Sponsorship & Advertising - Switzerland

Switzerland

Highlights

In Switzerland, revenue in the Sponsorship & Advertising market market is projected to reach US$3.5m in 2024.
Revenue in this market is expected to show an annual growth rate (CAGR 2024-2029) of 7.30%, which will result in a projected market volume of US$5.0m by 2029.
Although in Switzerland is a significant market, most revenue is generated China, with a projected market volume of US$288.9m in 2024.
The average revenue per user (ARPU) in Switzerland is expected to amount to US$0.4.
Switzerland's eSports sponsorship and advertising landscape is increasingly attracting luxury brands, reflecting the country's unique blend of wealth and digital innovation.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The eSports market in Switzerland is seeing a subdued growth rate, with sponsorship and advertising being major drivers. Factors such as increased brand recognition and the growing popularity of eSports have contributed to this growth. However, challenges such as limited mainstream audience and lack of traditional sports infrastructure are impacting the market's growth rate.

Customer preferences: As eSports gain mainstream popularity, brands are increasingly turning to sponsorships and advertising within this market to reach a younger and tech-savvy audience. This trend is further driven by the growing influence of social media and online streaming platforms in the eSports community. As such, companies are investing in creative and innovative ways to engage with their target audience through partnerships with eSports teams, tournaments, and influencers. This shift towards digital and social media-based advertising is also reflective of the changing media consumption habits of millennials and Gen Z, who are more likely to engage with brands through online channels rather than traditional forms of advertising.

Trends in the market: In Switzerland, the eSports market is experiencing a surge in sponsorship and advertising opportunities. Brands are increasingly recognizing the potential of reaching a highly engaged and tech-savvy audience through eSports events and partnerships. This trend is expected to continue, with projections of the global eSports sponsorship market reaching $1.2 billion by 2022. The significance of this trend lies in the potential for increased revenue and exposure for both the eSports industry and sponsoring brands. However, as the market becomes more saturated, industry stakeholders must carefully consider their partnerships and marketing strategies to stand out in a highly competitive space. Additionally, there is a growing demand for transparency and authenticity in sponsorships, with audiences expecting genuine alignment between brands and the eSports community. As such, industry players must carefully navigate these dynamics to ensure the success and sustainability of the sponsorship and advertising market within the eSports industry.

Local special circumstances: In Switzerland, the Sponsorship & Advertising Market within the eSports Market is influenced by the country's strong economy and high disposable income, leading to a significant investment in the industry. Additionally, the country's strict regulations on advertising and sponsorship in traditional sports have carried over to the eSports market, shaping the strategies and partnerships of companies in this space. The local culture of innovation and technology also plays a role in the development and growth of the eSports market in Switzerland.

Underlying macroeconomic factors: The Sponsorship & Advertising Market within the eSports Market in Switzerland is heavily impacted by macroeconomic factors such as the country's strong economy, stable political climate, and high levels of disposable income. These factors create a favorable environment for companies to invest in advertising and sponsorship opportunities within the eSports market, leading to significant market growth. Additionally, Switzerland's highly developed digital infrastructure and advanced technological capabilities make it an attractive market for eSports companies looking to expand their reach through various sponsorship and advertising strategies. Furthermore, the country's favorable tax policies and government support for the eSports industry also contribute to its thriving sponsorship and advertising market.

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.