In-Game Advertising Market Report 2025

The in-game advertising market size has grown rapidly in recent years. It will grow from $9.84 billion in 2024 to $11.02 billion in 2025 at a compound annual growth rate (CAGR) of 12%. The growth in the historic period can be attributed to development of gaming platforms, acceptance of in-game advertising, targeted advertising capabilities, measurement and analytics tools, dynamic in-game ad insertion (IGAI).

The in-game advertising market size is expected to see rapid growth in the next few years. It will grow to $18.17 billion in 2029 at a compound annual growth rate (CAGR) of 13.3%. The growth in the forecast period can be attributed to data analytics and measurement tools, global gaming industry development, innovation in ad formats, rising popularity of mobile gaming, increased investment in gaming industry. Major trends in the forecast period include monetization for game developers, interactive and engaging ad formats, e-sports and live events, brand partnerships and sponsorships, rise in gaming audience.

The anticipated growth in the number of smartphone users is poised to drive the expansion of the in-game advertising market. Smartphones, which encompass cellular phones with built-in computers, operating systems, web browsing, and software application support, are integral to in-game advertising strategies. Advertisers and marketers utilize smartphones to execute mobile-centric marketing campaigns, targeting a broader audience and generating significant revenue. According to the International Telecommunication Union, as of November 2022, 73% of individuals aged 10 and above had access to smartphones, representing a 7% increase compared to the proportion of the general population with internet connectivity. Consequently, the surge in smartphone users is a key driver of growth in the in-game advertising market.

The increasing number of gamers is expected to further propel the growth of the in-game advertising market. The term 'gamer' refers to individuals engaging in various forms of electronic gaming, spanning from casual smartphone games to immersive console and PC gaming experiences. The expanding gamer community presents lucrative opportunities for in-game advertising, with advertisers leveraging this growing audience to implement innovative and engaging promotional strategies. According to the Australia Plays 2023 report by the Interactive Games and Entertainment Association, 81% of Australians are currently involved in video games, marking a 14% increase from the Digital Australia 2022 report two years prior. Hence, the rising number of gamers serves as a driving force for the in-game advertising market.

Product innovation has become a prominent trend in the in-game advertising market, with leading companies focusing on developing new products to enhance their market position. For example, in April 2022, Entravision LLC, a US-based media company, partnered with Anzu.io, an Israel-based in-game advertising platform, to expand advertising opportunities across 18 Latin American markets. This partnership, effective immediately, appointed Entravision-Cisneros Interactive as Anzu's representative, aiming to educate advertisers on the benefits of in-game advertising. The collaboration seeks to strengthen Entravision's presence in the gaming industry by offering unique advertising opportunities tailored to the Latin American gaming audience.

Leading companies in the in-game advertising market are embracing strategic partnerships, enabling advertisers to place ads within Gameloft's open-world action-adventure game Gangstar Vegas. Strategic partnerships involve leveraging the strengths and resources of collaborating companies for mutual success. For instance, in August 2023, Anzu.io, an Israel-based in-game advertising platform, announced a partnership with Gameloft SE, a France-based mobile game developer. Anzu’s non-intrusive, intrinsic in-game ads will be integrated into Gangstar Vegas, appearing in realistic locations within the virtual city, such as building sides, bus stops, and billboards. This approach enhances gameplay while preserving the player experience, offering advertisers access to a highly engaged and diverse player base on both iOS and Android versions of the game.

In March 2024, GameSquare, a US-based gaming and media company, acquired FaZe Clan for an undisclosed amount. This acquisition is intended to bolster GameSquare’s portfolio in digital media and solidify its competitive stance in both the in-game advertising and esports sectors. FaZe Clan is a US-based company specializing in in-game advertising.

Major companies operating in the in-game advertising market include Anzu Virtual Reality Ltd, Electronic Arts Inc., MediaSpike Inc., ironSource Ltd, Motive Interactive Inc, Playwire LLC, WPP Plc., Activision Blizzard Media Ltd, Blizzard Entertainment Inc, AdInMo Ltd, Flurry Inc., Bidstack Ltd, HotPlay Co. Ltd, Giftgaming Ltd, Adscape International LLC, Admix Foods Private Limited, Adverty AB, Azerion Group N.V., GameInfluencer, Gameloft S. A., Google Inc., mKhoj Solutions Private Limited, Kargo Global Ltd, Kool Things, Tracxn Technologies Private Limited, LoopMe Ltd., MobileFuse LLC, Nativex LLC.

North America was the largest region in the in-game advertising market share in 2024. The regions covered in the in-game advertising market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the in-game advertising market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

In-game advertising is a monetization technique employed by game makers to boost game sales by presenting mobile game advertisements to their consumers. Game producers generate revenue through ads and reward their customers.

The primary types of in-game advertising include static ads, dynamic ads, and advergaming. Static ads involve advertising that remains unchanged for a specific individual and is designed for general promotions. Advertisers use static ads to reach a broad audience and enhance awareness of their business by enabling players to interact with the advertisements. The major platforms utilized for displaying online and standalone advertising are mobile, computing, and console.

The in-game advertising market research report is one of a series of new reports that provides in-game advertising market statistics, including in-game advertising industry global market size, regional shares, competitors with an in-game advertising market share, detailed in-game advertising market segments, market trends and opportunities, and any further data you may need to thrive in the in-game advertising industry. This in-game advertising market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The in-game advertising market includes revenues earned by entities by providing services such as interstitial ads, native banners, contextual ads, and rewarded ads to generate more mobile games and revenue by enhancing user experience. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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