Why Businesses Are Investing In Esports Teams
- 18 Dec 2024
- Articles
We have seen a substantial increase in esports over the last decade and overall the industry is growing at a substantial rate. Investing in esports is a huge business opportunity for many large companies as the esports industry is hugely lucrative and is growing year by year.
The younger audience of esports has grown up with technology and video games and the global audience of the video game industry has seen a number of large companies invest in the biggest and best esports teams in the world.
Below, we will look at some companies who have invested or put money into the esports industry and why we think these companies do this.
Why Do These Companies Invest?
Starting with the main point of the page, the question on hand is a big one as you may be a small business owner who could potentially be interested in a future collaboration with an esports team and would want to know if it is worth your time.
The Audience Growth
Gaming as a whole is one of the biggest things in the world. Hundreds of millions of people play games each week, with games like CSGO and League Of Legends spearheading the esports industry as a whole. However, it isn't just the esports industry that makes gaming as big as it is, the addition of betting on games has seen gaming as a whole grow exponentially.
There is a wide range of games that players have started to play betting games on, some of the best rust gambling sites allow players to play games like roulette, coinflip and crash which could be lucrative for both the players and the companies, but rust isn't the only example. CSGO, Roblox and others are all seeing the benefits of allowing players to use their game items as a form of gambling as the games will make money off these players either way and more players will be playing your game so they can play the betting games.
The Revenue Potential
Esports, gaming and esports players all generate great revenue through sales, sponsors, tournament winnings and streaming. All of these things are great financial opportunities and if a large company decides that they want to invest in these teams, players or tournaments then the money made will be greater.
Large Engagement Factors
As we have mentioned, there are many ways that fans of these teams and players can interact. Through streams, social media posts and YouTube videos, the gaming industry has a huge connection with its fans and any company that invests in this industry will get a drop-down of the engagements that each of these fans gets.
Companies That Have Invested
There have been several companies that have looked to the esports industry to make more money and most of these have been great successes.
Adidas and G2 Esports
G2 Esports is a company that has esports teams around different video games with CSGO being their biggest window of success. Adidas saw the upward trajectory that G2 Esports was on and decided to collaborate with G2 to make merchandise that fans of the team could buy.
BMW and Its Ventures
Over the last few years, BMW had a “United in Rivalry” campaign that brought together a range of teams like Fnatic, Cloud9 and T1 that promoted their cars to the younger generation and got more eyes to esports as a whole.