Arcade Gaming Market Size, Share, Growth Analysis, By Type(Video Games, Simulation Games, and Mechanical Games), By Genre(Racing, Fighting, Puzzle, and Other), By End-users(Gaming Hubs, Semi-commercial, and Residential), By Region - Industry Forecast 2024-2031

Arcade Gaming Market size was valued at USD 3.79 billion in 2022 and is poised to grow from USD 3.98 billion in 2023 to USD 5.95 billion by 2031, growing at a CAGR of 5.14% during the forecast period (2024-2031).

The arcade gaming market is characterized by intense competition among key players striving to gain a significant market share. Established companies and new entrants are focusing on product innovation, research and development, and strategic partnerships to stay ahead in the market. Key players are also emphasizing the development of customer-specific and region-specific products to cater to diverse consumer preferences. Mergers and acquisitions are common strategies employed to expand market reach and enhance product portfolios. The competitive landscape is dynamic, with players striving to meet evolving consumer demands and gain a competitive edge in the market. Arcade gaming providers can focus on capitalizing on the retro gaming trend to generate more revenue. Companies can also collaborate with digital game developers to create arcade versions of their games for arcade enthusiasts to enjoy. 'Namco Bandai (Japan)', 'Sega Sammy Holdings (Japan)', 'Taito Corporation (Japan)', 'Bay Tek Entertainment Inc. (US)', 'Capcom (Japan)', 'Chicago Gaming Co. (US)', 'CXC simulations (US)', 'D-BOX technologies (Canada)', 'Raw Thrills (US)', 'VR (US)', 'ICE (Innovative Concepts in Entertainment) (US)', 'Andamiro (Korea)', 'UNIS Technology (USA)', 'Arcade1Up (US)', 'Stern Pinball (US)', 'BANDAI NAMCO Amusement America Inc. (US)', 'Adrenaline Amusements (Canada)', 'Dream Arcade (US)', 'Injoy Motion Corp (China)', 'H2Overdrive (US)'

Nostalgia plays a crucial role in the rise of retro gaming as older people revive their memories through arcade games. Arcade games are simple but enjoyable and this is one of the key factors that is giving rise to the retro gamin trend and driving arcade gaming market growth as well.

In the gaming industry, VR is becoming mainstream, this is because it provides an effective virtual experience. This further boosts the demand for VR-based arcade games. Some of the well-known VR-based games are the VR360 dinosaur attack car arcade game 3D shooter and Sega’s VR agent. So, in this way, VR arcade games can easily draw the attention of the players by providing them immersive gaming experience.

North America dominated the arcade gaming market, as it holds 40% of the market share. The dominance of this region is due to the technological advancement and innovations in the arcade game products of this region. Further, the exponential financial growth as well as the efficient marketing strategies have also resulted in the great demand for arcade games in North America. The United States and Canada are the two key countries that will allow the North American region to hold its dominant stance across the forecast period while losing some market share to the Asia Pacific region.