eSports
Sports betting enthusiasts will generally wager on any kind of sport as long as the competition is interesting and the line-making seems reasonable. That's why online bookmakers will post as many as 40-50 betting markets every day. It also explains the growing popularity associated with eSports betting.
About eSports
It blows the minds of millions of people that some out in the digital world are playing video games as a way to earn a living. It's even more mind-blowing that people will wager real cash on professional video gamers who are competing against one another. eSports is the label that covers the world of professional video gaming competition.
Professional eSports leagues and tournaments are being organized all over the planet. The players compete for prize money over a wide range of popular video games like Call of Duty, Dota 2, and Halo. Each league and tournament will require players to compete against each other while playing at least one specified video game.
The competitions can take place between individual players or teams. As a side note, there are worldwide and regional ranking systems that rank players and teams based on their wins, win percentages, specific games, and earnings. The top players in the world can earn millions in annual purse money and endorsements. The top teams can earn tens of millions a year.
By the Numbers
eSports have been around for close to 43 years now, so it's not a new concept. With that said, the popularity of eSports competition has absolutely exploded in the last 5 years. According to data released by Statista, the eSports market brought in gross annual revenue of close to $3.4 billion (USD) in 2022. Current projections indicate that annual gross revenue for 2023 should get very close to $4.0 billion (USD) and up as high as $5.4 billion (USD) by 2027. That's an incredible 5-year growth rate of 59% between 2022 and 2027.
The gross annual revenue figures include revenue from the following sources:
- Publisher fees
- Sponsorship and adverting
- Media rights
- Streaming rights and services
- Venue ticketing and branded merchandise
- Sports betting
As for player and viewer participation, the number of participants in 2023 currently sits at approximately 600 million participants (7.5% market penetration). That number is expected to grow to 720 million participants by the end of 2027. That's a market penetration of 9.1% based on 8 billion people worldwide. Think about that. Close to 9.1% of the world's total population will have some level of involvement in the eSports market.
eSports Betting
Experienced sports bettors will visit their favorite online bookmakers at least three times a week, usually on the weekends and during major sports events. Contrast that with online casino players who will log onto their favorite casino sites more often and for longer periods of time. Of course the latter has the advantage of providing a wealth of bonuses and promotions found on sites like nodepositbonus.cc
The data on the number of people who gamble online is a little sketchy at this time. That's due in large part to reporting delays caused by COVID and the explosion of online gambling in America over the last three (3) years. To get an idea of where the growth of eSports betting is headed, we'll look to information gathered from the UK. Note: The UK's online gambling market has proven to be a good predictor of what's happening in other countries where said activities are legal
By the way, it was reported that close to 12 million UK residents owned online betting accounts (sports and casino) by the end of 2021.
According to data reported by the PlayToday publication, approximately $67 billion euros were wagered on eSports (mostly online) in 2020. They also reported that 58% of the total UK population had reported wagering on eSports at least one time during the year. That number was confirmed by what was reported by the UK Gambling Commission. While the same data has not yet been released for 2021, it's a fair assumption the numbers are much higher because of COVID lockdowns and growing interest and access to online gambling sites.
In the U.S., approximately 37 states have legalized or are in the process of legalizing online sports betting. At the same time, only 7 states have legalized online casino gambling. What we know about the U.S. sports betting market is tens of billions of dollars are being wagered on sports across the country every month. What's not clear is how much is being wagered and how many bettors are wagering on eSports.
Since eSports is popular in America, there is some betting interest. However, not all U.S. online bookmakers are posting eSports betting markets on a regular basis, which is a significant limiting factor. That being said, the demand is growing and bookmakers are paying attention. We'll look for big growth in the near future.
Bottom Line: Esports betting is a real thing, it's exciting, and it's getting bigger.
