In the digital age, where escapism is believed to meet reality, simulation games have gained popularity as one of the profitable genres in the gaming industry. Starting from city-building games like SimCity and Cities and Animal Crossing: Pocket Camp among others are considered to offer players a mix of creativity, control, and immersion. The popularity of this genre and its profitability can be assessed from the fact that the total revenue in the simulation games market is projected to reach a market volume of $25.85 billion by 2029.
Player demographics
It is believed that simulation games have been loved by different age groups. A total of 58% of players who play these games are below 35 years of age as per a report by coolestgadget.com. It is also mentioned in the report that, Aisa and Europe are home to the most engaged simulation gamers globally.
Revenue streams
It is believed that while in-app purchases have been important revenue streams for simulation games, developers and publishers should also value their potential revenue from in-app advertising. As per Adjoe, an advertising and monetisation platform, by 2027, In-app purchases will account for 60% of revenue followed by in-app advertising (39%) and paid apps (one percent) for this mobile gaming genre. It is considered that microtransactions, downloadable contents and subscription models have also become lucrative as a source of revenue. For instance, The Sims 4 has claimed to generate over $1 billion in revenue as of 2019 since its launch in 2014, with a portion coming from expansion packs and in-game purchases.
Streamer’s world
To be sure, simulation games were the 10th most preferred genre among tablet gamers in the USA in 2023. It is believed that streamers play a pivotal role in popularising simulation games.
Several content creators have been building cities, driving trucks, and managing farms all in a virtual world that has garnered millions of views.
Challenges and opportunities
Despite the genre’s popularity, maintaining player engagement, dealing with high cost content creation seems to be a challenge for developers. However, with advancements in newer technologies like the advent of artificial intelligence (AI) and machine learning, it is expected that developers will be able to nullify the challenges by offering players more customised gameplay and new features.