ESports is fast becoming the ultimate pastime for teens and young adults, with the global revenues hitting the $1 billion mark this 2019.
That is a significant leap by a whopping 27 percent from last year’s revenues, attributed to burgeoning proceeds from sponsorship, advertising, and media rights to video gaming. Investments from these three channels accounts for more than 80 percent of the total revenues, a sum that has tripled since 2015.
ESports big players like Betway online sports betting, are also reaping big from the entry of popular sports previously not incorporated into video gaming.
For instance, WWE has already indicated that they will be joining in the fray, and, given their global fan base, there certainly is going to be more money in the eSports industry.
What is eSports?
Esports can be analyzed simply as a mode of competitive video gaming comprised of multiple players competing against each other in duels streamed online. They were ideally targeting the younger generation of sports fans following the development and success of video gaming as an alternative to following real sports. However, the thrill has gotten into young adults as well, and the most popular sports are gaining a lot of new following due to the interest shown by all age sets.
Already, eSports is in the mainstream with its superstars and leagues, celebrity owners, and hyped tournaments that take place in sold-out stadiums. Winners of these tournaments are awarded handsomely, with the biggest prizes ranging as high as millions of dollars. Some of the most popular eSports include Dota 2, Legends, and Counter-Strike. Big brands that joined earlier have found real investment in eSports, and what was previously perceived to be experimental budgets is a long term investment bringing in huge sums of money. Betway is one of the latest entrants providing a platform for eSports fans around the world.
ESports per region
North America is the largest hub of eSports, with an expected turnover of $410 million in revenues in 2019, representing 62 percent of the global eSports revenue. China comes second with 19 percent, South Korea 6 percent, and revenue from the rest of the world accounting for the remaining 38 percent. As it stands, advertising is responsible for much of the revenue, but ticket sales will be growing significantly over the next couple of months going into 2022.
Following successful marketing and advertising, we could see the total eSports audience growing to 454 million, which is approximately more than 15 percent growth. If the trend goes on like that, eSports revenues could hit $1.8 billion in 2022.
Looking at it from every angle, growing technology such as the advent of 5G can only mean better days for the eSports industry. It is one industry that thrives primarily from everything technology, and new technological developments could mean this is the next blueprint for mainstream entertainment and sports.Big brands are investing heavily in eSports, promoting major tournaments going around globally, and paying huge amounts of money in endorsement fees for celebrity players. It is only the beginning, there is certainly more to come.