Mobile eSports: On The Source of Revenue

As a new industry, it is not yet clear where the source of revenue is in Mobile eSports. While there are multiple sources that we can point out, it is best to start by looking at statistics to get a clearer picture. Since last year, Esports as an industry was forecasted to grow by 38% and expected to be valued at $906 million in 2018 as reported by Newzoo.

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Globally, 38% of revenue for this year will be based in North America while 18% will be coming from China. There is less revenue in eSports when compared to conventional sports but the industry is growing quickly and advertisers are recognizing that eSports attracts a very passionate audience. The majority of the revenue in eSports can be found in brand sponsorships which is responsible for approximately 77% of the industry’s revenue. This is followed by Advertising as the second largest source of revenue. Furthermore, eSports is valued by viewership and it is expected that the number of viewers will increase from 143 million in 2017 to 165 million in 2018.

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These are all positive statistics and Mobile eSports is not out of the equation. Now, we are seeing multi-million dollar investments in Mobile eSports. In addition, we recently reported of an Arena of Valor player that was signed for $1.2 million which is impressive in the mobile gaming scene. Tournaments in Clash Royale, Vainglory, Arena of Valor, and Rules of Survival are being hosted with over $100,000 prize pools. Considering that Mobile eSports hasn’t been for long, these developments are extremely promising.

At the moment, brand deals are estimated to be the highest source of revenue in Mobile eSports and will remain as such for the time being. The optimism is increasing due to countless investors that are seeking to be part of this rising industry. The fact that mobile games are now being developed to compete with console quality graphics and are able to deliver entertainment on the same level is pushing the boundaries of possibility even further. Finally, whether you are an investor, a business, or a team, now is the best time to get involved in the world of Mobile eSports before you miss out on a multi-billion dollar industry in the making.