The Future of Gaming? : A study on the effects of cloud gaming on traditional game purchase and engagement

In recent years, there has been an increased number of people that are engaged in gaming - a phenomenon connected to constantly developing internet infrastructure and a growing middleclass. The phenomenon of Cloud gaming has received increasing attention since it was introduced some years ago; in 2022 all Cloud gaming services combined had 31,7 million paying users. The number that is estimated to triple by 2025. Given this information, we proceeded to identify a gap in previous literature within the topic of Cloud gaming. Previous research within the topic of Cloud gaming has predominantly discussed Cloud gaming as a business model rather than focusing on consumers. We sought to seize the opportunity to fill this research gap by studying consumers' motivations to engage in this new technology and examine which factors can influence the customer's decision-making process in the path to purchase. We also wanted this study to contribute to marketing practice by examining important current research priorities within the field of marketing. In order to investigate our research purposes, we adopted an exploratory qualitative study where we, with the help of online focus groups, investigated the customers' perceptions of Cloud gaming as a service and their motivations to engage in it. Another purpose of this study was to find out how the gaming industry may be affected by the increased usage of cloud gaming, therefore we wanted to conduct a semi-structured interview with an industry representative. The most interesting result of this study indicates that a somewhat odd situation arises for the Cloud gaming companies where the respondents who spent the least amount of money and engage the least in traditional gaming, showed the greatest motivation to engage in Cloud gaming. Therefore we suggest that there are a number of different measures that must be kept in mind by marketers within the industry.