Just over two years ago, Netflix announced its foray into the gaming industry with a unique approach: offering free games without ads or in-app purchases. Now, it seems that the gamble has paid off. Market intelligence firm Sensor Tower has estimated that Netflix Games has seen an impressive 180% year-over-year increase in downloads in 2023. The games have been downloaded a total of 81.2 million times worldwide on the App Store and Google Play, with the majority of downloads occurring in the fourth quarter.
This significant growth is a significant jump from 2022 when Netflix Games saw 28.7 million downloads. Initially, Netflix Games started with a collection of casual games and titles associated with popular Netflix shows like Stranger Things. However, the company quickly began acquiring game studios such as Night School Studio, Spry Fox, Next Games, and Boss Fight Entertainment to expand its portfolio and cater to diverse gaming preferences.
While Netflix sets its sights on cloud gaming as the next frontier, its mobile gaming division continues to gain traction. Among its titles, Grand Theft Auto: San Andreas stands out as the most downloaded game in Netflix’s history and the top download across its entire gaming portfolio in a single month, according to mobile app intelligence firm Appfigures. Additionally, GTA: Vice City and GTA III rank as the 6th and 11th most downloaded games for 2023, respectively, based on Sensor Tower data.
The release of the GTA titles alone resulted in over 6.4 million downloads within a week of their debut. Collectively, they accounted for approximately 17% of Netflix’s gaming downloads in 2023, cementing their popularity among mobile gamers and potentially serving as a compelling reason for users to maintain their Netflix subscriptions for free access to games.
While the Action genre dominates Netflix’s gaming offerings, thanks in large part to the popularity of GTA titles, the company’s gaming audience is not limited to a single genre. The Lifestyle genre, driven primarily by games tied to the TV show Too Hot to Handle, is the second most popular. Additionally, the Puzzle genre ranks third due to the success of Storyteller, a fairy tale puzzler that accounted for 10% of Netflix’s game downloads in the past year, as reported by Sensor Tower.
Despite the success of the GTA titles and other popular games, Netflix’s gaming division experienced a decline in daily downloads following the initial surge. Notably, GTA: San Andreas went from 1 million downloads on December 16, 2023, to less than 100,000 downloads by the following Monday, indicating a tapering off of interest.
In an effort to maintain momentum, Netflix is building an AAA studio from scratch to develop a multi-platform game based on unique IP. The studio will be led by seasoned industry veterans, including Chacko Sonny, Gavin Irby, Joseph Staten, Rafael Grassetti, and Jerry Edsall. This new addition would join Netflix’s existing roster of 89 games across platforms, a number set to grow in 2024 with the announcement that nearly 90 more games are currently in development.
Netflix’s gaming strategy revolves around a mix of titles tied to its streaming content and standalone games. While popular shows like Stranger Things have their own game adaptations, successful titles like SpongeBob: Get Cooking prove that tie-ins to Netflix programming are not necessary for gaming success. The company’s focus on regular releases, ongoing promotion, and user-friendly recommendations within the app has contributed to its steady growth in the gaming market.
As Netflix continues to expand its gaming offerings and experiment with cloud gaming, the company is becoming a force to be reckoned with in the gaming industry. With its unique approach to free, ad-free gaming experiences, Netflix is carving out a niche for itself and offering a compelling reason for consumers to subscribe to its platform.
