Esports

In Mexico, revenue in the Esports market is projected to reach US$76.1m in 2024.
The revenue in this sector is expected to demonstrate an annual growth rate (CAGR 2024-2029) of 5.45%, which will lead to a projected market volume of US$99.2m by 2029.
The largest market within the Esports market in Mexico is Esports Betting, which is anticipated to have a market volume of US$54.3m in 2024.
While most revenue is generated the United States with a projected market volume of US$1.1bn in 2024, the Esports market in Mexico is also set to expand.
By 2029, the number of users in the Esports market is expected to reach 21.0m users.
User penetration in Mexico will be 12.5% in 2024 and is anticipated to increase to 15.7% by 2029.
Additionally, the average revenue per user (ARPU) in this market is expected to amount to US$4.70.
Mexico's esports market is rapidly evolving, with increasing investment in local tournaments and a growing community of dedicated gamers and fans.

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 Mexico is experiencing steady growth, influenced by factors such as increasing popularity of online gaming, rising interest among consumers, and the convenience of digital platforms. However, subdued growth can be attributed to challenges in securing sponsorships, limited merchandise sales, and strict regulations on betting. The market's slow growth rate is impacted by a lack of investments and infrastructure, as well as a relatively small audience compared to other regions.

Customer preferences: As the popularity of eSports continues to grow in Mexico, consumers are increasingly turning to digital platforms and streaming services to watch and participate in gaming tournaments and events. This trend is driven by the younger demographic, who are more likely to embrace technology and spend more time online. Additionally, the rise of social media and influencer culture has also contributed to the growth of eSports, as fans can connect with their favorite players and teams through various online channels.

Trends in the market: In Mexico, the eSports Market is experiencing a rapid growth, with an increasing number of players and viewers. This trend is fueled by the country's young population and their high interest in competitive gaming. Additionally, there is a rise in the number of eSports events and tournaments, with major brands and sponsors investing in the industry. This trajectory is significant as it presents new opportunities for players, teams, and organizers, and has the potential to generate significant revenue. For industry stakeholders, this trend could mean increased competition and the need to constantly evolve and innovate to stay relevant in the market. Furthermore, it highlights the potential for Mexico to become a major player in the global eSports market.

Local special circumstances: In Mexico, the eSports market is growing rapidly, driven by the country's young population and high internet and smartphone penetration rates. The cultural influence of gaming in Mexico, as well as the popularity of traditional sports like soccer, have also contributed to the market's growth. Additionally, Mexico's favorable regulatory environment for eSports, with the government recognizing it as a sport and providing support for tournaments and events, has further boosted the market's development. The country's close proximity to the United States has also allowed for cross-border competitions and collaborations, adding to the unique dynamics of the Mexican eSports market.

Underlying macroeconomic factors: The eSports market in Mexico is also impacted by macroeconomic factors such as the overall economic stability of the country, government policies and regulations, and investment in technology and infrastructure. Countries with a strong economy and supportive policies tend to experience higher growth in the eSports market, while those with economic challenges and limited investments may see slower growth. Additionally, the increasing popularity of eSports among the younger population in Mexico is driving the demand for investment in gaming technology and infrastructure to support the growing market.

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.