eSports Market: - An Overview
eSports (commonly refer as electronic sport) is a type of sport facilitated by electronic system in which all the functions of the sport are performed through human-computer interface.
eSports is allowing the users to experience different type of game aspects including ladder, tournament and league through single system.eSports is played by professional gamers who are usually part of sporting organizations, or they are sponsored by business organizations.
eSports provides several competitive advantages such as selection of teams, players, and organizations which are not bound with location and ability to integrate with non-traditional media.
Developers, publishers and organizers are the major entities within the eSports market. Developers are responsible for coming up with an idea and develop the game, whereas publishers are responsible for overall marketing and distribution activities.
Major revenue sources for eSports includes sponsorship & advertising, tickets and merchandise, media rights and game publisher fees.
Impact of COVID-19 Pandemic Outbreak on ESports Market
As COVID-19 pandemic has forced billions of people around the world to spend more time at home, the entertainment business has sprung into action to capture their attention, with live-streams of concerts, opera performances, museum tours and more.
The impact on the video-game industry may be even greater, as many take up the pastime or increase the amount of time they play.According to Verizon, overall video-game internet traffic has increased 75% since restrictions were imposed in America, during Q1-2020. Historically, the market for eSports has grown by almost 18% globally in the past 5 years.
However, with the growing popularity of online gaming amid the lockdowns, the market is expected to grow significantly in the next 3-5 years.
eSports Market: - Market Dynamics
Increasing Popularity of Video Games
Video games are more than just a booming entertainment business and they're reshaping the way we interact with the virtual world. The gaming industry inspires innovation by constantly pushing the boundaries of what's possible, driving companies like Google and Microsoft to create new technology to serve the billions of gamers around the world.
The video game sector is immensely large. In fact, it is larger than the movie and music industry combined, and it is only growing year by year.
With the growing popularity of games like Counter-Strike, Fortnite, League of Legends, PUBG and other, the eSports market is expected to grow significantly across the globe.
Long-Term Investment Opportunity
Video game creation has become increasingly complex, and the cost of creating a game to run on one of the major consoles has risen with this greater complexity. It was once unthinkable to sink millions into development costs, but games today can cost tens and even hundreds of millions.
This has pushed game development into Hollywood movie territory in terms of production and marketing costs. Additionally, subscription streaming services are the future and will be beneficial to video game companies, like Ubisoft and Electronic Arts, as data storage, gaming console costs will all minimize, which significantly drives the growth of the global eSports market.
Lack of Standardization
eSports is still a relatively new industry which means that it’s going to have its own growing pains. For instance, a lot of participants and players complain that some of the tournaments lack authenticity, and thus it can be challenging to find which tournaments are real and which one are full of scams.
This places issues for the marketers as well, especially ones with a role in active sports marketing but who have no experience in the eSports market.
The lack of standardization in this industry also means that there are constant issues that arise with players, teams, tournaments and their advertising, sponsorships or contracts. Hence, this factor in eSports market imposes a great challenge in the market growth.
eSports Market: - Key Players
Key players in the eSports market are focusing on events and game launch, expansions and sponsorships, and partnership as their key developmental strategies for offering enhanced product for sustained business growth. The major players offering eSports include
- Electronic Arts
- Riot Games
- Activision Blizzard Inc.
- Valve Corporation
- Modern Times Group (MTG)
The report is a compilation of first-hand information, qualitative and quantitative assessment by industry analysts, inputs from industry experts and industry participants across the value chain of the global eSports market.
The report provides an in-depth analysis of parent market trends, macroeconomic indicators and governing factors along with eSports market attractiveness as per segments.
The report on eSports market also maps the qualitative impact of various factors on eSports market segments and geographies.
eSports Market- Report Highlights:
- A detailed overview of parent market of eSports market
- Changing eSports market dynamics in the industry
- In-depth segmentation of the eSports market
- Historical, current, and projected eSports market size by value
- Recent industry trends and developments in eSports market
- Competitive landscape of the eSports market
- Strategies for key players in eSports and solutions and services offered
- Potential and niche segments, geographical regions exhibiting promising growth
- A neutral perspective on eSports market performance
- Must-have information for eSports market players to sustain and enhance their market footprint
eSports Market: - Segmentation
By Game Genre
- First-person Shooter (FPS) Games
- Multiplayer Online Battle Arena (MOBA) Games
- Fighting Games
- Sports Games
- PC-based Gaming
- Gaming Consoles
- Smartphone-based Gaming
Market Research Methodology - Perfected through Years of Diligence
A key factor for our unrivaled market research accuracy is our expert- and data-driven research methodologies. We combine an eclectic mix of experience, analytics, machine learning, and data science to develop research methodologies that result in a multi-dimensional, yet realistic analysis of a market.