The State of Gaming for Marketers – 2026 Edition

The State of Gaming for Marketers - 2026 Edition
01 KEY findings
10%
paid install share increase YoY while ad impressions surged 20%, revealing AI’s dual impact on gaming channels
AI democratized development and creative production, enabling any studio to generate code, mechanics, and assets at AAA speed. The result: more games reaching market faster, flooding acquisition channels with creative variations and shifting the bottleneck from production capability to marketing excellence.
$25B
total gaming UA spend in 2025, with ~50% flowing into the US alone
US budgets, however, dropped 5% YoY as high costs and competition make incremental scale harder to justify. Spend up 29% and 19% in Turkey and India. Casual holds half of total UA dollars but dropped -7% on Android. Hypercasual economics work on Android (+14%) but declined -14% on iOS.
22%
YoY growth in China-HQ publishers’ global UA spend share to reach 35% of the market
Chinese publishers expanded aggressively across Western markets, gaining share in the US (+15%), UK (+26%), Germany (+31%), and France (+34%). They achieved competitive edge even in mature markets dominated by local publishers, including Japan (+25%) and South Korea (+37%), with Android spending almost double that of iOS.

46% of AI chat queries focus on reporting: Hypercasual chases speed, Midcore and Casino go deeper

Hypercasual teams dedicate over 50% of queries to reporting, prioritizing immediate visibility. Midcore and Casino allocate 15% to explaining changes and anomaly diagnosis. The split reveals Hypercasual optimizing for speed and volume cuts, while Midcore and Casino interpret fluctuations to support longer-term monetization decisions.

66% of iOS IAP revenue comes from Western countries, while emerging markets drive IAA growth

Western countries dominate IAP with 55% on Android and 66% on iOS, with the US alone commanding 45% of iOS spend. Emerging markets show rapid IAA expansion, with Turkey rising 25% across all genres. The split highlights market polarization between high-spending Western IAP hubs and ad-supported non-Western countries.

2,400–2,600 creative variations per quarter produced by top gaming spenders, up 25–30% YoY

Creative performance remains a numbers game where finding winners is increasingly difficult. Smaller advertisers (under $500K) scaled output 20–40% YoY to compete. Lower mid-tier ($0.5–1M) showed flat or declining volume, while upper mid-tier ($1–4M) maintained scale like top spenders. Testing velocity determines competitive advantage.
02 introduction

Gaming’s golden age of marketing

The paradox is clear: AI makes it easier to build and create, but exponentially harder to stand out. In 2025, the bottleneck shifted from production to attention. Content creation exploded, game development accelerated, and creative variations multiplied, but the audience did not grow at the same pace. More games now compete for the same pool of players, often across multiple platforms, and only exceptional marketing backed by strong data foundations can rise above the noise.

AI democratized capabilities once exclusive to AAA studios. Any team can now generate code, mechanics, models, and animations at unprecedented speed. Development cycles shortened, creative testing accelerated, and paid channels filled with more games launching faster than ever. At the same time, player journeys became more fragmented as discovery, engagement, and monetization increasingly span mobile, web, PC, console, and social surfaces. The data reflects this scale and complexity: paid install share rose, ad impressions surged, creative production expanded, and UA budgets continued flowing into increasingly crowded channels. To cope, AI tools became embedded in daily workflows, with most AI assistant queries focused on reporting and performance breakdowns as teams sought faster visibility across growing data volumes.

In short, the production problem is largely solved, but the attention problem has intensified.

Success in 2026 belongs to teams who can stitch data from multiple sources together, making sense of the noise and fragmentation that AI-driven scale and cross-platform behavior create. But unified data alone is not enough. Teams must also understand where attention and value are actually forming: how platforms differ, which genres and regions show momentum, and where budget allocation delivers returns based on accurate signals rather than isolated views.

That is what this report provides. We examine how gaming studios navigated 2025, analyzing where UA budgets flowed, which genres and regions gained momentum, how creative production scaled across spending tiers, and where China-HQ publishers expanded their footprint. We also explore the shift toward hybrid monetization, the acceleration of iOS media diversification, and how AI chat usage varies by genre and team sophistication.



Data sample *
24.8B
Total installs in 2025
14.1B
Paid installs in 2025
9.6K
Gaming apps with at least 10K paid installs per quarter

* All results are based on fully anonymous and aggregated data. To ensure statistical validity, we follow strict volume thresholds and methodologies and only present data when these conditions are met.

Gaming genres groupings as follows:
– Hypercasual: Hypercasual 
– Casual: Puzzle, Party, Action, Match, Simulation, Tabletop, Kids
– Casino: Social Casino
– Midcore: Shooting, Strategy, RPG

03 Top trends

Paid install share trend per sub-category


App install ad spend by platform in top markets in 2025 (USD) *


YoY % change in the share of gaming app install spend of China-HQ apps


IAP revenue split per country among top markets

IAA revenue split per country among top markets


Share of apps by monetization model trend


 YoY % change in the number of paid installs (2025 vs. 2024)


AI assistant questions split by type *


Average number of video creative variations per app by budget tier *


Average number of media sources per quarter by app size *


Newzoo data: Global player revenue by platform (2022-2028F) *

04 Experts’ corner
Felix Thé
Felix Thé
Senior Vice President Product and Technology – Grow, Unity
Emmanuel Rosier
Director of Market Analysis at Newzoo
As studios focus on providing player-first monetization experiences, how important is it for developers to have visibility into the ads shown in their games?

Developer visibility into the ads running in a game is foundational to player-first monetization. We see advertising as an integral part of the player experience, and when developers have deep visibility into ad interactions, they can understand players holistically across every touchpoint in the app – whether through gameplay or advertising. 

Ad experiences directly influence app-store ratings, retention, and ultimately a studio’s brand, which is why advertising should be treated with the same level of care and intention as core gameplay content. 

Unity provides tools like AdQuality that help developers fully understand what ads are running in their apps. We also offer diagnostics and services that allow studios to operate their games effectively. 

With that level of visibility and control, developers can proactively create monetization experiences that reinforce trust and continuously test and iterate using performance metrics such as retention, ARPDAU (Average Revenue Per Daily Active User), and LTV (Lifetime Value).

As IAP-focused games incorporate ads, and IAA-led games introduce IAP, what factors are shaping how developers balance IAP and IAA to drive sustainable revenue?

Several factors shape how teams balance IAP (In-App Purchases) and IAA (In-App Advertising) to build sustainable revenue.

First is meeting players where they are. Teams need a clear understanding of player behavior to decide how and when to monetize. Players are often receptive to ads when they support progression rather than disrupt it. Rewarded ads that help players overcome a difficulty spike, unlock a cosmetic, or speed up a timer tend to perform better and cause less friction.

Second is thoughtful monetization design. When IAP and IAA are designed together — rather than as separate systems – monetization becomes part of the core game loop, not a bolt-on. Ads are best used to support progression or access, while IAP focuses on personalization and convenience.

When these roles are defined upfront, and players are segmented by engagement and spend behavior, both models can reinforce each other and create a more stable, long-term game economy.

At the same time, shifts in industry dynamics are giving developers more flexibility in how they deliver and monetize IAP, including opportunities to reach players more directly.

In a crowded market, how can studios reach the right players for their games, and what dynamics are shaping effective discovery today?

Discovery is about matching the right players to the right games at scale. At the moment of acquisition, studios have limited insight into who a new player is, which makes discovery a cross-application, platform-level problem — and one where platforms have a real structural advantage.

What studios can control is how well they understand the channels and tools they use to acquire players. Teams that do this well design stronger creatives, choose the right creative volume, and apply channel-specific tactics that drive better results across their portfolio. 

Over time, platforms that span development through live operations, like Unity, can connect player behavior back to how games are built and experienced, closing the loop between discovery and long-term growth.

How will advances in AI-driven modeling reshape UA strategy diversification in 2026, and what impact will AI have on precision targeting and cross-geo/channel portfolio allocation?

AI-driven modeling is changing diversification in UA by acting as a productivity multiplier, enabling studios to generate significantly more creatives and improve them continuously over time.

This shift goes beyond efficiency and has a real impact on marketing effectiveness. Faster iteration and customization help teams tailor creatives and campaign setups by specific channel and market, leading to stronger overall UA performance.

Beyond workflows, AI will fundamentally change how UA systems operate. As models become more sophisticated, precision-based value identification will increasingly replace reliance on large volumes of low-intent traffic.

The result is more relevant ads, better-controlled ad experiences, improved discovery, and higher player satisfaction and retention — benefiting the entire ecosystem.

What role do longer-window optimizers play in shaping smarter budget allocation across different games, cohorts, and markets?

Early indicators like D1 (Day-1) or D3 (Day-3) retention remain important signals for validating performance and ensuring campaigns are tracking as expected. With the addition of longer optimization windows, developers now have more choice than ever to select the approach that best matches their app’s behavior and monetization model.

Games with longer retention horizons can benefit from extended cohorts, while still using shorter-window campaigns for validation, learning, or policy checks.

More casual games with simpler mechanics can continue to rely primarily on shorter windows and, in doing so, face less competition for the player profiles they target-profiles that longer-cycle games may deprioritize as they shift more budget toward longer cohorts.

There’s a clear tension between rising UA costs and monetization. How do you expect this dynamic to evolve by 2026? (with or without the impact of AI)

In 2026, we want developers to have more choice. Choice puts control back in their hands—and that’s what Unity has always stood for. We exist to help game creators succeed; it’s in our DNA. And that means making sure user acquisition cost and monetization aren’t in tension.

Tension shows up when UA costs rise without corresponding gains in monetization. That growing gap creates real challenges for studios to grow. Our role is to help close that gap by ensuring that UA and monetization work hand in hand — and the most effective way to do that is by giving developers more choice than ever, so they can decide which partners and solutions best fit their needs.

On our side, advances in AI-driven innovation will play a big role, enabling more precise value identification and targeting so UA spend works harder, delivering greater returns. 

That efficiency, in turn, allows us to support more premium payouts for developers who choose to monetize through advertising, while improving ad relevance and reducing wasted ad load. The result is a healthier ecosystem where ad experiences are more efficient and the entire developer community benefits, both in UA and monetization.

From your vantage point on PC and console, what changed most in player behaviour in 2025 as games expanded beyond single platforms?


From a PC and console player behavior point of view, the biggest change in 2025 was where player loyalty sits.

Established IPs still proved their resilience. Franchises like Battlefield and Monster Hunter continue to perform when they deliver a genuinely compelling experience. Brand equity still matters, but it is no longer a sufficient moat on its own.

At the same time, there has never been a better environment for viral breakout success from newcomers. Titles like Schedule I or Peak benefited from creator-led discovery, short-form video, and rapid community amplification. Visibility is less gated by platform holders than it used to be, and more driven by social momentum.

In parallel, platform boundaries blurred further. “Games as platforms” such as Roblox and Fortnite reinforced a shift toward hardware agnosticism. Players increasingly move fluidly between living room, desk, portable, and mobile contexts, often within the same ecosystem and account. The device matters less than continuity of identity, progression, and social presence.

The net result is a bifurcation: strong legacy IPs can still win big, but discovery dynamics now allow new entrants to scale faster than ever—and players increasingly follow experiences, not hardware.

How are discovery and attention shifting for PC and console titles, especially as creators, communities, and social platforms play a bigger role?

Discovery and attention for PC and console titles have shifted decisively outside traditional storefronts.

With thousands of games releasing each year, achieving meaningful share of voice on platforms like Steam or console stores has become increasingly unrealistic, especially without top-tier featuring. As a result, awareness and intent are now formed upstream, through creators, communities, and social platforms. Store pages have effectively become conversion points rather than discovery engines.

Creators and community dynamics now act as primary filters. Short-form clips, streams, memes, and update-driven moments determine which games even enter player consideration. This favors titles that are socially legible and watchable, not just mechanically sound. Virality is less manufactured and more emergent, driven by authentic engagement rather than campaign timing.

This shift is even more pronounced among younger audiences, many of whom spend significant time in platform-games like Roblox. Rather than competing with these ecosystems, publishers increasingly need to use them as on-ramps. Branded or native experiences inside such platforms can build early IP familiarity and emotional attachment, later redirecting players toward premium PC or console titles.

Despite the noise, two levers still cut through. High product quality remains the strongest amplifier: in a social-media-driven environment, word of mouth scales rapidly, and quality directly fuels shareability. In parallel, demos are regaining relevance. They reduce friction, build trust, and give both players and creators a low-commitment way to engage—particularly important in premium-priced ecosystems.

Overall, discovery is no longer won at launch or inside stores. It is earned continuously, through experience, recommendation, and sustained social visibility across ecosystems that increasingly sit beyond traditional PC and console boundaries.

What are studios underestimating when they move from mobile-first growth into PC and console ecosystems?

Studios moving from mobile-first into PC and console underestimate expectation depth, IP stewardship, and the impact of pricing norms.

PC and console players expect long-term mastery, systemic depth, and technical reliability from day one. Cadence alone is insufficient; if core gameplay or performance falters, retention drops quickly and is hard to recover. These expectations are closely tied to fidelity to IPs. Players judge new titles against past entries, genre benchmarks, and the promises an IP has built over time. Design or monetization shifts are often framed as dilution rather than iteration.

This is reinforced by pricing context. Many successful PC and console titles remain premium, pay-to-play, and premium pricing carries premium expectations around quality, completeness, and vision. Conversely, free-to-play is still not the default model on these platforms and can suffer from a perception of lower quality or aggressive monetization before players even engage.

Combined with vocal, technically literate communities, this makes credibility, consistency, and stewardship critical—and frequently underestimated.

How are monetization models evolving on PC and console, and what does that mean for studios running hybrid or cross-platform strategies?

Monetization on PC and console is continuing to hybridize, but designing in isolation is increasingly impossible as games ship on more platforms by default.

Premium pricing still plays a central role, particularly on PC and console where upfront payment signals quality and completeness. Live monetization layers – cosmetics, passes, expansions – are broadly accepted, but only when they feel additive rather than corrective.

As titles expand across platforms, players naturally compare value, progression, and entitlements. Differences in pricing, content access, or progression speed between PC, console, and other devices are quickly noticed and often perceived as unfair. What might have been a local optimization on one platform now has global consequences for trust and retention.

Free-to-play remains viable but uneven. On PC and console, it is largely concentrated in category leaders. New F2P titles face skepticism around monetization intent, especially when cross-platform economies feel unbalanced or opaque.

The implication for studios is structural. Monetization can no longer be optimized per platform or per P&L in isolation. Business models must be designed holistically, aligned with IP positioning and long-term engagement, because players increasingly experience the ecosystem as a single, continuous product.

What markets or regions surprised you most in 2025 in terms of PC and console growth or engagement?

Tiago Reis, Market Analyst at Newzoo: If I had to highlight one market for PC, it would be China. The 2024 release of Black Myth: Wukong had a massive impact on the Chinese PC market. We expected the lack of a comparable hit in 2025 to stall further growth, especially given signs of saturation from an aging population and high existing spend, as well as domestic launches shifting revenue between titles rather than expanding the pie.

However, full-year availability of 2024 releases (e.g., Marvel Rivals, Delta Force), the sustained momentum from Activision Blizzard titles (World of Warcraft, Hearthstone, Overwatch), following their 2024 return via NetEase, and solid performance of existing titles drove sizeable gains in 2025. Revenue growth from giants like Tencent and NetEase, based on the first nine months of financials we have access to, signals healthy prospects for the overall market.

As studios scale across platforms, where do you see the biggest measurement and decision-making blind spots today?

The biggest blind spots are player-level understanding and cross-platform context.

Many studios still measure performance in platform silos – PC, console, mobile – while players increasingly move fluidly between them. Identity resolution remains weak, making it hard to see overlap, migration, and true incremental growth versus cannibalization. As a result, teams often optimize per platform without understanding total player value.

Time allocation is another gap. Revenue and MAUs are tracked, but where players actually spend time—across devices, modes, or titles within a portfolio—is less visible. This leads to distorted priorities in live operations and roadmaps.

Finally, data is often abundant but poorly synthesized. Telemetry explains what happened, not what to do next. Organizational structures reinforce this problem: platform P&Ls and regional ownership encourage local optimization, while the player experience is increasingly global.

The issue is not data availability, but measurement models that no longer reflect how players engage across ecosystems.

Looking into 2026, what should gaming marketers rethink if they want to grow in a play-anywhere world?

Stop planning per platform. Messaging, creators, and beats should follow player moments, not devices. Marketing needs to align with live operations, not launches. Most importantly: optimize for sustained visibility, not day-one spikes. Attention is now earned continuously, or lost quietly.

06 key takeaways
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Unify data foundations as AI scales

While everyone rushes to adopt AI tools, fragmented data undermines their effectiveness. AI-driven production creates scattered signals across platforms, networks, and tools. Stitch data from multiple sources into unified foundations as you scale AI capabilities. Since AI is only as good as its data, teams building accurate, centralized data systems will outperform those chasing AI capabilities with fragmented inputs.

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Test emerging markets as efficiency signals appear

As costs and competition intensify in mature markets, several emerging regions show signals worth testing for improved efficiency. Markets such as Turkey, India, Bangladesh, Venezuela, Nigeria, Kenya, and Mexico are seeing paid-install growth and expanding ad-based monetization as some top markets contract. These signals suggest potential improvements in payback dynamics, making them candidates for genre and platform-specific testing.

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Expand iOS media mix for incremental scale

iOS gaming advertisers operate across significantly more media sources than Android, with diversification accelerating across all genres. Incremental iOS scale increasingly comes from adding channels rather than pushing existing ones harder. Test expanding media source coverage systematically as you scale to maintain efficient growth, hedge against platform volatility, and access new user pools.

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Use AI to speed insights, not reporting

Most AI chat queries currently focus on reporting and speed, but advanced teams use AI differently. Hypercasual prioritizes immediate visibility while higher-LTV genres leverage AI to interpret fluctuations and support longer-term decisions. Explore advanced AI usage patterns beyond basic performance reporting to extract strategic insights from your data, identify anomalies early, and inform live-ops and monetization strategies.

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Scale creative output to stay competitive

Creative performance remains a numbers game where finding winners is increasingly difficult. Top spenders continue expanding production while mid-tier advertisers showing flat output reduce their chances of discovering winners. Use AI-assisted production and measurement tools to increase testing velocity and improve your odds of identifying what works in saturated acquisition channels.

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About the authors

Shani Rosenfelder

Director of Global Content Strategy & Market Insights at AppsFlyer

Shani is the Director of Global Content Strategy & Market Insights at AppsFlyer. He has over 10 years of experience in key content and marketing roles across a variety of leading tech companies and startups. Combining creativity, analytical prowess and a strategic mindset, Shani is passionate about building a brand’s reputation and visibility through innovative, content-driven projects.

Yuval Hay Hirsh

Data Analyst

Yuval Hay is an Industry Data Analyst at AppsFlyer, with 4 years of experience specializing in marketing data exploration and research. Passionate about uncovering insights and identifying new data opportunities, Yuval Hay helps drive strategic decision-making through deep data analysis and exploration.

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