The esports industry has seen substantial growth in the past couple of years and sees no sign of slowing down.
According to the numbers gathered by SafeBettingSites.com, the esports industry is expected to bring in $1384m in revenue in 2022.
In 2021, the annual revenues stood at $1136.5m. Thus, the industry is expected to grow by 22% in 2022. This growth rate is set to continue in the coming years, as per the report.
China is currently the leader in the esports industry and it is expected to bring in almost one-third of the annual review, the report adds. On the back of the increasing popularity of mobile gaming in esports, regions like Latin America, the Middle East and Northern Africa and Southeast Asia are expected to be the fastest-growing markets.
The report also estimates that in 2025, the annual revenues would reach $1866.2m. This number would represent a healthy CAGR of 13.4%.
Sponsorships responsible for massive growth
Sponsorships continue to remain the backbone of the esports industry. According to the figures, sponsorship deals will bring in $837.3m in revenues in 2022. Hence, sponsorships constitute more than 60% of overall revenues in esports. In comparison to 2021, the amount of money earned from sponsorships increased by 16.4%
Other sources of income pale in comparison to sponsorship money in esports. The report also mentions that esports sponsorships have become a lucrative source of exposure for blockchain companies.
Media rights are expected to bring in $207.8m in revenues in 2022, but this amount would constitute only 15% of overall revenue.
Merchandise and tickets should witness the most significant year-on-year increase among all sources of revenue. The income from this source is expected to increase by 66.8% year-on-year to 107.9m in 2022. This increase can be attributed to the return of esports enthusiasts to tournaments following the pandemic.
The second most significant year-on-year increase is predicted for publisher fees. The money brought in as publisher fees are expected to be 130.7m – a year-on-year growth of 52.6%.
You can read the entire report with additional statistics and information here