North America and Europe combined.
2025’s forecast suggests a 3.4% annual rise in worldwide gaming expenditure, while North America is projected to experience a growth of 4.2%, and Europe anticipates a 3.6% increase as well.
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In 2025, it is predicted that there will be a 3.4% increase each year in the total spending on gaming worldwide. For North America, this growth is estimated to reach 4.2%, while Europe is expected to witness a 3.6% increase as well.
As an avid enthusiast, I’d like to share a fascinating insight: Newzoo’s revenue data for the gaming industry has some specific exceptions. For instance, it doesn’t include advertising revenues, taxes, or transactions in second-hand markets. Additionally, certain business-to-business (B2B) services and the betting and online gambling aspects of games are not part of this particular dataset.
As a passionate gamer myself, it’s no secret that North America takes the lead when it comes to video game purchases! On average, we spend around $325 per year on games – a figure that aligns with other data points from this year. In fact, back in July, Mat Piscatella, the senior director at market research firm Circana, reported an all-time high in U.S. video game subscription spending for May, marking three consecutive months of growth. It’s safe to say that we, as gamers in North America, are making our mark on the global gaming landscape!
In May 2025, U.S. expenditure on video game subscriptions hit a new record high ($0.6B), marking the third consecutive month of growth. It seems that with rising costs in everyday expenses such as food and broader economic instability, people are seeking value for their money.
— Mat Piscatella (@matpiscatella.bsky.social) 2025-07-09T13:23:54.142Z
What factors contribute to the current patterns of video game spending? A point made by Piscatella and supported by the Newzoo x Tebex report is that an increasing amount of revenue on various gaming platforms is coming from purchases motivated by value, rather than purely recreational spending.
In North America, half of PC gamers and nearly half of console gamers spend their gaming money within the games they play. On the other hand, mobile game players tend to allocate almost all of their spending towards in-game purchases such as battle pass subscriptions, cosmetics, and various microtransactions. This suggests a trend where players are increasingly willing to invest more on additional content or services beyond just buying the full game.
In Europe, a larger proportion of in-game purchases are made by PC and console gamers compared to their mobile counterparts, mirroring trends seen in North America. Yet, European players tend to spend approximately thrice less money on average compared to North American players.
It appears that major video game industry giants are now acknowledging these emerging trends. Microsoft is increasingly investing in its successful Game Pass subscription service, which has faced skepticism from some quarters regarding its effectiveness over the years. Notably, The Verge recently disclosed that Microsoft’s CEO, Satya Nadella, mentioned during a Q4 earnings call in July that Xbox Game Pass revenues had hit a new high, nearing $5 billion for the first time in 2024.
As a passionate gamer, it’s clear that the gaming world is evolving towards models that emphasize in-game purchases and microtransactions, shying away from the traditional $70-$80 upfront costs for full games. This shift is driven by players who are increasingly opting for experiences where they can spend less initially but have more control over what they pay as time goes on.
Are your annual expenses on video games roughly equal to the estimated average expenditure of $325 in North America?
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2025-08-13 23:16