Why are Sponsorships in eSports Constantly Growing?

July 3, 2023

Over the last decade, eSports have undergone a tumultuous growth, transitioning from a niche for enthusiasts to a multi-billion dollar industry with a global fanbase.
Simultaneously, the attention of companies towards sponsorships in the eSports sector has exponentially increased.

Once almost exclusively the domain of brands tied to the gaming industry, today the sponsors of eSports come from all sectors of the economy, from technology to clothing, energy drinks to automotive.

Universal Attraction: The Success Factors of eSports

The growth of eSports is driven by various factors.

First, there is the demographic aspect: members of the Millennial and Generation Z, born and raised in the digital era, are naturally inclined to consume gaming content.

At the same time, the COVID-19 pandemic has accelerated the digitalization of many aspects of our lives, including entertainment and sports, making eSports an increasingly popular option.

Moreover, technological advancement, especially in the streaming and connectivity sector, has made eSports accessible to a global audience. Platforms like Twitch and YouTube Gaming have become the digital equivalents of stadiums, bringing video game competition directly into the homes of millions of people.

The Value of Sponsorships in eSports

Given these trends, sponsorships in eSports have become an increasingly effective and attractive marketing vehicle.

According to a Newzoo report from 2022, global eSports revenues are expected to reach $1.8 billion in 2023, with sponsorships accounting for nearly 60% of this figure.

A concrete example is the partnership between energy drink brand Red Bull and eSports team Cloud9. This collaboration allowed Red Bull to have a constant presence in match broadcasts and tournaments, and to have the opportunity to start co-branding activities and exclusive live events.

The Emergence of New Sponsorship Sectors

The growing maturity of the eSports industry has also led to a diversification of sponsorships. 

In addition to brands directly related to gaming, like Intel or Razer, more and more companies from sectors traditionally far from eSports are entering this field.

Mercedes-Benz, for example, has become one of the main sponsors of the League of Legends World Championship tournament, while DHL has formed a partnership with ESL, the world’s largest eSports organization.

Future Prospects: Beyond Current Boundaries

Looking to the future, there are all the reasons to believe that the growth of sponsorships in eSports will continue.

With the increasing popularity of eSports, the opportunities for companies to reach a young and digitally native audience are constantly expanding.

Moreover, the evolution of technology, particularly the advent of virtual reality and augmented reality, offers new horizons for the sector.

And let’s not forget the social aspect: eSports are a cultural phenomenon with an ever-increasing impact on society.

Companies like Nike are already taking advantage of this aspect, sponsoring eSports teams and creating themed clothing and accessories.

This could mark the beginning of a trend towards a deeper and more multidimensional involvement of brands with the world of eSports.

The Golden Age of eSports

The explosion of sponsorships in eSports is not just a passing phenomenon, but an indicator of the transformation of the gaming industry and the growing recognition of the value that eSports can offer.

The unique mix of entertainment, technology, and culture has created an environment where sponsorships can thrive and evolve.

There is no doubt that we are entering a new golden age of eSports, an era in which sponsorships will play a key role in shaping the future of the sector.

If you’d like a free consultation to discover what kind of sponsorship might suit you, contact us. We’re waiting for you!