Casual gaming market sees significant growth in 2024: Royal Match and Monopoly GO! lead the charge

The casual gaming industry experienced a remarkable year in 2024, generating $15.2 billion in in-app purchase (IAP) revenue across major markets. A recent report from AppMagic reveals that Dream Games’ Royal Match dominated the match-3 subgenre, earning 51% of its total IAP revenue in top Western countries, including the US, UK, Canada, France, Germany, and Australia. Despite this success, the broader match-3 market showed signs of decline, with an 8% revenue drop when excluding Royal Match and a 12% decrease in downloads even with its performance factored in.

The report highlighted a shift in focus for Royal Match during 2024, with monetization and live operations taking center stage over audience expansion. This strategic pivot resulted in an impressive revenue-per-download (RpD) of $55 by December. The overall casual games market recorded an 11.7% year-on-year revenue increase and a 4.1% rise in downloads across tier-one countries. Subgenres such as merge-2, match 3D, sort puzzle, and casual casino all contributed to this growth, showcasing varying levels of success and innovation.

Merge-2 games were among the fastest-growing segments in 2024, witnessing a 106% revenue increase to $527 million and a 43% rise in installs, reaching 60 million downloads. Unlike the match-3 segment dominated by a single title, merge-2 growth was driven collectively by popular games such as Metacore’s Merge Mansion, Moon Active’s Travel Town, and Microfun’s Gossip Harbour and Seaside Escape.

The sort puzzle genre experienced explosive growth, surging by 460% from $20 million to $112 million in revenue. Match 3D followed closely with a 97% increase, reaching $381 million, while the casual casino subgenre saw nearly 60% growth, hitting $2.19 billion in revenue.

Monopoly Go! emerged as the undisputed leader in the casual casino space, capturing 55% of the segment’s total earnings. Its dominance was so significant that analyzing the genre’s trends essentially revolved around monitoring its revenue trajectory. Coin Master and Dice Dreams trailed with 18% and 7% market shares, respectively. This concentration of player spending has made casual casino one of the industry’s most monopolized markets, with only 20% of revenue coming from titles outside the top three.

Looking ahead to 2025, AppMagic predicts that Playtika’s recent acquisitions of InnPlay Labs and SuperPlay could introduce new dynamics to the casual casino segment. Additionally, the report suggests that hypercasual puzzle games might be worth watching for further growth and innovation. As the gaming landscape continues to evolve, strategic monetization efforts and emerging subgenres are expected to shape the industry’s future trajectory.