Trends
3 min read
By
Puli Liyanagama
Mati Bochenczak
CTO & Co-founder
Director of Business Development
Nov 27, 2024
It’s been a whirlwind couple of weeks for the Metica team!
Last week, we joined the buzz at Slush, the leading startup and tech conference in Helsinki, Finland. The week before, we were at RovioCon. Both events brought together founders, investors, and industry leaders to discuss innovation, trends, and opportunities for collaboration.
We had an incredible time meeting some of the brightest minds in the industry and uncovering insights into the trends set to dominate gaming in 2025. Here are the five trends we think you need to know:
1) Growth is back baby!
After a tough couple of years post-COVID, gaming is growing again. It’s exciting to see momentum returning, though it’s clear the growth isn’t evenly distributed. Here’s what we learned:
Dominant Players Have Momentum
Heavy hitters like MONOPOLY GO! and Royal Match are thriving, thanks to regular updates and live events. Data from Slush highlighted just how important these top-tier titles are—the top 10% of games account for over 80% of industry revenue. While these successes drive industry sentiment and funding, their dominance also makes it harder for smaller players to break through.
Demographics
Gen Z is taking center stage. By 2026, they’re expected to account for 50% of total gaming spend. Meeting their expectations—especially for personalization—is non-negotiable. Meanwhile, Emerging Markets are a huge opportunity, with IAPs showing nearly 40% growth year-over-year.
New Revenue Streams Are Emerging
Innovative models are shifting the revenue landscape. Riot Games’ direct payment system for League of Legends bypasses app stores, keeping a larger slice of revenue. Supercell’s web store saw a 25% boost by offering exclusive content directly to players. Subscription models like Ubisoft+ and EA Play are gaining traction, especially with live-service game players.
Hybrid-Casual Games Are Thriving
Casual titles are turning into hybrid-casual titles, examples being Royal Match and Merge Mansion, and they are seeing 30% growth year-over-year. These games blend casual gameplay with monetization strategies like season passes and exclusive customization options. Studios that previously relied on ads are now reporting up to 40% of revenue from IAPs. At RovioCon, speakers shared how progression-based rewards are driving both engagement and spending in hybrid-casual titles.
Mobile Gaming and Cross-Platform Play Are Expanding
Improved cross-platform capabilities are broadening player engagement. On PC, titles like Baldur’s Gate 3 are proving that PC gaming is still going strong, with over 5 million copies sold in just a few months. Meanwhile, cloud gaming platforms like Nvidia GeForce Now are making high-quality gaming accessible to players without expensive hardware.
2) Personalization is everything
Let’s not sugarcoat it: personalization is key to winning in gaming. The data is loud and clear—players want tailored experiences.
Genshin Impact uses real-time data to personalize in-game shop offers, driving higher spending.
Royal Match segments players to tailor challenges and promotions, boosting retention rates.
Gen Z, in particular, is highly sensitive to relevance. They’re more likely to leave if an ad or experience doesn’t resonate, and with their spending power growing to over 50% of overall spend by 2026, keeping them happy is critical.
At Metica, we live and breathe personalization. It’s at the heart of what we do—not just improving LTV/monetisation but linking it to smarter, more targeted ad-buying. For more on how we’re helping games grow with personalization, check out our blog.
3) AppLovin is taking over UA. The duopoly is done.
The UA market is heating up, and AppLovin is emerging as the clear leader. In Q3 2024, it reported 39% YoY growth, and studios are shifting budgets from Google and Meta to take advantage of its advanced targeting capabilities.
Highlights include:
Axon 2.0: Optimizing ad placements better than competitors, driving stronger ROAS.
Expansion into e-commerce advertising, enabling brands to target mobile gamers more effectively.
UA remains complex, but that’s where we come in. Metica recently launched Smart UA Ad-Buying and added an industry veteran with 15 years of experience in ad-buying optimization to ensure our clients maximize their spend. We think this is the perfect compliment to our Personalisation & LTV products, to help games optimise their full growth and revenue potential.
4) AI is driving real transformation
AI is no longer just hype—it’s delivering tangible results across the industry. From content creation to player engagement, companies are using AI to unlock efficiencies and elevate player experiences.
Ubisoft uses AI to generate NPC dialogue in Assassin’s Creed, cutting development costs.
Tencent leverages AI-powered recommendations to adjust game modes based on real-time player behavior.
Indie developers are adopting AI to create high-quality art, levels, and character designs on tight budgets.
At Metica, we use AI to power real-time personalization. It’s how we’re driving up to 40% increases in LTV for our clients, far beyond what traditional segmentation could ever achieve. We do think it’s important however to emphasise how AI is an evolution rather than a revolution. Concerns over “AI taking jobs” is overdone and it should be seen as not only a productivity tool, but a tool to expand and find new opportunities. Read more about how our AI tools are evolving “segmentation” here.
5) Strong IP and creative are winning big
Games tied to beloved brands and creative concepts are thriving—and this trend is accelerating.
Hogwarts Legacy leveraged Harry Potter nostalgia to sell 15 million copies in record time.
MONOPOLY GO! modernized a classic IP for mobile audiences, drawing in both nostalgic and new players.
We’re also seeing the rise of transmedia, where brands expand their reach across movies, TV, and games. With announcements like new Sonic movies and Angry Birds projects, this trend is set to bring even broader audiences into gaming.
Final thoughts
We’re excited about what’s ahead for the gaming industry and are committed to helping our clients seize these opportunities.
Want to find out more?