Friday, July 23, 2021

Esports Market to Witness an Outstanding Growth during 2018 - 2026

eSports Market - Outline

Amidst the ongoing COVID-19 pandemic, esports has witnessed a surge in demand mainly for entertainment. Lockdowns imposed by governments forced individuals to find entertainment in the confines of their homes, for which, esports emerged to be a popular among various age groups.

The choice of sports to indulge into virtually is a key factor driving the eSports market. Soccer, cricket, and even horse racing are some sports that individuals can enjoy on the virtual medium. Meanwhile, amidst lockdowns developing countries such as India with a large Internet using population witnessed incessant demand for online gaming. This created ample opportunities in the eSports market. Besides this, the presence of well-established players in China makes Asia Pacific a key region in the global eSports market.

North America is a prominent region in the eSports market. Vast telecommunication networks that offer affordable Internet bandwidths accounts for excessive usage of the medium by a large population for entertainment. Online gaming applications that are mostly targeted at pre-teens, teenagers, and young adults, but are used by other age groups is a major source of entertainment in most parts of the region. Technological expertise and capital investments made by some key players based in the region to develop new gaming applications to keep gamers hooked bolsters growth in the eSports market of the region.

Esports or electronic sports are a group of sports played online via video games. Each team or individual competes in various popular online games and sponsors compete for a bigger share of the global audience. Esports market is home to intense competitions which increasingly take place in front of a live audience to build and measure audience loyalty. 

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These sports competitions are becoming increasingly popular in recent times. According to recent estimates, Esports market caters to over 380 million audience online every year. North America and China are home to some major players in the esports market. A sizeable share of the total revenue in the esports market is generated from these two regions. Europe is also a prominent market. 

The revenue model in esports market works in a similar manner as in traditional sporting competitions. Most important revenue streams include sponsorships, advertising, publisher fees, ticket sales, and merchandise. 

The most popular genres in esports market culture are first-person shooter (FPS), real-time strategy (RTS), battle royale games and fighting, and multiplayer online battle arena (MOBA). Popular games for esports include FPS titles Counter-Strike and Call of Duty, MOBA titles like Dota 2, and League of Legends, and tactical shooters like Rainbow Six Siege and CrossFire. 

YouTube and Twitch have become central to driving esports market worldwide.  Major league gaming in esports has reported 85% male viewership and 15% female viewership. Despite the skewed ratio, several prominent female personalities within esports are hopeful about the bright opportunities for female gamers. Recently, first esports arena opened in Santa Ana, California. It is the U.S. first dedicated esports facility.

The commercial questions about audience commitment and the nature of esports are an on-going debate. However, esports market has registered incredible growth in the last ten years.   

Global Esports Market: Overview

Globally, the demand for video games and online video games has grown largely. People across the globe are now taking huge interest in esports and investing their time and money in it. These factors have accelerated the global esports market significantly. Increasing awareness about esports is also playing a significant role in driving the global esports market. Moreover, large-scale investments in esports are also expected to drive this market. 

The global esports market can be classified on the basis of revenue streams and regional analysis. In terms of revenue streams, the market is segmented into tickets and merchandise, media rights, sponsorships and direct advertisements, and publisher fees. The media rights segment is further bifurcates into online advertisement and subscriptions.  

The report on the global esports market presents an in-depth analysis on this market. It includes the major factors responsible for the growth of this market. Drivers and restraints give the current picture of the market, whereas trends and opportunities will provide how the demand for intelligent apps will shape in future. Segmentation supports and justifies the above-mentioned factors. In addition, geographic analysis and vendor landscape explains how investors and players can take strategic decisions in the coming years.

Global Esports Market: Trends and Opportunities

Millennials and younger generations are now highly connected to internet and technology. This has paved the way for online games and activities. Nowadays, children prefer video games as compared to other sport and outdoor activities. This has boosted the global esports market. Moreover, growing awareness about esports and peer-to-peer sharing has also accelerated the global esports market. Increasing number of events with large prize pools is a new trend seen in the global market that is further driving the global esports market. However, lack of standardization might restrict the growth of the market to a certain extent.

Global Esports Market: Regional Analysis

Key region covered in the global sports market are Europe, Asia Pacific, Latin America, North America, and the Middle East and Africa. Asia Pacific is expected to hold larger share in the market during the forecast period. This region holds almost one-third share in the overall esports market in the past few years. Asia Pacific is a lucrative market for the gaming industry due to its ease of entry as compared to other markets. Moreover, increasing number of esports competition in the region has made it the most lucrative regional market. investors from western regions are heavily investing in this region in the esports market.

Global Esports Market: Companies Mentioned

Under this section, the report provided key information about the prominent players operating in the global esports market. Some of the key players mentioned in the report are Nintendo, Tencent, Turner Broadcasting System, Activision Blizzard, Modern Times Group, and Valve Corporation. Leading players might be investing in various business development strategies to increase their geographical reach and get a firm hold in the market.

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This study by TMR is all-encompassing framework of the dynamics of the market. It mainly comprises critical assessment of consumers' or customers' journeys, current and emerging avenues, and strategic framework to enable CXOs take effective decisions.

Our key underpinning is the 4-Quadrant Framework EIRS that offers detailed visualization of four elements:

  • Customer Experience Maps
  • Insights and Tools based on data-driven research
  • Actionable Results to meet all the business priorities
  • Strategic Frameworks to boost the growth journey

The study strives to evaluate the current and future growth prospects, untapped avenues, factors shaping their revenue potential, and demand and consumption patterns in the global market by breaking it into region-wise assessment.

The following regional segments are covered comprehensively:

  • North America
  • Asia Pacific
  • Europe
  • Latin America

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