According to the New Zealand Game Developers Association (NZGDA), the New Zealand game development industry has achieved a record NZ$548 million in pre-tax revenue for the 2023/2024 financial year, representing a 26% increase from the previous year’s revenue of NZ$434 million.
The industry’s strong performance highlights its resilience and growth potential, making it one of New Zealand’s fastest-growing creative sectors. Despite global economic challenges, the industry thrives, creating high-value jobs and expanding its international reach.
According to the association, over 53% of studios expect further growth in 2024/2025, with 31% forecasting significant growth of more than 20%.
New Zealand game developers earned revenue from various platforms, with 51% generating income from PC games, followed by 24% from mobile platforms and 14% from consoles.
The industry’s international footprint continues to expand, with studios employing overseas staff and considering further expansion into key markets like Australia, driven by favourable incentives.
While the report highlights the industry’s significant growth, it identifies key challenges, including skill shortages and reliance on international talent. The most critical roles in demand are programmers (30% shortage), producers (14% shortage), and 2D/3D artists (9% and 7%, respectively).
Additionally, 47% of studios remain uncertain about hiring plans for 2024/2025, reflecting cautious optimism in the face of global market conditions.
The Game Development Sector Rebate (GDSR) program continues to be a critical lifeline. Studios have claimed NZ$22.3 million, which has significantly helped staff retention and reinvestment in business growth.
The number of women in the industry has increased from 22% in 2023 to 28% in 2024, and it is interesting to note that 41% of senior leaders are women.
The industry remains optimistic about future growth, with many studios looking to capitalise on emerging trends such as virtual reality (VR) and augmented reality (AR), which accounted for 15% and 7% of revenue, respectively. The report also highlights the need for continued government support to ensure sustainable growth, especially as some studios consider expanding operations to Australia.
“We are thrilled to see the New Zealand game development industry continue to grow at such a notable rate” said Carl Leducq Chairperson of NZGDA. “This growth clearly demonstrates the talent and innovation within the sector, but it also highlights the opportunity we have as a nation to continue leaning into addressing the skill shortages and helping the industry remain competitive on the global stage.”
