A new stage in the development of esports requires increased attention to improving professionalism in the organization of competitions, the gambling and entertainment of which attracts millions of fans and players, and the financial and economic aspects of this activity. Esports is a relatively young and developing sport compared to others. Experts agree that the prospects for this kind of sports industry are of great significance. However, it is necessary to sponsor and involve various organizations in its events for further development.
The revenue generated by the esports world is growing every year. If in 2011 the winning team at the first League of Legends World Championship received fifty thousand dollars, in 2018, at the World Championship, the team that was in the first place took with it two and a half million (Eisenband, 2019). Such a turnover of money is associated with various services that operate within the esports sphere. The key areas of services in this type of activity are provided within the framework of sponsorship and advertising. A significant number of people use a variety of services that both tournament organizers and their partners offer. Moreover, several services are provided for the organizers of various events themselves.
At the same time, a considerable role is played by bookmakers and websites that provide the public with services related to bets and forecasts. The opportunity to feel as an expert and try to win money is relevant in all sports. The most crucial part of any event in esports is its organization. Services for organizing a sports event are widespread and include the ones related to what happens during the event, such as the competition itself, working with the audience, providing support and safety of people, as well as services that foreshadow and end the event, such as attracting an audience, finding partners for the organization, rehearsal events, cleaning and tidying up the premises (Pike, 2019). All of them require different types of sponsorship to ensure that all the parts involved work appropriately.
The most important companies that are involved in the cybersport industry are the organizations whose priority is the sports component. There are many companies of this kind, and they are mainly associated with teams, esports leagues, and betting, which equally affect all the most important elements of organizing and financing events in the disciplines. It is now possible to state that two main esports markets are the United States and Asia. Eisenband (2019) writes that the most interested in the development are game publishers, such as Epic Games actively promoting Fortnite or Riot Games, working on developing franchise leagues for League of Legends. At the moment, publishers are ranked first in terms of the amount of money invested in esports.
The audience’s loyalty to esports partner brands is one of the reasons for such a sharp market growth. As a rule, every esports fan plays and follows no more than one or two games (Pike, 2019). Such demand allows various organizations to create and actively sell game equipment and paraphernalia with popular tournament teams’ logos. The audience’s high interest allows to conduct broadcasts in which fans can take a non-direct part, thereby being sponsors of sports events.
To conclude, esports is one of the fastest-growing and most promising areas of the digital industry. It is important to note that a complex of various services mainly forms the organization and financing of this kind of sports. This aspect allows considering the background of the active growth of cybersport’s popularity as an entertainment and leisure element and as a rapidly developing and commercially profitable branch of sports.
References
Eisenband, J. (2019). Riot games wants non-endemic brands that buy into creative approach. Front Office Sports. Web.
Pike, N. (2019) No crystal ball required: What data tells us about the future of esports. Nielsen Esports. Web.