Sponsorship & Advertising - Australia & Oceania

Australia & Oceania

Highlights

In Australia & Oceania, revenue in the Sponsorship & Advertising market market is projected to reach US$11.9m in 2024.
Revenue is anticipated to exhibit an annual growth rate (CAGR 2024-2029) of 6.75%, leading to a projected market volume of US$16.6m by 2029.
Despite this, the majority of revenue is generated China, with a projected market volume of US$288.9m in 2024.
The average revenue per user (ARPU) in Australia & Oceania is expected to amount to 0.00.
Australia is witnessing a significant rise in brand engagement within the eSports sponsorship market, driven by an increasingly youthful and digitally-savvy audience.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The eSports market in Australia & Oceania is experiencing minimal growth due to limited sponsorships and advertising opportunities. Factors such as lack of investment and market saturation are impacting this slow growth rate.

Customer preferences: With the rapid growth of the eSports industry in Australia & Oceania, there has been a surge in demand for sponsorship and advertising opportunities. This can be attributed to the increasing popularity of eSports among younger demographics, who are highly engaged with digital media and technology. As a result, brands are shifting their focus towards digital marketing strategies and are leveraging social media influencers and live streaming platforms to reach this audience. Furthermore, with the rise of in-game advertising and virtual sponsorships, there is a growing trend towards more immersive and interactive forms of advertising in the eSports market.

Trends in the market: In Australia & Oceania, the Sponsorship & Advertising market within the eSports market is experiencing a surge in partnerships between gaming companies and traditional sports organizations. This trend is expected to continue as eSports gains mainstream recognition and attracts a wider audience. Additionally, there is a growing trend of using influencer marketing in the eSports industry, with brands leveraging popular gamers to reach a highly engaged audience. This trend is expected to have a significant impact on the industry, as it provides a new avenue for brands to connect with consumers and drive sales. However, there may be potential implications for industry stakeholders, such as the need for proper regulation and transparency in influencer marketing to maintain consumer trust.

Local special circumstances: In Australia & Oceania, the Sponsorship & Advertising Market within the eSports Market is heavily influenced by the region's strong sports culture and the popularity of traditional sports like cricket and rugby. This has led to a cross-over of sponsors and advertisers from these sports to the eSports scene. Additionally, the strict regulations and policies surrounding gambling and betting in Australia have caused companies to be more cautious in their advertising and sponsorship deals within the eSports market.

Underlying macroeconomic factors: The Sponsorship & Advertising Market within the eSports Market in Australia & Oceania is heavily influenced by macroeconomic factors such as economic stability, consumer spending, and government policies. As the region continues to experience strong economic growth, consumers have more disposable income to spend on entertainment, including eSports. Furthermore, governments in the region have shown support for the eSports industry by investing in infrastructure and implementing favorable regulations. This has created a conducive environment for sponsorship and advertising opportunities within the eSports market, as companies seek to reach the growing audience and tap into the region's economic potential. Additionally, the rising popularity of eSports among the younger population in Australia & Oceania, coupled with the region's high internet penetration rates, make it an attractive market for companies looking to advertise their products or services.

Data coverage:

The data encompasses B2C enterprises. Figures are based on the Sponsorship & Advertising market, which comprises revenues of teams and organizers via sponsorship deals. 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.