German Games Market 2025: Growth, Demographics, and Licensing Opportunities

The German games industry’s 2025 annual report reveals a market in transition. Despite a 6% decline in total spending to €9.4 billion in 2024, the sector has grown over 50% since 2019, maintaining its position as Europe’s largest and the world’s fifth-largest games market. Digital sales dominate, with 68% of PC and console games bought online, and in-game purchases and subscriptions driving revenue growth. Smartphones remain the top gaming platform, but consoles have reached a record 20.5 million players.

The player base is aging and diversifying: 37.5 million Germans play video games, with notable growth among those over 60. Women now represent 48% of all gamers. Monetization is shifting, with in-app purchases and online gaming services up 12%, while hardware sales fell 10%. Subscription services are gaining traction, with 25% of players aged 16+ using at least one.

Industry optimism is cautious—only 17% of companies expect positive market development in 2025. However, new government incentives, including €88 million in funding and planned tax credits, aim to boost competitiveness. For the toy and licensing sectors, the evolving demographics, digital monetization, and cross-platform engagement offer new opportunities for merchandise, licensed products, and cross-media concepts.

Source: game – Verband der deutschen Games-Branche (game.de)