Global Gamification Market- Industry Trends & Forecast
The global gamification market was
worth USD 8.73 Billion in 2020 and is further
projected to reach USD 35.12 Billion by 2027, at a CAGR of 21.7% during
2021-2027 (forecast period). The rapid growth of smartphones, handheld smart
devices, along with the pervasive adoption of internet-based services has
specifically generated a wide demand for gamification. Other factors favoring
the growth of the global gamification market include employee incentives and
appreciation for boosting employee engagement, and the provision of providing
consumers with lucrative incentives. Furthermore, the rapid growth of
gamification technologies and solutions in enterprises and consumer products is
propelling the global market forward. Additionally, as a result of the effects
of COVID-19, people are investing more and more time on their devices and they
are more likely to shift to whatever has a better user interface. These factors
together will help the growth of the gamification market in the forecast
Source: BlueWeave Consulting
Global Gamification Market Overview
Gamification involves the use of game-based elements in
non-game environments such as a learning management system, an online
community, or a website. It can also be described as a sequence of activities
and processes that solve problems by adding or implementing game elements. Gamification
seeks to engage customers, workers, and stakeholders in order to encourage them
to cooperate, communicate, and connect. Games have high engagements due to
various reasons like points, bonuses, rewards, badges, leaderboard, etc., which
give a sense of achievement besides promoting healthy competition. Through the
application of gamification solutions, companies are seeking to increase their
user interaction. According to the Harvard Business Review, gamification
increases customer attention to a product or service by 5%, resulting in
several-fold profits in earnings, ranging from 25% to 95%.
Global Gamification Market Forecast and Trends
Technological Advancements and Increasing Use of
Internet-Based Devices is Driving the Market Growth
Gamification solutions are witnessing a tremendous surge
in their market owing to technological advancements. People nowadays spend a
significant amount of time on the internet. As a result, businesses are making
significant investments in this sector. Market giants such as Amazon and
Walmart are providing AR and VR technologies to enhance customers’ shopping
experience. Amazon is also implementing gamified solutions for the management
of their warehouse employees to increase their efficiency.
Application of Gamification Solutions in all Industries
Driving the Market Forward
Gamification solutions are constantly being used in almost
all industries. Organizations with a larger workforce are implementing
gamification to improve their employees’ efficiency and motivate them. Now,
even SMEs are starting to use gamification solutions. Gamification has
applications in various sectors like sales, marketing, product development,
etc. It assists companies in engaging prospective consumers and enhancing their
experience, as well as growing brand recognition and favoring loyalty. These
factors will help the gamification market grow in the forecast period.
Lack of Learning Environment Will Affect Gamification
Market in the Long Run
Gamification aims at increasing user engagement. Its aim
in the workplace is to inspire workers by rewarding them and encouraging
healthy competition among them. However, its purpose seems to be lacking when it
comes to learning. Gamification instills a sense of achievement into its users’
minds by offering them rewards. It fails to offer a learning environment and would
be counterproductive, especially for the purpose-driven next generation,
who are constantly seeking purpose in what they do rather than winning incentives,
points, and rewards.
Impact of COVID-19 on Global Gamification Market
The coronavirus pandemic has caused turmoil in all
industries. As soon as the lockdown was imposed by the governments of different
countries across the world, people were forced to work from home to adhere to
the social distancing norms and to prevent the spread of the virus. Also, due to
pay-cuts, the working class had to face financial restraints. All this has
taken a huge toll on their mental health and they are struggling to find the
energy to continue working. This has become another challenge for companies to
keep their employees motivated and engaged in their work.
Therefore, through the application of gamified solutions, companies
are constantly working on increasing their employees’ engagement. Furthermore,
as a result of COVID-19, a greater population is continuously accessing the
internet through different devices. This has provided service providing
companies the ability to introduce advanced gamified technologies to improve
customer satisfaction and participation.
Global Gamification Market - By Company Size
Based on company size, the gamification market is
segmented into small & medium enterprises, and large enterprises. The larger
enterprise segment is going to lead the market in terms of revenue and is
expected to grow exponentially in the forecast period. This is because large
enterprises are more open and have more resources to adopt new technologies.
Market giants such as Google, LLC, Oracle Corporation, are investing huge
amounts into gamification. Since gamification solutions help larger enterprises
handle their huge workforce more efficiently, it is the driving factor for the
growth of the gamification market.
Global Gamification Market - By Deployment
Based on deployment, the market is categorized into on-cloud
and on-premise. The on-cloud segment held the bigger share of market revenue
and is likely to maintain its dominance during the forecast period. The
widespread usage of Internet-based applications, combined with rapid technical
advances, is accelerating the rise of cloud-based deployment. Moreover, cloud-based
gamification provides greater security as compared to on-premise solutions. The
on-cloud segment will lead the industry because end-users in industries such as
hospitality, education, and banking favor cloud gamification because it is more
technologically sophisticated and offers improved services such as fast
download, app updates, and so on.
Global Gamification Market - By Application
Based on application, the gamification market is segmented
into sales & marketing, product development, human resource, support, and
others. It is expected that gamification in sales and marketing will increase during
the forecast period due to its increasing acceptance in organizations for
employee engagement practices. This segment's growth can be attributed to improved
sales & marketing events that allow the use of ranks, virtual products,
credits, leaderboards, and points for promoting healthy competition amongst
employees. Furthermore, the use of gamification in sales and marketing is on
the rise as a way to generate leads and target potential customers by applying an
engaging user-interface. These factors will support the development of the
gamification market during the forecast period.
Global Gamification Market - By End-User
Based on end-user, the market is segregated into retail,
banking, healthcare, government, education and research, IT and Telecom, and
others. The retail sector was the leading segment for the gamification market
in 2020 and it is expected to maintain its dominance during the forecast
period. Businesses, especially the e-commerce sector are implementing advanced
gamification methods to increase customer interaction, which will eventually
lead to higher profits. Following the retail sector, the use of gamification
methods is also increasing in IT and Telecom, which will further push the
market during the forecast period.
Global Gamification Market - By Region
Based on region, the global gamification market is
segmented into North America, Europe, the
Asia-Pacific, Latin America, and the Middle East and Africa. It is estimated
that North America held the largest market share in the global gamification
market and is poised for impressive growth even during the forecast period. The
reason for this dominance is the tremendous surge in the usage of the internet,
smartphones, and other devices. Companies in the North American region are also
increasing their investments in numerous technologies that use technologically
innovative gamification methods to enhance and increase consumer integration. However,
other regions like Europe or the Asia-Pacific are also coming out as leading
markets for gamification.
The leading players dominating the global
gamification market are Microsoft Corporation, Influitive Corporation, Khoros,
LLC., SAP, SE, Verint Systems, Hoopla Software, Inc., Cognizant, Callidus
Software, Inc., Aon plc. (CUT-E GMBH), Mambo Solutions Ltd., MPS Interactive
Systems Ltd., BI Worldwide, G-Cube, IActionable Inc, Axonify Inc., Bunchball
Inc., and other prominent players.
The market's major players are merging and forming alliances in order
to spread into new countries for the sole purpose of increasing their
profitability. This will create huge growth opportunities for the gamification
market, especially in developing countries like India, China, South Korea, etc.
Furthermore, the gamification market is tough for new entrants. This is mainly
because the market is highly competitive and a large share of revenues are
covered by the giants.
l In March 2021, Amazon declared the expansion of its
gamification program for workhouses in around 20 states in the country. This
decision of expansion was made to increase the productivity of the warehouse
employees by applying gamification methods. The gamification of warehouses will
help improve employee productivity besides promoting healthy competition as
they compete with each other for virtual rewards.
l In March 2021, an Austin-based Startup called Living
Security has earned a sizable funding to expand its gamified cybersecurity
training. The investment was made by Updata partners based in Washington D.C.
This investment aims to enhance cyber-security training and make it much more
interactive and interesting by adding live-action story-lines or role-based
Scope of Report
Historical data – 2017-2020
Base Year – 2021
Forecast – 2021 – 2027
Revenue in USD Billion
North America, Europe, the
Asia-Pacific, Latin America, and the Middle East and Africa
By Company Size, By Deployment, By
Application, By End-User, By Region
Corporation, Influitive Corporation, Khoros, LLC., SAP, SE, Verint Systems,
Hoopla Software, Inc., Cognizent, Callidus Software, Inc., Aon plc. (CUT-E
GMBH), Mambo Solutions Ltd., MPS Interactive Systems Ltd., BI Worldwide,
G-Cube, IActionable Inc, Axonify Inc., Bunchball Inc., Ambition, Akili
Interactive Labs, EveryMove Inc., and other
By Company size
Ø Small and Medium
Ø Large Enterprise
Ø Product Development
Ø Human Resource
Ø Education and Research
Ø IT and Telecom
Ø North America
Ø The Asia-Pacific (APAC)
Ø Latin America (LATAM)
Ø Middle-East & Africa (MEA)
1. What is the current size of the
global gamification market?
global gamification market reached USD 8.73 Billion in 2020.
2. What are the major factors driving
the growth of the global gamification market?
major factors driving the growth of the global gamification market are;
technological advancements and increasing use of the internet as well as the
practical implementation of gamified solutions in all the industries.
3. Who are the key players in the
global gamification market?
key players in the global gamification market are: Microsoft Corporation, Influitive
Corporation, Khoros, LLC., SAP, SE, Verint Systems, Hoopla Software, Inc.,
Cognizent, Callidus Software, Inc., Aon plc. (CUT-E GMBH), Mambo Solutions
Ltd., MPS Interactive Systems Ltd., BI Worldwide, G-Cube, IActionable Inc,
Axonify Inc., Bunchball Inc., Ambition, Akili Interactive Labs, EveryMove Inc.,
other prominent players.
4. Which end-user segment accounted
for the largest share in the global gamification market?
retail segment accounted for the largest share in the global gamification
5. Which region is at the highest
growth rate in the global gamification market?
North America has the largest share in the global gamification market.