Esports

In Pakistan, revenue in the Esports market is projected to reach US$5.2m in 2024.
The revenue is anticipated to exhibit an annual growth rate (CAGR 2024-2029) of 10.69%, leading to a projected market volume of US$8.7m by 2029.
The largest market within this market is Media Rights, which will have a market volume of US$1.6m in 2024.
While Pakistan's Esports market is growing, most revenue is generated the United States, with a projected market volume of US$1.1bn in 2024.
In the Esports market, the number of users in Pakistan is expected to reach 6.4m users by 2029.
User penetration in Pakistan will be 1.9% in 2024 and is forecasted to rise to 2.4% by 2029.
Additionally, the average revenue per user (ARPU) in Pakistan is expected to amount to US$1.12.
In Pakistan, the burgeoning esports community reflects a growing youth engagement, fostering local talent and increasing interest from international sponsors and investors.

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 Pakistan is experiencing steady growth, driven by factors such as increasing investments in sponsorship and advertising, the popularity of merchandise and ticket sales, and the rising trend of streaming and media rights. However, subdued growth in publisher fees and the impact of regulations on eSports betting are limiting the overall market growth.

Customer preferences: Gaming has become a popular form of entertainment in Pakistan, especially among the youth. As a result, there has been a significant increase in demand for high-quality gaming equipment, such as gaming PCs, consoles, and accessories. This trend is driven by the growing popularity of eSports tournaments and the emergence of professional gamers in the country. Additionally, with the rise of social media and online streaming platforms, there is a growing demand for content creation and streaming services related to the gaming industry. This shift towards digital gaming and content creation is also influenced by the increasing availability of high-speed internet and the growing acceptance of gaming as a legitimate career option.

Trends in the market: In Pakistan, the eSports market is experiencing a surge in mobile gaming, with a significant increase in the number of mobile gamers and the popularity of mobile eSports tournaments. This trend is expected to continue, driven by the growing penetration of smartphones and internet connectivity. Additionally, there is a rise in online streaming platforms for eSports events, providing a wider reach for tournaments and increasing their visibility. This trend has significant implications for industry stakeholders, as it opens up opportunities for new revenue streams and partnerships, while also increasing the overall reach and impact of eSports in the country.

Local special circumstances: In Pakistan, the eSports market is gaining traction due to the country's growing youth population, high internet penetration, and increasing smartphone usage. The popularity of mobile gaming and the rise of local eSports tournaments have also contributed to the market's growth. However, the lack of government support and limited access to international competitions hinder the market's potential. Additionally, cultural and religious factors, such as the perception of gaming as a waste of time, may affect the adoption of eSports in the country.

Underlying macroeconomic factors: The eSports market in Pakistan is heavily influenced by macroeconomic factors such as the country's economic stability, government policies, and technological advancements. As a developing nation, Pakistan has been investing in its digital infrastructure, which has led to increased access to high-speed internet and advanced gaming technologies. Moreover, the government's support for the gaming industry through tax breaks and incentives has also contributed to the growth of the eSports market. However, the country's economic health and geopolitical tensions can also have a significant impact on the market, as they can affect consumer spending and international investments. Additionally, the rising disposable incomes and changing lifestyles of the country's youth population are driving the demand for eSports, creating a favorable environment for market growth in Pakistan.

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.