The worldwide 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 continue for another four‑year period. Despite this healthy overall trajectory, player behaviour shows a strong bias toward the familiar: about two‑thirds of gamers say they stick to known franchises or sequels, while only one in five actively seeks out 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 revealed a pervasive sense of disappointment 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, Bain compared two recent releases. "Baldur’s Gate 3" succeeded by zeroing in on a narrowly defined audience of role‑playing enthusiasts, delivering a deep, narrative‑driven experience that resonated strongly with that segment.
In contrast, "Concord" entered an already saturated hero‑shooter arena and struggled to persuade players who were accustomed to free‑to‑play models to spend a $40 upfront fee. The contrast underscores the advantage of targeting a specific player type rather than trying to appeal to everyone. When Bain examined public performance data for 100 games launched since 2023, the numbers were striking: 83 % of titles that pursued a focused, niche strategy reached commercial success, whereas only half of the unfocused, broadly aimed games did so.
This gap suggests that clarity of purpose is a more reliable predictor of market performance than sheer budget size. Player preferences for game genres are also highly fragmented. When respondents were asked which type of experience they most enjoy – story‑driven adventures, open‑world sandbox or user‑generated content, or competitive multiplayer – no single category captured more than 26 % of the vote.
About 20 % said their choice varies depending on mood or the specific title, and another 17 % indicated they either play none of those styles or prefer something else entirely. The report also highlights two major forces reshaping the industry: rising 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 a kind of "gravity centre" for the ecosystem over the past five years. This concentration intensifies competition for attention and makes it harder for new, unfocused games to break through. On the AI front, developers are leveraging generative tools to accelerate production pipelines.
However, Bain cautions that AI alone does not mitigate risk unless the underlying product has a well‑defined audience. "It lets you scale the wrong bet faster," the report warns.
The firms that will thrive in the coming years are expected to be those that, early on, commit to building for a player they can describe in a single sentence, rather than those that simply pour money into the most sophisticated technology. Player sentiment toward AI in game creation has softened over the past twelve months. Forty‑two percent of surveyed gamers now feel more comfortable with AI usage than they did a year ago, another 44 % feel unchanged, and fewer than one in seven have become less comfortable.
Acceptance is especially high among teenagers: 59 % of respondents aged 13‑17 report increased comfort with AI, while 33 % say their view remains the same. Bain’s Anders Christofferson, global lead for the firm’s Video Game practice, interprets the data as a green light for studios hesitant about AI’s reputational impact. "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," he said.
Beyond speed, AI offers deeper insights into player behaviour. A growing suite of analytical tools can parse engagement patterns, highlight what resonates with a target segment, and create tighter feedback loops between developers and communities.
These capabilities enable highly personalised marketing – from custom communications and ads to bespoke in‑game content – which Bain found to boost spending, especially among younger users. Indeed, 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 activities" encompass purchases of new titles, downloadable content, subscriptions, and even streamer tips, but exclude hardware such as consoles or VR headsets. Direct purchases from developers’ own storefronts are also on the rise.
Nearly half of all gamers buy directly from a developer at least once a year, and 27 % do so repeatedly. The trend is strongest among the youngest cohort: 40 % of 13‑ to 17‑year‑olds reported multiple direct purchases in the past year.
Christofferson sums up the strategic implication: "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 adds that studios that pull ahead are those that have deliberately chosen who they are building for and have aligned every resource – from AI tools to distribution channels to personalisation strategies – behind that singular focus.