Esports has very quickly transformed into one of the most profitable industries in the world. With its global audiences, million-dollar sponsorships and ability to rival traditional sports, esports is well on its way to becoming a multi-billion dollar industry. The big question is, what has driven this massive growth? This article is going to take a closer look at the factors that have contributed to the growing industry.
Esports is competitive gaming. Players and teams from all over come together online (and sometimes in person) to compete in organized games, tournaments and competitions. These events are often live-streamed online and attract millions of viewers. The industry is already expected to reach 5.93 billion U.S. dollars. Some of the biggest titles in the industry include League of Legends, Dota 2, Counter-Strike: Global Offensive and Fortnite. Many competitions come with massive prize pools with many players making being professional athletes/gamers their full-time job title.
Expanding audience and viewership
One of the major driving factors behind the growth of esports is its audience. In recent years viewership has exploded with major tournaments attracting millions of viewers. For example, the VCT Masters in Madrid in 2024 saw a peak of 1.68 million viewers. Whereas the MPL Indonesia Season 13 in 2024 had 2.25 million views watching Fnatic ONIC vs EVOS Glory. These astonishing numbers show just how big the industry has gotten, showing an immense amount of growth in previous years. These incredibly large audiences have played a major role in attracting sponsors, betting opportunities and larger broadcasting companies, which are helping to attract a bigger audience and bring even more money into the industry.
Betting and esports odds
The betting industry is another huge contributor to esports. Sports betting is already a massive industry, expected to be worth USD 162.92 Billion By 2033. Betting has not only helped to introduce new audiences and revenue but it's also attracted larger sportsbooks and specialized esports betting platforms to the industry. This has led to partnerships that have helped to bring millions into the world of esports. Not only funding tournaments and competitions but also providing opportunities for athletes too. These companies are then helping the industry to grow by attracting audiences with exciting offers like a new user promo or free bets. These sites also share odds and insights to educate audiences about the sport even more. However, it's important to note that there are states in the US where esports betting is still illegal.
Sponsorships and corporate investments
The rising popularity and growing audiences in esports helped to attract some different contributors. This includes investments and sponsorships from major corporations. These companies are looking to tap into the exciting market of young and tech-savvy consumers. Some major sponsorships include Intel, Coca-Cola, and Red Bull. Their investments have helped to sponsor tournaments, players and teams and bring them to bigger audiences. The growth of the industry has also helped to attract investments from various industries including tech companies, media giants and capital firms. It's these investments that are helping to industry to grow even and present new opportunities and events.
This has also led to some interesting partnerships and experiences. One of the most notable experiences that attracted millions of viewers was the 2018 League of Legends World Championship. This saw the virtual K-pop girl group K/DA perform. This band featured famous stars like Madison Beer and Jaira Burns voicing the singers. This was an incredible example of how well-integrated the industry can be with the rest of the world. It also unlocked a wider audience with many K-Pop fans joining to experience the virtual concert.
Prize pools and professionalization
Esports has become more than just a hobby for many athletes. It's now their full-time career with the opportunity to make millions. Many of the bigger games and tournaments like the International (Dota 2) or the League of Legends World Championship come with massive prize pools that rival prize money in traditional sports.
This professionalization has led to the sport being taken more seriously. Now players and teams have performance coaches, analysts and team managers, which is very similar to the traditional sporting industry. This has led to many career opportunities and paths for players.
Diverse game genres and global reach
The diversity of esports has helped it to attract wider audiences. There are a number of different gaming types including Multiplayer Online Battle Arenas (MOBAs) like League of Legends, first-person shooters like Counter-Strike: Global Offensive, and even battle royale games like Fortnite and PUBG. It's not restricted to just one game, which means it can cater to different gaming preferences and interests.
Esports has become a global phenomenon. It's popular all around the world, especially in North America, Europe and Asia. However, it's also becoming popular in Africa, Latin America and the Middle East. Both of these factors have allowed the audience to keep growing. The accessibility of esports means you can enjoy it from anywhere in the world, especially as most tournaments and events are live-streamed. Becoming a sports that popular worldwide has even caught the eye of the Olympics. The IOC is partnering with the Saudi Olympic and Paralympic Committee (SOPC) to host the very first Olympic Esports Games in 2027. This will showcase the sport to the whole world and involve teams from all around the world.
Esports has had incredible growth in recent years. It has already made millions and is well on its way to becoming a multi-billion-dollar industry. Each factor has played an important role in the recognition of the sport, allowing it to have the opportunities that have helped it to grow.
As Esports continues to evolve, it's likely to see even more growth. Especially with the announcement of the Esports Olympic Games. Technology is also helping to industry to grow, helping to improve the industry and make it more accessible for fans. It's clear that the industry is no longer a passing trend, it's a sport that's here to stay with many more exciting events to come in the future.