The worldwide market for gaming software has been expanding at an average annual growth rate of roughly three percent over the last four years, and analysts expect that momentum to continue for another four‑year stretch. Despite this steady financial climb, player behaviour shows a strong preference for the familiar: about two‑thirds of gamers say they gravitate toward existing franchises or sequels, while only one in five actively looks for brand‑new titles.
These insights come from Bain & Company’s latest annual Gaming Report, which gathered responses from more than 5,300 players across multiple regions. The survey revealed a pronounced dissatisfaction with what the firm calls the “unfocused middle” of the market – games that are overly generic, safe, and shallow, and therefore fail to capture attention.
To illustrate the point, the report contrasted the market reception of two recent releases: *Baldur’s Gate 3* and *Concord*. *Baldur’s Gate 3* succeeded by zeroing in on a narrowly defined audience that craved deep role‑playing experiences, whereas *Concord* entered a saturated hero‑shooter arena and struggled to persuade players already invested in free‑to‑play ecosystems to spend a $40 premium.
By analysing publicly available data for 100 titles launched since 2023, Bain discovered that 83 % of games with a sharp, well‑defined target audience achieved commercial success, compared with just 50 % of titles that lacked a clear focus. Player preferences for genre also appear highly fragmented. When respondents were asked which type of experience they favoured – story‑driven narratives, open‑world sandbox or user‑generated content, or multiplayer competition – no single category captured more than 26 % of the vote.
About 20 % indicated that their choice varies depending on mood or that the categories are roughly equal for them, and 17 % either selected “none of the above” or mentioned other, less common game types. The report also highlights two major forces reshaping the industry: growing player expectations and the rapid adoption of generative AI.
Younger gamers, in particular, are concentrating their playtime on a smaller set of platforms, with Roblox singled out as the emerging "center of gravity" for the gaming ecosystem over the past five years. Meanwhile, developers are turning to generative AI to accelerate production pipelines. However, Bain warns that AI alone does not mitigate risk unless it is applied to a game built for a clearly articulated player persona.
As the firm puts it, AI "lets you scale the wrong bet faster." Looking ahead, Bain predicts that the studios that will thrive are not necessarily those with the deepest pockets or the most sophisticated AI tools, but those that can articulate their target player in a single, concise sentence and commit to serving that audience earlier than their rivals. Player sentiment toward AI in game development has become more favourable over the last twelve months: 42 % of respondents feel more comfortable with AI use than a year ago, 44 % are unchanged, and fewer than one in seven are less comfortable. The generational divide is stark.
Among gamers aged 13‑17, 59 % reported increased comfort with AI, while 33 % said their view remained the same. This suggests that studios concerned about reputational risk from AI adoption have a window of opportunity, especially with the younger cohorts that will dominate the market in the coming decade. AI also offers new ways to understand and engage players. A growing suite of analytical tools can track engagement patterns, surface the elements that resonate with a target demographic, and create tighter feedback loops between developers and their communities.
These capabilities enable highly personalised experiences – from custom communications and targeted advertisements to bespoke in‑game content – which have been shown to boost spending, particularly among teenage gamers. Indeed, Bain’s data shows that 86 % of teenagers report spending money on gaming‑related activities each month, compared with just over half of players in their 50s, 36 % of those in their 60s, and 27 % of those in their 70s. Gaming‑related expenditures encompass purchases of new titles, downloadable content, subscriptions, and streamer tips, but exclude hardware such as consoles or VR headsets. Purchasing behaviour is also shifting toward direct sales from developers.
Nearly half of all gamers reported buying directly from a developer’s web store at least once a year, and 27 % do so repeatedly. This trend is most pronounced among younger players: 40 % of those aged 13‑17 made multiple direct purchases in the past year. Anders Christofferson, global lead for Bain’s Video Game sector and partner in its Media & Entertainment practice, summed up the strategic implication: “The question for gaming executives is no longer solely about reaching more players.
It’s about reaching the right players, in the right way, and gaining greater ownership of that relationship.” He added that “the studios pulling ahead are the ones that have made a deliberate choice about who they are building for and are aligning every resource – AI, distribution, personalisation – behind that answer.”