Esports

In Chile, revenue in the Esports market is projected to reach US$6.6m in 2024.
This revenue is expected to demonstrate an annual growth rate (CAGR 2024-2029) of 8.73%, resulting in a projected market volume of US$10.0m by 2029.
The largest market within this market in Chile is Sponsorship & Advertising, which is anticipated to have a market volume of US$3.2m in 2024.
While most revenue is generated the United States, it is noteworthy that the Esports market in Chile is also evolving.
The number of users in the Esports market in Chile is expected to reach 4.0m users by 2029.
User penetration in Chile will be 16.6% in 2024 and is projected to increase to 20.1% by 2029.
The average revenue per user (ARPU) in Chile is expected to amount to US$2.02.
Esports in Chile is rapidly evolving, with increasing investment and a growing community fostering local talent and competitive opportunities.

Definition:

Esports, short for electronic sports, refers to competitive video gaming where professional players or teams compete in various multiplayer video games. These competitions are often organized into leagues, tournaments, and events, attracting both online and offline audiences. Esports has grown into a global industry, with players, sponsors, and spectators contributing to its popularity and economic significance.

Structure:

The Esports market can be divided into 6 different parts. First, Sponsorship & Advertising, which refers to revenues made from sponsorship deals and advertising for events and tournaments. Merchandise & Ticketing refers to the revenues generated mainly from tournament tickets and the merchandise that comes with it. Additionally, Streaming, Media Rights and Publisher Fees, which all refers to the revenue that is associated with broadcasting Esports events accross various channels. Lastly, Esports Betting includes the betting on outcomes of Esport events.

Additional information:

The market comprises revenues, ad spendings, users, average revenue per user, and penetration rates. Revenues are generated through advertising spending and consumer spending. Sales channel data shows both online and offline revenues. Information on Esports betting can also be found in the Digital Market Insights. All monetary figures refer to the annual gross revenue.
Key players of the market include companies or teams such as FaZe, Cloud9 or TSM.
For more information on the data displayed, use the info button right next to the boxes.

Professional and semi-professional gaming competitions, such as Semi-Pro League
Tournaments and leagues, such as Dota 2 The International
Sponsorship deals and advertising, such as FaZe and Steelseries
Merchandise and ticketing for Esport tournaments
Streaming of tournaments, such as streaming on Twitch

Amateur competitions, such as Amateur Esports League
Streaming revenues of non-organized competitive gaming, such as casual gaming on Twitch
Digital and physical sales from video games, such as sales of Call of Duty
Digital tools associated with revenues from Esports, such as Teamspeak or Discord

The eSports market in Chile has been experiencing steady growth, influenced by factors such as increasing popularity of online gaming, rising interest in competitive gaming, and the convenience of virtual events. However, the subdued growth rate can be attributed to challenges in securing sponsorships and media rights, as well as limited opportunities for merchandise and ticketing sales. Additionally, strict regulations on eSports betting may also impact market growth.

Customer preferences: As digital platforms continue to dominate the gaming industry, consumers in Chile are increasingly turning to eSports as a form of entertainment. This shift is fueled by a growing preference for online and virtual experiences, as well as a desire for social interaction and community building. Additionally, the rise of eSports in Chile has also been driven by the country's strong gaming culture and tech-savvy youth population. As a result, eSports is becoming a mainstream form of entertainment in Chile, with a growing number of fans and players participating in competitive tournaments and events.

Trends in the market: In Chile, the eSports market is experiencing a surge in popularity, with a growing number of players, teams, and tournaments. This trend is significant as it reflects the increasing recognition of eSports as a legitimate sport and entertainment industry. The trajectory of this trend shows no signs of slowing down, as more investments are being made in infrastructure, sponsorships, and marketing efforts. This could have positive implications for industry stakeholders, such as increased revenue opportunities and a larger fan base. Additionally, there is a growing trend of incorporating virtual reality and augmented reality technologies into eSports events, which could further enhance the viewer experience and attract more audiences.

Local special circumstances: In Chile, the eSports market has seen significant growth due to the country's high internet penetration and tech-savvy population. Additionally, the government's support for technology and innovation has created a favorable environment for eSports to thrive. The country's unique geography, with its long and narrow shape, has also played a role in the development of local eSports leagues, as players can easily travel between cities for tournaments. Moreover, Chile's strong gaming culture and passion for competition have contributed to the popularity of eSports among the younger generation.

Underlying macroeconomic factors: The eSports market in Chile is greatly impacted by macroeconomic factors such as the country's economic stability, government policies, and investment in technology and infrastructure. Countries with strong economic growth and support for technology are experiencing a faster growth in the eSports market compared to regions with economic challenges and limited funding for technology. Furthermore, the increasing popularity of eSports in Chile is also driven by the young population and the growing demand for entertainment and digital experiences.

Data coverage:

The data encompasses B2C enterprises. Figures are based on the Esports market, which comprises revenues from and users of professional competitive gaming content. This includes any professional and semiprofessional gaming competitions within tournaments or leagues that offer a championship title or prize money. All figures are based on net revenues and exclude agency commissions, rebates, and production costs.

Modeling approach / market size:

The market size is determined through a bottom-up approach. We use annual financial reports of the market-leading companies and industry associations, third-party studies and reports, survey results from our primary research (e.g., Consumer Insights), as well as performance factors (e.g., user penetration, price per product, usage) to analyze the markets. To estimate the market size for each country individually, we use relevant key market indicators and data from country-specific industry associations, such as various macroeconomic indicators, historical developments, current trends, and reported performance indicators of key market players. In particular, we consider average prices and annual purchase frequencies.

Forecasts:

We apply a variety of forecasting techniques, depending on the behavior of the relevant market. For instance, the S-curve function and exponential trend smoothing are well suited for forecasting digital products and services due to the non-linear growth of technology adoption. The main drivers are GDP per capita, consumer spending per capita, and 4G coverage.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic is considered at a country-specific level. The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year. In some cases, the data is updated on an ad hoc basis (e.g., when new, relevant data has been released or significant changes within the market have an impact on the projected development). Consumer Insights data is reweighted for representativeness.

This report presents a comprehensive analysis and additional information on the Advertising & Media market, in a PDF format.

The rapidly growing phenomenon surrounding eSports continues to gather steam. The intersection of gaming and sports offers an innovative wave of branding opportunities, engaging content and activations for millions across the world. It therefore comes as no surprise that the size of the global eSports market is expected to increase more than fivefold between 2023 and 2032, reaching a value of over 10 billion U.S. dollars within the next ten years.