North American gamers spend an average of $325 on gaming annually, accounting for 28% of world market spending, a brand new report has discovered.
Printed on August 12, 2025, the report by Newzoo and Tebex analyzed participant habits and fee tendencies within the West.
In line with the findings, the West video games market is seeing slowing “payer progress,” with a 1.1% compound annual progress fee (CAGR) in North America and three.1% CAGR in Europe between 2023 and 2027. As such, Newzoo and Tebex advocate studios “shift from buying new gamers to maximizing worth from present ones.”
The report discovered that the worldwide market measurement is $189 billion (up 3.4% year-on-year), with North America accounting for 28% ($52.7 billion) of that complete, and Europe making up 18% ($33.1 billion).
Whereas North America and Europe home solely 20% of gamers (3.54 billion), the areas, collectively, account for 46% of world spending.
Elsewhere, the report discovered that North America leads in annual spend per participant, with gamers spending an average of $325 every year.
European gamers spend virtually thrice much less, with an average of $125. Cumulatively, Western gamers ($170) spend greater than thrice what Jap gamers ($51.60) do on average.
The motivations behind participant spending in these areas additionally differ. 34% of North American gamers spend cash to unlock unique content material, whereas 29% accomplish that on personalisation/character customization.
In Europe, 28% of gamers prioritise offers and gives, with 21% valuing ad-free experiences. The report means that “discounted bundles and subscription fashions can improve conversion on this area.”
The report additionally discovered that there’s range in participant spending patterns between areas. In North America, 27% of gamers put money into content material packs, power-ups, and in-game currencies, 24% purchase subscriptions, and 23% buy battle passes.
European gamers, however, spend probably the most on in-game currencies and content material packs (21% every), 20% on subscriptions, and 18% on gear and time-saving options.
The analysis additionally reveals that Microtransactions drive 49% of PC and 52% of console income in North America, with shooters the favored style. In Europe, they drive 42% of PC and 51% of console income, with sport the highest style. Cell, nevertheless, is “close to 100% in-game income.”
The report goes on to advocate that corporations can “considerably improve” average transaction worth (ATV) in Western markets by providing various fee strategies, similar to Purchase Now Pay Later and cryptocurrency, “with out sacrificing transaction quantity.”
“At the moment’s gamers wish to know what they’re paying for – and why,” says Liam Wiltshore. Tebex’s head of funds and compliance. “The way you monetize issues greater than ever.”