Esports

In India, revenue in the Esports market is projected to reach US$124.8m in 2024.
This revenue is expected to exhibit an annual growth rate (CAGR 2024-2029) of 6.92%, leading to a projected market volume of US$174.4m by 2029.
The largest market within this market is Esports Betting, which is anticipated to have a market volume of US$90.8m in 2024.
Although most revenue is generated the United States with a projected market volume of US$1.1bn in 2024, India's position in the Esports market is noteworthy.
In this sector, the number of users in India is expected to reach 147.9m users by 2029.
User penetration in India will stand at 8.6% in 2024 and is forecasted to increase to 9.8% by 2029.
Furthermore, the average revenue per user (ARPU) in India is expected to amount to US$1.01.
India's esports market is witnessing a surge in popularity, driven by increasing youth engagement and a growing ecosystem of local tournaments and sponsorships.

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 India is experiencing mild growth, driven by factors such as increasing popularity of online gaming, rising investments in sponsorship and advertising, and the convenience of streaming services. However, challenges such as limited infrastructure and regulations may impact the market's overall growth rate.

Customer preferences: With the rise of social media and online gaming, the eSports industry in India has seen a significant increase in consumer engagement. This has led to a shift in preferences towards more immersive and interactive gaming experiences, as well as a growing demand for online tournaments and events. Additionally, there has been a surge in interest for mobile gaming, reflecting the country's tech-savvy youth population and increasing accessibility to smartphones. These trends indicate a growing preference for digital forms of entertainment and a shift towards virtual modes of competition and socialization.

Trends in the market: In India, the eSports market is experiencing a surge in online tournaments and leagues, driven by the increasing popularity of online gaming platforms and the rise of professional eSports teams. This trend is expected to continue as more players and sponsors enter the market, providing opportunities for industry stakeholders to capitalize on the growing demand for competitive gaming. Furthermore, the adoption of technology, such as live streaming and virtual reality, is revolutionizing the way eSports events are experienced, creating a more immersive and engaging experience for viewers. This trend is likely to attract more investment and partnerships, leading to the growth and professionalization of the Indian eSports market.

Local special circumstances: In India, the eSports market is gaining traction due to the country's large youth population and its increasing interest and participation in gaming. Additionally, the rise of internet and smartphone penetration has made it easier for gamers to access and engage with eSports content. The country's diverse culture and love for competitive gaming have also contributed to the growth of the market. However, the lack of government recognition and support for eSports as a legitimate sport has hindered its growth in comparison to other markets.

Underlying macroeconomic factors: The growth of the eSports market in India is heavily impacted by macroeconomic factors such as the country's overall economic health, government policies, and global economic trends. With a rapidly expanding economy and a growing middle class, India has emerged as a key player in the global eSports market. Additionally, the Indian government has implemented favorable policies and initiatives to support the growth of the eSports industry, such as the formation of the Esports Federation of India and the inclusion of eSports in the 2022 Asian Games. This, along with increasing investments in digital infrastructure, has contributed to the rapid growth of the eSports market in India. However, challenges such as limited access to high-speed internet and lack of proper infrastructure in certain regions continue to hinder the market's potential.

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.