Esports Betting - NAFTA | Statista Market Forecast

In the NAFTA region, revenue in the Esports Betting market market is projected to reach US$883.7m in 2024.
Revenue is anticipated to exhibit an annual growth rate (CAGR 2024-2029) of 8.84%, leading to a projected market volume of US$1.4bn by 2029.
The United States is expected to generate the majority of this revenue, with a projected market volume of US$721.2m in 2024.
Furthermore, the average revenue per user (ARPU) in this market is expected to amount to US$39.2.
In the United States, the esports betting market is rapidly evolving, driven by increasing mainstream acceptance and a growing base of engaged gamers.

Definition:

Esports betting refers to the act of placing wagers on competitive video gaming events. It involves predicting the outcomes of Esports matches or tournaments and placing bets on various aspects, such as the winning team, individual player performances, or specific in-game events. Esports betting has gained significant popularity, with dedicated platforms and bookmakers offering odds and opportunities for enthusiasts to engage in this form of gambling related to the rapidly growing Esports industry.

Additional information:

Data includes revenue figures in Gross Gambling Revenue (GGR), which is the total amount of bets placed by customers minus the amount paid out in winnings, Users, average revenue per user (ARPU), user penetration rate, and a breakdown of revenue shares of the total betting market. User and revenue figures represent B2C services.

Online betting on the outcome of various Esports matches in games such as League of Legends, Dota 2, CS:GO, etc.
Betting on the overall winners of Esports tournaments in games such as the Dota 2 International or the League of Legends World Championship
Betting on specific events or outcomes in an Esports game, such as the first team to score, the number of kills a player will get, or the length of a match

Online betting on non-Esports related sports, such as football or tennis matches
Offline betting on Esports, such as betting in a physical store

The eSports Betting market in NAFTA nan has been rapidly expanding due to factors such as the growing popularity of eSports, increasing awareness of online betting, and the convenience of digital platforms. The market's considerable growth rate is primarily driven by the rising number of eSports tournaments and the increasing availability of online betting options.

Customer preferences: With the growing popularity of esports and the increasing number of tournaments and competitions, the demand for esports betting has also seen a significant rise. This trend can be attributed to the younger demographic of esports fans who are more tech-savvy and open to new forms of entertainment. Additionally, the rise of online streaming platforms has made it easier for viewers to follow and engage with their favorite teams and players, further fueling the growth of esports betting. This shift towards online platforms also allows for a more diverse and global audience, leading to an increase in cross-border betting opportunities.

Trends in the market: In the NAFTA region, the Esports Betting Market within the eSports Market is seeing a surge in popularity, driven by the increasing adoption of online gaming and the growing number of tournaments and leagues. This trend is expected to continue as more countries in the region legalize and regulate online betting, providing a significant boost to the market's growth. Additionally, advancements in technology, such as blockchain-based betting platforms, are creating new opportunities for industry stakeholders to capitalize on this growing market. As the industry becomes more mainstream, we can expect to see further consolidation and partnerships among key players, as well as increased investment and innovation in the market.

Local special circumstances: In Canada, the Esports Betting Market within the eSports Market is heavily influenced by the country's strong gaming culture and legal framework for online gambling. The popularity of video games and the support from the government have contributed to the growth of the market. In Mexico, the market is driven by the country's large youth population and increasing internet penetration, with a focus on mobile gaming and live streaming services. Additionally, the country's recent legalization of online sports betting has also paved the way for the growth of the Esports Betting Market within the eSports Market.

Underlying macroeconomic factors: The growth of the Esports Betting Market within the eSports Market is also influenced by macroeconomic factors such as technological advancements, regulatory support, and investment in digital infrastructure. Countries with favorable regulatory environments and strong investment in digital infrastructure are experiencing faster market growth compared to regions with regulatory challenges and limited funding. Additionally, the increasing popularity of esports and the rise of global tournaments are driving the demand for esports betting, further fueling the market growth. Moreover, the growing global economy and increasing disposable incomes of consumers are also contributing to the growth of the Esports Betting Market within the eSports Market, as more individuals are able to afford to participate in betting activities.

Data coverage:

The data encompasses B2C enterprises. Figures are based on the Esports betting market, which comprises revenues from online betting on Esports events. 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.