The exploded adoption of high-speed internet connectivity and smartphones have helped the worldwide digital content market to grow at a record rate. It will be digital games that will drive the growth by accounting for 45% of the worldwide digital content market by 2026.
A new report, titled Digital Content Monetisation: Emerging Opportunities, Future Outlook & Market Forecasts 2021-2026, from Juniper Research highlights that the worldwide digital content market is an estimated $211 billion opportunity in 2021.
Interestingly, between 2021 and 2026, the global digital content market would clock 105% growth to reach $432 billion.
The market size of digital content is estimated by taking into account pay-per-download revenue, in-app content spend, subscription revenue and ad spend over digital content.
One of the key takeaways of the report is the rising popularity of digital subscription which demands that digital games providers must create differentiation through unique content to keep their growth intact.
Smart Devices To Drive Digital Content Market
It is estimated that over half of digital content spend would come from smartphones and games would one of the key areas that content creators must focus on.
It is estimated that there are 2.7 billion games users worldwide in 2021. The figure is forecasted to increase to 3.3 billion by 2026. As it is evident from the above figures that subscription is the key to be successful in the digital content market, game publishers will have to make their subscription offerings more appealing to stay competitive. The rising number of subscription offerings in the digital content market. Partnership with content providers would be one of the best strategies for game publishers to keep their subscribers stay glued and justify the recurring subscription cost.
However, the partnership with content providers is also going to be tricky. Immersive reality handset and smart speakers are going to play a key role here.
The analysts forms a view that futuristic content partnership would provide publishers an edge over competitors. Digital content attributed to aforementioned device types will clock 275% growth in the next five years, reaching to $8.1 billion in 2026 from just $2.4 billion in 2021.
The strategy, however, is not going to bear enough fruits if applied in a vanilla format. Combining it with regional focus will do the trick here.
Companies in the business of Digital content must pay attention to North American and the European market more than APAC.
The demand for Smart speakers and immersive reality handsets will be more in North American and the European market. These regions, together, will account for over 50% of the total sales revenue of these devices by 2026. Undoubtedly, the higher sales of the device will catapult into the high usage and high consumption of digital content. All of these market equations will provide a big window of opportunity for publishers who could easily monetise their digital content business with a focused strategy.