- Out-of-app platforms such as direct-to-consumer web stores now account for 26% of mobile gaming revenue in East Asia and Southeast Asia combined, reshaping distribution and monetization strategies
- By 2028, out-of-app monetization revenue may make up a third of the mobile gaming ecosystem in Southeast Asia, Japan, and South Korea.
- In Southeast Asia alone, out-of-app monetization accounted for 38% of mobile gaming revenue in 2024, up from 21% in just two years
SINGAPORE, March 18, 2025 /PRNewswire/ — Coda, a leader in digital content monetization, and Niko Partners, the leading market research firm specializing in gaming markets across Asia have co-published their latest white paper, "Gaming Growth Unlocked: Insights on Distribution, Payments, and Regulations in Asia". The report highlights how regulatory changes, third-party platforms, and local payment methods are reshaping Southeast Asia, Japan, and South Korea’s USD $23.2 billion mobile gaming market, which is home to 357 million gamers.
Key insights: What mobile games publishers need to know
The white paper reveals how out-of-app distribution and alternative app stores are reshaping Asia’s gaming market, driving game discovery and monetization. These channels play a critical role in helping publishers reach new audiences and innovate beyond traditional app stores. Key findings include:
Out-of-app monetization in Asia is accelerating
Transacting outside of primary app stores is now commonplace. Out-of-app platforms and alternative app stores now contribute approximately USD 6 billion—26%—of the mobile gaming revenue in East Asia and Southeast Asia combined. By 2028, out-of-app monetization may account for as much as one-third of the mobile gaming ecosystem in Southeast Asia, Japan, and South Korea if the current growth rate continues.
Regulatory changes are opening new doors
Recent regulatory shifts like South Korea’s "Anti-Google Law" and Japan’s Fair-Trade rulings are opening up the ‘walled gardens’, encouraging publishers to adopt alternative platforms and payment methods. These shifts, along with new tax frameworks in markets like Vietnam and Indonesia are driving out-of-app monetization as game publishers navigate fragmented markets and complexity.
Shane Happach, CEO of Coda, said, "Mobile game publishers know Asia’s potential is massive, but real growth means looking beyond primary app stores. The region is complex and diverse — local payment methods and shifting regulations are reshaping how publishers reach players and drive revenue. There’s no one-size-fits-all solution; out-of-app monetization is key to winning in Asia. Coda offers the solutions and strategies publishers need to tap into the region’s full potential — with ease and at scale. Those who wait are missing out and will be left behind."
Roadmap to success: Key actions for publishers in Asia’s gaming market
To navigate Asia’s ever evolving gaming ecosystem, the white paper outlines key strategic recommendations for publishers:
- Diversify distribution channels: Go beyond primary app stores by exploring alternative out-of-app distribution channels.
- Localize payment methods: Offer local payment options like digital wallets and carrier billing to maximize conversions.
- Adapt to regulations proactively: Partner with market experts to navigate compliance, licensing, and tax regulations while reducing reliance on traditional gatekeepers.
- Tailor marketing funnels: Align marketing strategies with regional consumer behavior, from awareness to purchase, to optimize player acquisition and retention.
"Asia is not just a market; it’s a blueprint for the future of gaming," said Lisa Hanson, CEO of Niko Partners. "The practical implications of evolving corporate policy and government regulation changes on international games business and user acquisition have led to greater opportunity for publishers who incorporate out-of-app monetization and distribution. These strategies help publishers to reduce reliance on traditional app stores and adapt to the diverse needs of Asia’s fragmented markets."
Download the Report
The white paper, "Gaming Growth Unlocked: Insights on Distribution, Payments, and Regulations in Asia" is now available for download. Visit here to access the full report and learn how to capitalize on Asia’s gaming revolution.
About Niko Partners
Niko Partners has been the leading provider of market intelligence on the games industry in Asia for over 20 years. We help our clients understand that global business requires local understanding and solutions. Since 2002, we have been exclusively researching and analyzing the video games and esports markets and consumers in Asia and MENA. We cover China, Egypt, India, Indonesia, Japan, Malaysia, Philippines, Saudi Arabia, Singapore, South Korea, Thailand, United Arab Emirates, and Vietnam.
Our year-round, ongoing data-driven market research informs and benefits all custom client work. We collect and aggregate data and news in the Asian and MENA countries we cover on a daily basis, and conduct our own primary data collection. We have a global team of analysts. Native speakers in the countries we cover conduct all of our primary research: fielding surveys, running focus groups, talking to gamers, visiting events and venues, and regularly meeting with game company executives and government officials.
About Coda
Founded in 2011, Coda brings over a decade of experience in delivering commerce solutions and strategies that drive revenue growth. Trusted by more than 300 publishers—including industry titans like Activision, Bigo, Electronic Arts, Moonton and Riot Games—Coda grows revenue and deepens customer engagement for our partners by connecting them to 200M+ paying customers worldwide. Coda’s commerce, payment and distribution solutions include Custom Commerce, a fully customizable web store, Codapay, which provides direct API payments integration on publishers’ websites, Codashop, the go-to online marketplace for millions of gamers worldwide to purchase in-game content and Distribution, where we extend the reach of Codashop content across our network of trusted commerce partners. Headquartered in Singapore with 400+ Codans globally, Coda has most recently been recognized as an APAC High Growth Company (2023) by the Financial Times, one of Granite Asia’s NextGenTech 30 (2024), a payments leader in Fortune’s Fintech Innovation Asia list (2024), and listed in The Straits Times Fastest Growing Fintechs (2024).