The rising proliferation of gaming culture across major economies, increasing popularity of e-sports, and rise in disposable income of the population, are primarily responsible for the positive advancements in the gaming peripherals market, especially over the past decade.
The global gaming peripheral market size is expected to reach USD 6.96 billion by the year 2025, according to a new report by Grand View Research, Inc. Additionally, the report also states that the industry is poised to advance at a steady CAGR of 10.4% from 2020 to 2025. The gaming industry has witnessed a spectacular rise in the past few years, aided by the development of quality studios, innovations to increase the immersivity of games, and a consistent growth in the gamer demographic due to the availability of different platforms. This has consequently created a high demand for premium gaming accessories such as headsets, mice, and specialized keyboards. Furthermore, the continued improvements in processors and GPUs in recent years from manufacturers such as Nvidia and AMD have also greatly enhanced the development of the gaming industry. The online gaming community has also developed greatly, particularly in developing nations such as India and China, which has increased the demand for accessories such as premium headphones.
The accelerated development of video game consoles by Sony, Microsoft, and Nintendo has enabled a variety of compatibility options that can be used with the devices. In line with technological developments, a slew of up-and-coming gaming companies specializing in developing AR and VR games have become a major revenue-generating source for the gaming peripherals market. Studios are also focusing on games that can impact the senses most realistically, and thus recommend the use of high-quality peripherals such as headphones for maximum immersion in the in-game environment. Development of horror games that consider sound design and environment a crucial aspect of their appeal has also increased significantly, with many indie developers striving to develop quality games in this area. These favorable scenarios are expected to drive the demand for accessories such as headphones, as a means to enhance player investment. The scope of gaming hardware market has gone to a vast extent encompassing a lot of diversity of applications. Additionally, the launch of various games that put a premium on fast reflexes have also encouraged the launch of ergonomic and multi-functional accessories. To generate sales and propagate the quality of their products, gaming peripheral companies undertake partnerships with streamers on platforms such as Twitch to promote their products.
Gaming Peripherals Market Report Highlights
- The continued growth in the online gaming industry, which places emphasis on player co-operation and teamwork, has presented a major opportunity for developers of peripherals. Games such as PUBG, Fortnite, and DOTA have had an ever-expanding community of gamers, with a number of tournaments taking place on local and international levels that are driving their popularity
- Development of peripherals such as virtual reality headsets by notable organizations such as Oculus, HTC, Samsung, and Microsoft, has helped improve gamer experience; further innovations in the coming years are expected to accelerate the popularity and growth of the gaming peripherals industry
- In terms of product, headsets accounted for the highest share of more than 30% in the gaming peripherals market in 2019; segments such as keyboard and mice are expected to substantially contribute to the industry revenue in coming years, with companies such as Razer and Logitech consistently introducing innovative offerings in these areas
- With regards to device, the gaming consoles segment is expected to register the highest CAGR over the forecast period in the gaming peripherals market. The widespread popularity of consoles such as PS4 and PS5, as well as Xbox One and Xbox Series X is expected to drive the segment growth, with console owners becoming more selective and demanding of innovations in peripherals and accessories
- With regards to the type of gaming peripheral, the wired segment holds dominance in the industry, on account of robust demand for DVD games and other hardware such as joystick, mouse, and other peripherals. Additionally, they are more economical than the wireless peripherals, thus generating heavy demand from novice gamers, and those from developing economies
- In terms of distribution channel, the online segment is expected to witness strong growth over the forecast period in the gaming peripherals market, with a number of developers now focusing on developing their own platforms for release and distribution of accessories and peripherals
- The Asia Pacific region is expected to become a significant contributor to the overall revenue of the gaming peripherals market. The large-scale proliferation of the internet and smartphones, as well as the swelling popularity of e-sports in economies such as India and China, is expected to drive industry advancements over the forecast period
- The COVID-19 pandemic has strengthened the demand for peripherals with regards to PCs and laptops. Sales in this aspect witnessed a boosted growth during 2020, according to a report by The NPD Group. In the United States, sales increased by 62% as compared to 2019, and were more than twice of that in 2017. Analysts claim that PC gaming saw increased investment by consumers, as it is the most accessible segment, with most households having a computer or laptop; the report further states that the demand will remain steady in the near future
- New product launches are the most utilized strategy by companies in the gaming peripherals market. For instance, in July 2021, Razer launched the Barracuda X Wireless multi-platform Gaming and Mobile Headset, a 4-in-1 headset compatible with PC, PlayStation, Nintendo Switch and Android devices
- In July 2021, Turtle Beach’s Germany-based PC peripheral brand ROCCAT introduced the Torch, its first studio-grade USB microphone. The product offers features such as 24-bit audio quality, a dual condenser design, latency-free Mic Monitoring, and a built-in pop filter; it has been tailored for gamers, streamers, and aspiring content creators
Gaming Peripherals Market Segmentation
Grand View Research has segmented the global gaming peripherals market based on product, device, type, distribution channel, and region:
Gaming Peripherals Product Outlook (Revenue, USD Million, 2014–2025)
Gaming Peripherals Device Outlook (Revenue, USD Million, 2014–2025)
- Gaming Consoles
Gaming Peripherals Type Outlook (Revenue, USD Million, 2014–2025)
Gaming Peripherals Distribution Channel (Revenue, USD Million, 2014–2025)
List of Key Players of Gaming Peripherals Market
- Cooler Master Technology Inc.
- Mad Catz
- Plantronics Inc.
- Rapoo Corporation
- Razer Inc.
- Redragon USA
- Turtle Beach