This represents a 38.2% year-on-year increase. The industry is transitioning toward a mature, multi-billion-dollar business model.
This audience includes 165 million dedicated enthusiasts. The report's audience projections are based on surveys of over 60,000 consumers across 28 countries.
Brands are the primary drivers of the esports economy.
Like a major sponsor backing a sports team, brands are now making continuous, long-term commitments to esports.
This stream has a projected compound annual growth rate of 49.8% through 2021. Media rights are moving from experimental budgets to continuous commitments.
Leagues like the Overwatch League and the North American League of Legends Championship Series are adopting franchising.
This phase is expected to require five to ten years to reach full market stability. The industry is transitioning toward a mature business model.
Like a young company scaling up, the esports industry needs time to build robust, stable operations.
The 2018 Global Esports Market Report provides a comprehensive analysis of the esports industry as it transitions toward a mature, multi-billion-dollar business model. The primary thesis posits that while the industry is experiencing rapid revenue growth and increased institutional investment, it remains in a critical phase of professionalization that will require five to ten years to fully stabilize. The report highlights a pivotal shift where sponsorship and media rights are moving from experimental budgets to continuous, long-term commitments.
Key findings indicate that global esports revenues are projected to reach $906 million in 2018, representing a 38.2% year-on-year increase. Brands are the primary drivers of this economy, accounting for 77% of total market revenue. The global esports audience is expected to reach 380 million people, including 165 million dedicated enthusiasts. Media rights have emerged as the fastest-growing revenue stream, with a compound annual growth rate of 49.8% projected through 2021. Furthermore, the report identifies franchising as a transformative structural trend, noting that leagues like the Overwatch League and the North American League of Legends Championship Series are fostering stability by removing relegation and attracting major media and telecom investment.
The scope of the report is global, covering ten distinct geographic regions and analyzing industry segments including sponsorship, advertising, media rights, and ticket sales. The methodology relies on a proprietary predictive market model that synthesizes macroeconomic data, public event metrics, and primary consumer research. This research program, which spans 28 countries and surveys over 60,000 consumers, serves as the foundation for audience projections. The analysis excludes capital investments, player salaries, and prize pools, focusing strictly on generated industry revenues to provide a clear view of the sector's financial health.