As we approach the year's end, the realm of mobile hybrid casual games is poised to surpass the $2.1 billion mark in total revenue, according to the latest data. This significant growth is particularly evident in action-based and puzzle hybrid games, contributing to a remarkable fourfold increase in annual revenue since 2019 when it stood at $600 million.

In 2023, the top 10 hybrid casual games in China alone have generated nearly $600 million, nearly matching the global milestone set four years ago. Interestingly, this surge isn't confined to a specific game type, as hyper casual games have witnessed a decline in popularity in China this year. Moreover, China's top 30 mobile revenue earners in 2023 have transitioned from 20% hybrid casual games in 2019 to a substantial 43%, claiming nearly half of the list in this crucial market.

Globally, hybrid casual game revenues reached $1.6 billion in 2022, showcasing an impressive 60% yearly increase. While revenues continue to rise, reaching $2.1 billion in 2023, the growth rate has moderated to 30%. The genre's success is attributed to mobile gamers embracing current retention strategies and the more midcore elements of hybrid casual games.

As the genre expands, questions arise regarding its ability to navigate challenges faced by hyper casual games in 2024. Despite this, the diversification of revenue sources beyond advertising is notable. From January to November 2023, a significant 93% of the world's top 100 hybrid casual mobile games adopted the currency wallet model. Additionally, 74% and 67% of these games incorporated Novice Gift packs and online event monetization strategies, signaling a shift towards various and innovative monetization approaches.

Voodoo, a French developer highlighted in the report, transitioned to a hybrid casual model last year, resulting in an impressive 250% increase in revenue. France has quickly recognized the decline of hypercasual games, with only 3% of its games produced last year belonging to the genre, while nearly twice as many had already adopted a hybrid approach. The evolution of hybrid casual games is evident as they continue to redefine the mobile gaming landscape.

Source: adapted from an article by Anne Freer, Writer for Business of Apps.