This article is part of a VB Lab Insights series paid for by Amazon Ads.
The world around us is evolving rapidly. And the gaming industry is no exception. Despite a post-pandemic delay in 2022, the gaming industry is gearing up for a comeback. According to a recent Ampere reportThe global games market segment is expected to grow again in 2023 and reach global sales of $195 billion, up from $188 billion in 2022.
“The video game industry continues to build momentum in 2023. Consoles are more readily available, VR headsets are moving from niche to mainstream, and many tentpole titles are launching over the next two quarters. All of this lends itself to greater interest in the category” “Looking ahead, advertisers who understand customers’ changing shopping journey will be better equipped to reach the right audiences with messages that resonate,” said John Coppock, head of video games at Amazon Ads.
Here are three trends for video game brands to watch as they prepare for 2023:
Games are a popular gift item on Amazon
Video games are among the most popular gift items in the Amazon store.[1] Amazon video game customers give game-related gifts 35% higher than the average Amazon customer. We’re also seeing video game donations jump during the late summer months and continue to increase through the end of the holiday season.[1]
Marketers can help their brand resonate with customers by leveraging gift messaging and using top funnel advertising solutions such as Stream TV Ads and online Video ads during tent pole events such as Prime Day, graduations and the holidays.
Interest in PC shopping and virtual reality (VR) continues to grow
Customer interest in PC and VR games shows no signs of slowing down and opens up great opportunities for brands.[2]
We looked at the top searches for unbranded gaming in 2021 and saw ‘PC compatible games’ jump from outside the top 10 to second place in 2021 between January 2021 and January 2022. ‘PC games’ also fell within the top five. Modern gamers are eager and curious to explore alternative forms of gaming beyond the traditional console experience. Brands can use Amazon Ads’ multi-objective solutions, such as: Sponsored Products, Display ads and Video ads to reach buyers interested in alternative forms of gaming beyond traditional console experiences.
Pre-ordering remains important
Reaching pre-order-inclined audiences remains a key strategy as we head into the holiday season and 2023. In a survey conducted by Kantar, we asked current-generation gaming customers what motivates them to pre-order. More than half (57%) of those surveyed said the day of delivery was the most important factor when placing their orders. Another 52% noted that in-game bonuses and incentives sparked the interest to pre-register a copy. While factors such as scarcity and guaranteeing a copy were among the least common responses.[3] The advantage for publishers is that as long as there is a clear customer benefit, they are likely to see an increase in pre-orders.
We also delved into the shopping patterns of pre-order audiences on Amazon. Pre-order customers spend 1.3 times more on gaming-related items in the 90 days after purchase compared to customers who purchase on the day of release or after. This gives gaming advertisers the opportunity to remarketing to pre-ordered audiences who are inclined to invest in their gaming experience. Amazon DSP and Sponsored View Ads allow marketers to reach these customers both inside and outside Amazon’s store.
With 2023 fast approaching, brands have the opportunity to deepen their engagement with both their existing and new customers throughout their shopping journey – both inside and outside Amazon. Visit advertising.amazon.com learn more.
[1] Amazon Internal Data, January 2022 – June 2022, US
[2] Amazon Internal Data, January 2022 – June 2022, US
[3] Kantar and Amazon Advertise Next Generation Gaming Consoles US P2P Study April 2022
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