Let's Play! 2021: The European Esports Market

Key insights

7 takeaways

01
The esports industry faces a significant monetisation challenge, as direct revenue is currently limited to sponsorships, ticket sales, and merchandise, with only 19% of consumers having made esports-related purchases.See it on page 15
02
Streaming platforms dominate consumption, with Twitch capturing 51% of the audience and 71% of total consumption intensity, followed by YouTube Gaming at 42% penetration and 33% intensity.See it on page 10
03
COVID-19 acted as a catalyst for audience growth, with esports penetration rates multiplying by factors as high as 2.40 for specific demographics, though the loss of live events caused severe liquidity issues for many organisations.See it on page 21
04
Live events remain a critical USP for the industry, as they drive fan engagement and create momentum that extends beyond the physical venue to remote viewers.See it on page 17
05
A lack of accessibility remains a barrier to growth, with 20% of non-consumers citing a lack of knowledge on where to watch, and 16% citing a lack of understanding of tournament systems.See it on page 15
06
Hardcore consumers show high openness to advertising, with 72% considering it useful and informative, compared to only 41% of the general sample average.See it on page 17
07
Leading organisations like ESL successfully mitigated pandemic-related revenue losses by pivoting to decentralised digital-only productions and extending long-term partnerships with brands like Intel and DHL.See it on page 26

Summary

The Sports Business Group at Deloitte is the go-to-partner for stakeholders of the esports indus- try and organisations seeking to join the ecosystem at every stage of their esports ventures - from building market knowledge to advising on complex matters with a particular focus on commercial and financial topics. With over 20 years of experience in the national and international sports, fitness and esports industry, our work draws on Deloitte's global network.