Are You Ready to Leverage The Rise of the Esports Industry?

The Esports industry needs no introduction. It has been several years since Esports grew as a reckoned force that is not going to slow down anytime soon. The landscape has changed dramatically, and the audience has grown multiple times over, and the revenue of the eSports industry is skyrocketing.

Want to know why Esports will change the gaming world? Stick with us till the end; we will give you a plethora of reasons to get into the eSports industry.

Let’s jump to the reason why you should prefer to grab the opportunity to enter the Esports world:

• The global esports revenue will grow to $1.1 billion in 2020 with a YOY of +15.7%, up from $ 950.6 million in 2019. Price Form
• In 2020, $822.4 million in revenues—or three-quarters of the total market—will come from media rights and sponsorship. This will increase to $1.2 billion by 2024, making up 76% of total esports revenues. 
• Globally, the total esports audience will grow to 495.0 million people in 2020, YOY growth of +11.7%. Esports Enthusiasts will make up 222.9 million of this number, rising +10.8% year on year. 
• China is the largest market by revenues, with total revenues of $385.1 million in 2020. This is up +18.0% from 2019’s total of $326.2 million. It is followed by North America, with total revenues of $252.8 million, and Western Europe, with total revenues of $201.2 million. 
• The global average revenue per Esports Enthusiast will be $4.94 this year, up +2.8% from $4.80 in 2019. 
• In 2019, there were 885 major events. Together, they generated $56.3 million in ticket revenues, up from $54.7 million in 2018. 
• Total prize money in 2019 reached $167.4 million, a slight increase from 2018’s $150.8 million. 
• The League of Legends World Championship was 2019’s biggest tournament by live viewership hours on Twitch and YouTube, with 105.5 million hours. The Overwatch League was the most-watched league by live viewership hours on Twitch and YouTube, generating 104.1 million hours.

I hope these statistics were enough to make you understand where this paradigm is going. Keep reading as this post will help you learn more about how much the eSports industry is witnessing its golden period and how you can leverage it for your good.

Will Mobile Become The Pillar Of Esports?

The growth of mobile esports is observing a massive spike from last year. The introduction of lite apps has pushed the success of games like PUBG, Garena Free Fire, Fortnite, etc. have solidified competitive mobile gaming as a popular hobby in the emerging market.

This competitiveness among games has contributed a huge live viewership number for mobile esports across growth markets. As per the numbers, this viewership has jumped from 15.3 million hours in 2018 to 98.5 million in 2019, with an increase of more than 600%.

As per the market, mobile esports is gaining momentum, and Youtube is playing a significant role in it. Though more people are streaming on Twitch, YouTube is the platform of choice for mobile game streamers.

The most popular platform for streamers is Twitch, and then YouTube is on the second number, followed by Mixer and Facebook. Yes, you heard it right.

Platforms Offering Live Esports Coverage Are Rising.

As I explained earlier, more people are watching esports videos and events because the online platforms have simplified esports content consumption.

These platforms have become popular as many esports streamers use these platforms to broadcast live coverage of events and their gameplay. This has made it easier for esports lovers to take part in their favorite events and engage with their favorite athlete.

Twitch and YouTube lead the race of the streaming platforms with 3.93 million active streamers on Twitch as per the TwitchTracker, and the total hours watched on YouTube gaming live increased by 46% in 2019 from Quarter1 to Quarter4.

Check out the comparison between all four significant competitors of game streaming platforms:

Global Overview of Esports Industry

As per the Newzoo report, the esports audience will rise and reach to 495 million globally in 2020, and the esports enthusiasts will account for 229.9 million with a CAGR of +11.3% to 295.4 million in 2024.

Meanwhile, the number of global Occasional Viewers will be going to hit 272.2 million in 2020 up from 245.2 million in 2019. This number will grow with a CAGR of +9.6% to 351.1 million in 2024.

The number of people aware of esports worldwide was 1.8 billion in 2019, and it grew to 2 billion in 2020. It is predicted that China will continue to be the market that will share the most to this number, with 530.4 million esports aware people.

The audience and awareness numbers are increasing in emerging markets globally due to the urbanization and advances in IT infrastructure, coupled with explosive mobile titles like PUBG Mobile and Garena Free Fire.

Worldwide the increasing popularity of mobile gaming is a significant contributing factor, as well as the continued appeal of the battle royale, first-person shooter, and MOBA genres.

Besides, younger generations that have grown up with gaming and watching video game content continue to age into the market, further driving the audience growth.

Esports Industry Revenue

According to the research conducted by Newzoo, the year 2020 will be a landmark for the esports market, which will, for the first time, surpass the billion-dollar revenue without including the advertising platform revenues.

The total esports revenue will reach $1.1 billion in 2020, with an increase of almost $150 million in comparison with 2019. As per the changes this year, China now holds the largest share of the revenues, generating 35% of the global revenue.

Among the global revenue, the highest-grossing esports revenue stream worldwide is sponsorship, which is predicted to generate $636.9 million in 2020, up from $543.5 million in 2019.

Besides, the world’s fastest-growing esports revenue stream is the new revenue stream, digital, which is growing with a CAGR of +72.4% compared to sponsorship’s rate of +16.6%.

Newzoo has also introduced a new revenue stream that is streaming, and it is predicted that streaming will generate $18.2 million in 2020 and grow to $31.6 million in 2024.

This year the revenues from merchandise and tickets will exceed those from game publisher fees, which will remain relatively stable over the coming years with a CAGR of +0.5%.

Do you want to know the most-watched games?

Let’s check out the most-watched games on Twitch, YouTube, and Mixer worldwide of 2019 by live esports hours and non-esports hours. The esports content includes professional live gaming matches, pre, and post-analysis.

The game, League of Legends, was once again the most-watched game on Twitch and YouTube of 2019 by live esports hours.

Non-esports content includes streamers, influencers, and talk shows. As per the live non-esports hours, The battle royale phenomenon Fortnite is on the top, which was viewed live for more than 1.3 billion hours.

The well-known games such as PUBG Mobile, Garena Free Fire, and Mobile Legends Bang Bang all entered into the list of top 25 rankings in 2019 as per the live esports hours.

Future of Esports Industry

As per the statistics, the future of esports looks bright and glowing, with an increasing number of people participating in this industry.

The above statistics and facts most likely represent that the future of esports will be powered by mobile, which will further reduce the barriers to enter and allow more gamers and fans into the esports industry.

The mobile gaming segment is estimated to make up 45% of the cumulative global games market this year.

If you are still overlooking this industry, then you are missing the biggest opportunity. This industry has immense potential that any business can leverage by making its game application.

As the mobile game app development company, we have provided various game apps to our clients and a few solutions to thrive in the esports industry.

If you are planning to get into this pool, then contact us because we have experienced professionals who worked in this vast industry, which helped our clients shine.

Don’t wait anymore; give us a call or schedule a meeting with our game experts to shape your idea to enter the esports industry.