Sponsorship & Advertising - MENA

MENA

Highlights

In MENA, revenue in the Sponsorship & Advertising market market is projected to reach US$18.7m in 2024.
Revenue is expected to demonstrate an annual growth rate (CAGR 2024-2029) of 5.68%, leading to a projected market volume of US$24.7m by 2029.
Despite the growth in MENA, the majority of revenue is generated China, which has a projected market volume of US$288.9m in 2024.
The average revenue per user (ARPU) in MENA is anticipated to amount to 0.00.
In the MENA region, sponsorship and advertising in the eSports market are rapidly evolving, as local brands increasingly recognize the potential of engaging younger, tech-savvy audiences.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The eSports market in MENA has seen a steady growth rate in sponsorship and advertising due to factors such as increased interest in digital gaming, growing awareness among consumers, and the convenience of online platforms. However, this growth is subdued due to the impact of economic uncertainty and shifting consumer priorities in the region.

Customer preferences: With the rise of online gaming and virtual competitions, the Sponsorship & Advertising Market within the eSports Market in MENA has seen a significant increase in the use of digital platforms for advertising and brand partnerships. This trend is driven by the growing popularity of eSports among the younger generation, who are more likely to engage with and trust brands that have a strong presence in the digital world. As a result, companies are increasingly investing in digital advertising strategies and customized sponsorships to reach this highly engaged audience.

Trends in the market: In the MENA region, the eSports market is experiencing a surge in sponsorship and advertising, with companies investing heavily in partnerships with popular gaming teams and events. This trend is expected to continue as the eSports industry grows in popularity and reaches a wider audience. Additionally, there is a rise in influencer marketing, with eSports players and teams being seen as valuable brand ambassadors. This trend is significant as it allows for targeted advertising and can potentially lead to a younger and more engaged audience for companies. It also presents opportunities for industry stakeholders to capitalize on the growing eSports market and collaborate with brands for mutual benefits.

Local special circumstances: In the MENA region, the eSports market is rapidly growing, with a strong focus on mobile gaming due to the high smartphone penetration. This presents a unique opportunity for sponsors and advertisers to target a tech-savvy, young audience. However, the conservative culture and strict regulatory environment in some countries may limit the types of advertisements and sponsorships that are allowed. Additionally, the diverse languages and cultures within the region pose a challenge for international companies looking to enter the market. Local players and influencers with strong regional followings are key to successful sponsorship and advertising strategies in this market.

Underlying macroeconomic factors: The Sponsorship & Advertising Market within the eSports Market in MENA is also influenced by macroeconomic factors such as the region's economic stability, government policies promoting the growth of eSports, and the overall state of the global economy. Countries with strong economies and supportive policies are experiencing a significant increase in sponsorship and advertising investments in the eSports market. On the other hand, countries with economic challenges and limited government support may experience slower market growth. Moreover, the growing popularity of eSports and the shift towards digital media consumption are also contributing to the growth of the Sponsorship & Advertising Market within the eSports Market in MENA.

Methodology

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.

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eSports market - statistics & facts

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.