The global market for gaming software has been expanding at a steady compound annual growth rate of roughly three percent over the last four years, and analysts expect that momentum to persist for the next four-year cycle. Despite this healthy macro‑level growth, player behaviour remains surprisingly conservative: about two‑thirds of gamers say they gravitate toward familiar franchises or sequels, while merely 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 a broad range of regions and demographics. The survey uncovered a pronounced dissatisfaction with what the firm describes as the "unfocused middle" of the market—games that are overly generic, safe, and shallow, and therefore fail to capture attention. To illustrate the point, Bain & Co contrasted the reception of two recent releases. "Baldur’s Gate 3" succeeded by honing in on a narrowly defined audience that craved deep role‑playing experiences, while "Concord" entered an already saturated hero‑shooter space and struggled to persuade players who were accustomed to free‑to‑play models to spend a full $40 on the title.
The difference in outcomes underscores the importance of a clear player‑centric vision. When the firm examined public data on a hundred games launched since 2023, the numbers were striking: 83 % of titles that were deliberately targeted at a specific player segment achieved commercial success, compared with just 50 % of games that lacked a focused positioning. In other words, a well‑defined audience appears to be a decisive factor in a game’s financial performance.
Player preferences for genre and style are also highly fragmented. When asked to choose between story‑driven experiences, open‑world sandbox or user‑generated content, and multiplayer‑focused games, no single category attracted more than 26 % of respondents.
About 20 % said their choice varied depending on mood or context, while 17 % either selected "none of the above" or mentioned other types of games. This dispersion suggests that a one‑size‑fits‑all approach is unlikely to resonate with a broad audience.
Bain & Co also highlighted two major forces reshaping the industry: escalating player demand and the rapid adoption of generative AI. The report notes that younger gamers are concentrating their time on a relatively small set of platforms—Roblox being a prime example—and that this platform has become "the centre of gravity for the entire gaming ecosystem" over the past five years. On the AI front, developers are increasingly leveraging generative technologies to accelerate production pipelines.
However, the consultancy warns that AI alone does not mitigate risk if the underlying player target is vague: "It lets you scale the wrong bet faster." The firms that will thrive, according to Bain, are not necessarily those with the deepest pockets or the most sophisticated AI stacks, but those that can articulate their ideal player in a single, concise sentence and commit to that vision earlier than their rivals. Player sentiment toward AI in game development has softened over the last twelve months. Forty‑two percent of survey participants reported feeling more comfortable with AI usage than a year ago, another 44 % said their comfort level remained unchanged, and fewer than one in seven expressed increased discomfort. The trend is especially pronounced among teenagers: 59 % of respondents aged 13‑17 indicated greater comfort with AI this year, while 33 % said their view was stable.
"For studios worried that AI adoption carries reputational risk with their player base, this data suggests the window to move is open, particularly with the audiences who will define the market over the next decade," a Bain spokesperson explained. The firm also pointed out that AI can help developers gain deeper insights into player behaviour. Emerging analytical tools can track engagement patterns, surface the features that resonate most with a target cohort, and create tighter feedback loops between creators and their communities.
Personalisation is another area where AI shows promise. Tailored communications, bespoke advertising, and content recommendations that speak directly to individual preferences have been shown to boost spending, especially among younger gamers.
In the Bain study, 86 % of teenagers reported making at least one gaming‑related purchase 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. These purchases encompass new games, downloadable content, subscriptions, and streamer tips, but exclude hardware such as consoles or VR headsets. Direct‑to‑consumer sales are also on the rise.
Nearly half of all gamers said they buy directly from a developer’s web store at least once a year, and 27 % do so repeatedly. The propensity for direct purchases is strongest among the youngest cohort: 40 % of 13‑ to 17‑year‑olds reported multiple direct transactions in the past year.
Anders Christofferson, global lead for Bain’s Video Game practice and partner in the Media & Entertainment group, summed up the strategic shift: "The question for gaming executives is no longer solely about reaching more players. It's reaching the right players, in the right way, and getting more ownership over that relationship." He added that studios pulling ahead are those that have deliberately defined who they are building for and aligned every resource—AI, distribution channels, and personalisation tactics—to serve that specific audience. In summary, the Bain & Co Gaming Report paints a picture of an industry that is growing in revenue but becoming increasingly selective in its audience focus.
Success appears tied to a clear, narrowly defined player target, the judicious use of AI to enhance, rather than replace, that focus, and a commitment to personalised, direct engagement with the most enthusiastic segments of the gaming community.