Esports betting: a study of the market

The COVID-19 pandemic has caused severe economic damage to many business sectors. But against this backdrop, the global video game industry is seeing considerable growth and development. As for esports, the number of live events drastically decreased, with many competitions either taking place without an audience or switching to an online format. Today, however, the esports industry is thriving again, and tournaments are bringing fans back to venues.

Over the past few years, esports has become an important part of the gambling industry, namely sports betting. The pandemic has resulted in many sports leaving the market. Esports, on the other hand, has received a significant boost. Betting on video game disciplines became popular among bettors in 2021. That same year, the broadcast numbers began to grow.

Nowadays, bookmakers not only offer betting on esports events, but also act as sponsors of teams and tournaments. More and more countries are legalizing esports betting. An analysis of the current market situation shows that the industry will continue to develop in the following years.

The number of esports betting markets available on sportsbook websites has significantly increased over the past year. Gamblers can now bet on a wide range of niche events, including those that were not covered before. The market research also demonstrates that cryptocurrency has recently been emerging as a leading payment method.

Commercial sector of esports

As of today, the commercial sector of esports has the largest share in the global market. According to experts, the annual average growth rate will be at its highest during the period from 2022 to 2029. There are several key factors that will lead to the development of the commercial sector:

  • Expanded target audience;
  • Bettors’ activity;
  • Major investments in esports;
  • Increased number of live broadcasts;
  • Improved esports infrastructure. 

The commercial share of the market is also increasing due to the large media platforms like Facebook, Twitch, and YouTube. Gamers from all over the world have managed to gain popularity and earn good money by livestreaming their gameplay. Besides that, the rapid growth of esports is associated with advancements in Internet and mobile technologies.

Esports sponsorship

The year 2020 also saw active development of sponsorship in esports. Many famous teams today are sponsored by gaming, betting and other types of companies. The sponsorship sector is expected to grow further, as the esports industry is bound to succeed in the long run. Lots of new players and sponsors are continuing to enter the market, while existing teams are trying their best to increase their brand value.

Current state of the esports market

At the moment, the strongest growth of the esports market is witnessed in North America. Over the past few years, there has been a significant increase in investments in this region. Experts are confident that the industry will continue to expand in the coming years.

Nevertheless, the highest revenue-generating region in the esports market is Europe, and the trend is expected to stay. It is all thanks to the gradual expansion of the regional markets, as well as the adoption of legislation ensuring the safety of sports betting, both offline and online.

Today, the value of the global esports market is estimated at nearly $12.7 billion. According to experts, it may reach $26.5 billion as early as 2029.

The continuing success of esports makes it obvious that the industry will exist for many years to come. New generations are increasingly interested in video games, which means that in the future, they will determine what direction the market will take.

Why is betting on esports so popular?

The popularity of esports among bettors is due to the advantages this type of gambling has. The most important of them are:

  • Constant expansion of video game disciplines. Leading operators are already offering dozens of games to bet on, and the list will keep on growing.
  • Big variety of betting markets. Just like in traditional sports, there are numerous outcomes within a game players can bet on.
  • Live betting, which allows users to bet on games as they take place.
  • High frequency of tournaments. Events are held quite often, and bettors do not have to wait long for a new tournament.

Conclusion

The esports betting industry is continuously developing, and you definitely should consider adding this type of gambling to your platform. It will allow you to greatly increase the number of potential visitors. Bear in mind that a huge part of online casino and sportsbook users belong to the age group that is heavily into video games and their competitive scenes.

Sep 28, 2022
Igor Rumyantsev
Igor is the Head of Banking and Licensing Department at GamingLicensing who has over 15 years of experience in the industry. He is responsible for game and payment system integration, iGaming product licensing, and B2B certification. Igor is an expert in the gambling sector and game licensing. He keeps a close watch on industry trends and is always open to new ideas that can improve GamingLicensing’s services and help our clients.

Other news

Feb 9, 2024

The new generation gamblers: exploring the online casino player profile

With the development of online casinos, the field of iGaming has also changed completely. How do people and casinos interact today? Even a successfully launched online casino platform can fail if the communication with customers is not set up properly. And victory will be yours if you manage to precisely meet the needs of the target group, the platform developers, the providers, and the payment systems.
The online casino & betting sector is always a vibrant and high-growth landscape, attracted by innovative opportunities from VR technology to blockchain technology. Get ready for the iGaming market to be worth over $138 billion by 2028, with an audience of over 243 million players. It's up to you whether you stand on the sidelines observing progress or become the driving force behind it!
Jan 30, 2024

Why is a gambling business license necessary?

The iGaming industry is at its peak. Over 4.5 billion people worldwide engage in online gambling at least once a year, from sports betting to roulette and online poker. However, to meet the needs and goals of its customers, a company must operate legally and gain the trust of its customers. But that's not all! Want to start a successful iGaming business? Then choose the right jurisdiction and get a license.Let's find out with the example of five regions for gambling registration, what are the advantages of licensing in specific jurisdictions, and what happens if you ignore it.
Nov 30, 2023

Legalization of Casinos in Thailand: World Giants are Ready for a New Market!

Today the focus of attention of the iGaming industry is directed to the Asian market: Macau, Singapore, India. Thailand has also come under the spotlight as a super interesting GEO for the promotion of gambling offers. Multilingualism is prevalent here and there is no official online gambling legislation. It's a good start, but before you prepare your business for a new region, let's understand the nuances of launching an online casino in Thailand.
Nov 15, 2023

India's iGaming Industry: Huge Potential & Opportunities

From 2022 onwards, the global iGaming industry has witnessed the emergence of numerous partner programs and products. India, with its massive population is actively participating in this trend. Its market in the iGaming sector is gradually gaining the title of a tidbit for giant players and small startup projects. Its scale and prospects are truly bewildering.

You can always contact us through the form below