Hybrid casual games poised to exceed $2.1B in revenue by year-end 2023

Per a recent analysis from Sensor Tower, a substantial 30% surge in revenues for hybrid casual games throughout this year. As we approach the end of 2023, the genre is projected to surpass an impressive $2.1 billion in total revenue.

Notably, the most significant boosts in revenue were observed in action-based and puzzle hybrid titles. The genre as a whole has experienced a remarkable fourfold increase in annual revenue since 2019 when it stood at $600 million. 

In the Chinese market alone, the top 10 hybrid casual games of 2023 have collectively generated almost $600 million, nearly matching the global milestone set four years ago. Interestingly, this surge is not limited to a specific segment, as hyper casual games witnessed a decline in popularity in China this year. Moreover, China’s top 30 mobile revenue earners have shifted from 20% hybrid casual in 2019 to a substantial 43% in 2023, claiming nearly half of the list in this crucial market.

On a global scale, hybrid casual revenues reached $1.6 billion in 2022, showcasing a remarkable 60% yearly increase. Although revenues have continued to climb, reaching $2.1 billion in 2023, the growth rate has moderated to 30%.

Mobile gamers are evidently embracing current retention strategies and the more midcore elements of hybrid casual games, contributing to the ongoing success of the genre as it surpasses the $2 billion milestone. However, as the genre ascends the revenue hill, whether it can avoid the stumbling block faced by hyper casual games is a pertinent question for 2024.

Hybrid casual mobile games are also diversifying revenue streams beyond advertising monetization. In the period from January to November 2023, a notable 93% of the world’s top 100 hybrid casual mobile games embraced the currency wallet model. Additionally, 74% and 67% of these games incorporated Novice Gift packs and online event monetization strategies, showcasing a shift towards varied and innovative monetization approaches.

Among the notable companies highlighted in the report is Voodoo, the French developer that transitioned to a hybrid casual model last year, resulting in an impressive 250% increase in revenue. France swiftly identified the decline of hypercasual, with only 3% of its games produced last year belonging to the genre, while nearly twice as many had already adopted a hybrid approach.