eSports Revenue Expected to Grow in 2021 Thanks to Strong 2020 Performance
The eSports industry was able to cash in on what happened during 2020, having a very solid year given the circumstances. There was a lack of sporting events taking place, people wanted to watch something competitive and eSports was one of the few options available.
On top of that, many people from around the world had more time at home than ever before, leading to many people picking up new hobbies and pastimes. Some of these people turned to the gaming industry, some chose to play, others chose to watch.
2020 was very strong for the eSports industry, with new people coming on board, added interest from those who were already watching, and a big chance to move forward again as they build on that.
The Financial Expectation for 2021
In many ways, the eSports industry did nothing in 2020 to get their success, they just happened to be in the right place at the right time, offering the right product. However, 2021 is where they will earn their money and we will really see what the industry is made of.
If you look purely financially then the loss of big tournaments, no ticket sales, and everything else associated with watching live eSports, 2020 saw a dip in the profit made. However, elsewhere, interest was heightened, with home tournaments being played, more tuning in on platforms to watch, and that included those who were watching and betting on eSports, because nothing else was happening.
The money lost in 2020 is there to be won back in 2021, with the revenue figure for eSports this year set to go over $1 billion for the first time. The forecasts show growth in every area, from sponsorship in the industry to media rights, streaming income, and of course ticket sales, which were not really available in 2020.
It is online, the traditional home of eSports, where the biggest percentage gains are expected to come in 2021. Digital revenue is forecast to go up by 50% when compared to 2020 while streaming revenue is set for an almost 30% rise too.
Neither of these two were affected by the pandemic in the same way as something like ticket sales, so that cannot be the reason for this rise.
Instead, it just seems as though we are seeing more and more people turn to eSports for their casual entertainment. These aren’t the type of people to go all in, purchasing tickets and merchandise, but they are the type to get involved digitally, via streaming or other digital methods, as they become casually attached to the industry.
In 2020, eSports was given the chance to shine and showcase itself to a larger audience than normal. Things went well, but the true test is 2021 and how the industry can take advantage of that and see revenues rise. Get that right, keep the new fans on board and 2021 could be a huge year for the eSports industry.
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