It's a great time to be a competitive gamer or be involved in the eSports scene in some capacity. Business is about to pick up in a major way.
According to a market report released by games market intelligence company Newzoo, brands are expected to spend $128 million on eSports sponsoring this year, along with $197 million spent on advertising for eSports video content tallying to $325 million all together.
This totals up to be about 70 per cent of all eSports revenue, and the growth is expected to continue. By 2019, brands will put more than $800 million in to eSports, the same year the market value hits the $1 billion mark.
In the report, Newzoo found Millennials are the leading demographic of eSports, with more than half of eSports enthusiasts aged between 21 and 35.
A report from Newzoo back in January also found that North America leads the revenues generated in eSports. In 2016, it is anticipated that $175 million in revenue will generate in North America alone through merchandise, event tickets, sponsorships, online advertising and media rights.
From the March report, CEO of Newzoo Peter Warman says the explosive growth of eSports is the game industry's biggest opportunity since the launch of the iPhone back in 2007. "Supercell’s Clash Royale, the announcement of Rocket League eSports and the $1 billion investment into Chinese streaming platform Douyu are some recent examples that confirm this," says Warman. "These are exciting times and I am extremely proud to see our dedicated Newzoo Esports team of analysts work with the majority of eSports, brand and media companies to realize the potential. The future of games is the future of media.”