Brazil is the largest country in Latin America in terms of population and area. It is home to over 220 million people. Moreover, the country’s internet penetration rate stands at 86.6%, which facilitates gaming industry growth. According to data from Newzoo, Brazil ranked tenth in the world in terms of video game revenue in 2022 but was overtaken by Mexico a year later. Nevertheless, Brazil is showing steady growth, and it’s quite an attractive market for domestic and foreign developers looking to enter new regions.
What does the Brazilian gaming market look like?
The history of video game development in this country is unique. Up until the 1990s, only locally produced consoles and products were available in Brazil, where they developed both original technology and adaptations. It wasn’t profitable for big companies to enter this scene: the country imposed strict import taxes until 2009. So a black market sprung up, where the gap was filled by pirated copies and cloned games. In order to mitigate revenue loss, foreign companies decided to reach out to local developers and create joint offerings. That’s exactly what Sega did by making a deal with the Brazilian company Tectoy to manufacture its consoles, which helped them dominate in the 1990s with a market share of almost 80%.
Now the country is experiencing a tech boom: over the last 10 years, the number of people with internet access has increased by more than 80 million. Digital games are growing more and more relevant by the year as one of the main forms of entertainment for Brazilians. In 2020, 57.1% of users considered games to be one of their main forms of entertainment, and by 2024, that figure had grown to 82.1%. Smartphones are the most popular platform in Brazil: they’re preferred by 78% of gamers. Computers and laptops are the platform of choice for 42%, while 39% choose consoles. This has to do with the fact that the price of PlayStation, Xbox and Nintendo devices remains too high for the majority of consumers in contrast to domestically manufactured phones and computers.
Platform use relative to user income level. Gamers in Class A have a monthly income of approximately $3,000, while Class DE earn approx. $300.
Source: Pesquisa Game Brazil 2024
Despite the insular development of Brazil’s gaming industry, the number of local game development studios has only begun to grow rapidly in the last 10 years, reaching 1,042 companies in 2023. For comparison, there were 133 in 2014. In 2022, Brazilian developers achieved revenues of $251.6 million, where the lion’s share was generated by PC games.
Who plays there?
The representation of men and women in the audience is almost equal: 50.9% and 49.1%. But their interests differ significantly: women prefer mobile games, while men opt for the PC and consoles. Users in the main consumer age group are 20–39 years old. Different age groups have different platform preferences: young people aged 16–20 prefer computers, while consoles and smartphones are the platform of choice for gamers aged 30–40.
Percentage of gaming platform use by men and women.
Source: Pesquisa Game Brazil 2024
A report conducted by Newzoo in 2022 found that just 43% of gamers spend money on games. The main motivations to make purchases were access to exclusive content, characters, or in-game items, along with making it easier to advance in the game. The main underlying reasons why users sought this content would be to achieve success, gain new skills, and fulfill social needs.
Statistics on in-game purchases made by users in 2022.
Source: Newzoo
In the mobile segment, casual games enjoy great popularity, along with games in the battle royale, shooter, and MOBA genres. The most popular computer and console products are shooters and MOBA games, along with action adventure games.
Ranking of mobile games by the number of downloads
Not only is the choice of a product influenced by game quality, it’s also influenced by audience engagement in esports. The Pesquisa Game Brazil 2024 survey found that over 66% of gamers watch tournaments and follow their favorite teams. The most popular esports gamers include: FalleN (CS:GO), brTT (League of Legends), ziGueira (Rainbow Six Siege), and Nobru (Free Fire).
Esports is an industry experiencing rapid growth in Brazil, and the country has already earned itself a title by becoming one of the top-5 highest earners in the global esports arena.
What do they create in Brazil?
Since 2015, the Brazil Game Awards have been held on an annual basis in the country and have become international over time. The award celebrates the market’s outstanding achievements, and also highlights the cultural and economic influence video games have. The winners tend to transcend the country’s borders.
Fobia – St. Dinfna Hotel
A game from the survival-horror genre by Pulsatrix Studios—winner of the Brazil Game Awards 2024. In the game’s plot, the player has to investigate an abandoned hotel and solve puzzles to uncover the secrets of a local cult and defeat monsters. Fobia is available on PC, PS4, PS5, Xbox One, and Xbox Series X.
Horizon Chase 2
Arcade racing game by Aquiris Game Studio—winner of the Brazil Game Awards 2023. The design evokes retro vibes, inspired by 16-bit games. The main soundtrack was written by Barry Leitch, who has also worked on Top Gear. It was launched on Apple Arcade, Nintendo Switch, and PC.
Out of Space
A multiplayer strategy game of survival by Behold Studios—winner of the Brazil Game Awards 2020. In the game’s plot, characters find themselves on a small spaceship, which is being infested by an alien goo. In order to survive, they need to clean up the dirt left by the goo and constantly keep the power of the spaceship on. Out of Space can be installed on PC, Nintendo Switch, PlayStation 4, and Xbox One.
What do you need to consider when localizing?
Despite the numerous game studios and impressive level of indie games in the country, users prefer products created abroad. What are important points to consider so that they choose you?
Language
Brazil is the only country in Latin America where Portuguese is the national language. But there’s a nuance—it’s different from the European Portuguese language. Entering both markets with one and the same translation won’t cut it: the difference isn’t only in how words are pronounced, they can also have different meanings.
For example, the word “rapariga” would mean “girl” in Portugal, but it’s a word for a lady of the night in Brazil. The correct equivalent term for “girl” in Brazil would be “moça”.
Platform and advertising
Despite the fact that users pay more attention to mobile games, local publishers are geared towards creating content for the PC and consoles. This opens up great opportunities for foreign companies dominating the mobile segment.
But you should bear in mind that 77% of gamers in Brazil prefer phones that use the Android operating system, so a Google Play Market release should be the focus when launching on digital platforms in this region.
Analysts of the Brazilian gaming market believe that the main problem in low-popularity local games is the absence of advertising. That being the case, over 60% of gamers access content after they’ve been offered it. Marketing is a key ingredient in target-market success, proven by the popularity of large companies.
Cultural sensitivities
The seasons in Brazil are different to the European seasons: summer lasts from December through March. This is the time when schoolchildren have their summer holidays. New Year and Christmas are celebrated in the warmest months of the year, so Papai Noel, the local Santa Claus, doesn’t wear a coat, but walks around in light silk garments instead.
One of the most colorful festivals in Brazil and an integral part of the local culture is the Carnival in Rio de Janeiro. It can last from five days to a week. This is a wonderful opportunity to create in-game events, characters, and items.
Here at Inlingo, we don’t just translate, we consider all the nuances and target-audience sensitivities in the country of localization. Tell us about your project, and we’ll help it win your desired market, including Brazil.
