The Business of E-Sports

E-Sports: Where Gaming is Serious Business

Thought competitive gaming was just nerds in basements? Think again.  eSports is HUGE money now, with millions of viewers, pro players making bank, and every big company wanting in.  So, how does a video game become an actual business?  Let's break it down.

Welcome to the Sponsor Zone

Just like regular sports, brands pay BIG to be part of eSports.  Think less beer commercials, more gaming laptop ones, but it's the same idea. Teams with winning players get the best deals, boosting their budgets even more.

Ads Where the Eyeballs Are

Remember how streaming services ruined TV? Same's happening to sports.  Huge eSports matches pull in insane viewers on Twitch, way more than a lot of cable gets. Advertisers know this, so they're happy to pay for those spots, funding the whole thing.

"Free" Games That Cost You

Lots of the most popular eSports games are free to start playing.  How do they make money?  Microtransactions, aka the bane of your wallet.  Fancy outfits for your character, loot boxes that MAYBE have something good...it adds up to a LOT of cash for the game companies.

Fandom=Fashion (Kinda)

eSports fans are SERIOUS.  Team jerseys are a hot item, even just merch with a fave player's name on it. It's a way to rep your team, which fans of "regular" sports have been doing for ages.

Bet on the Nerds?

Yup, it's a thing.  Betting on eSports matches is getting bigger, especially on huge events. Think the Super Bowl of gaming.  Lots of rules around this to keep it fair (mostly), but it's another income stream.

The Prize is $$$$

Winning a major tournament? Get ready to be rich. Prize pools are often in the millions, paid for by sponsorships, game sales, all of it.  Keeps the best players hungry to compete.

What's This Gonna Look Like in 5 Years?

Who even knows, honestly. VR headsets that make you feel like you're IN the game?  Blockchain stuff that changes how in-game items work?  eSports is only going to get bigger, and that means more ways to make money from it will be invented.

It's More Than a Game Now

eSports is a whole industry, with players, teams, advertisers, the works. Just cause it's on a screen instead of a field doesn't change the business side of things: follow the money, and you'll see just how seriously companies are taking this.