The Future of Esports in India |
| Credit: iPleaders |
OVERVIEW
• Esports is defined by online games of skill that are played in tournaments like Pubg, Fornite
• Different teams and individuals play against each other to win the championship, league, title like physical sports
• Esports requires hand-eye coordination, attention, visual processing, executive function and strategy development for players to grow and excel
• It gained popularity during the lockdowns witnessed in 2020 and 2021 as a mode of entertainment as well as social gamers who wish to get competitive
REVENUE SEGMENTS
Major revenue streams for Esports include:
1. Sponsorships
2. Advertisements
3. Media rights
4. Live event tickets
5. Merchandise sales
6. In game purchases
7. Publisher fees
About 69% of the revenue comes from sponsorships and advertising alone
The Esports industry saw its revenue increasing from Rs 1,701 million in FY21 to Rs 3,039 million in FY22
FUTURE PROSPECTS
• The Esports industry is expected to grow at 46% CAGR over the next four years and streaming platforms will generate the largest chunk of Esports revenues
• The total size of India's Esports industry will touch Rs 1100 crore by FY25 said by the Federation of Electronic Sports Associations of India (FEAI)
• Esports is expected to generate economic value of around INR 100 billion between now and FY2025
• The industry, however faces regulatory challenges and uncertainty such as misconception that Esports is gambling or a game of chance and its consequent banning by certain states.
0 Comments