Although casino gaming and eSports seem like an unlikely
pair, there has been an increase in the number of casinos that are
starting to get into the field of competitive gaming. For example, there has
been a rise in the appearance of casino eSports arenas. Luxor Casino in
Las Vegas hosts one of the biggest eSports casinos and is at the
forefront of the competitive gaming scene.
In addition, more and more prolific casino establishments
are looking to boost their appeal to the thriving demographic of eSports gamers
by sponsoring notable eSports teams. This improves visibility and
a potential increase in revenue, highlighting that casinos and
eSports could both benefit respectively from more collaborations in the
future.
Source: Pexels
Here are three reasons why the casino industry should get
into eSports:
Wider Audience
In the era of digitalization, competitive gaming has become
more prominent than ever. As of 2019, eSports has been booming, making it
a billion-dollar market. This comes as no surprise as today’s generation of
gamers loves to watch world-class gamers play their favorite games. Hence,
because of the popularity surrounding electronic sports in the gaming
industry, the eSports
audience has reached 474 million people, according to Statista.
Moreover, by 2024, it is estimated that eSports will have
around 577.2 million viewers worldwide, which is a significant increase from
397.8 million in 2019. With this level of exposure, the casino industry would
reach new levels of success. Therefore, the casino industry should take
advantage of opportunities in the eSports market.
Lucrative Market
The eSports industry does not only benefit players but also
video game producers and developers, making it one of the most lucrative
markets in the world. Competitive video gaming is one of the fastest-growing
global industries with the eSports market valued at a 50% increase from the
previous year. By the end of 2022, it is also estimated that eSports will generate
nearly $1.38 billion in revenues globally, according to Newzoo. What's
more, the eSports industry is set to grow to as much as $1.62 billion by
2024.
This would be an excellent market for online casinos to
enter as some of the most popular casino games are beginning to
experience the impact of eSports. This is mainly because today’s
generation of gamers is looking for gambling games that are predominantly
skill-based.
Sponsorships and Advertising
Unlike the eSports market which utilizes sponsorship and
advertising, online casinos currently offer incentives such as promotions
in order to attract new players to sign up as well as retain existing players.
Moreover, bonuses and rewards not only attract new players but also help
them explore new games. For example, casino sites such as Buzz Bingo offer
slots promotions to their online players, they also offer welcome bonuses
and other opportunities to win daily prizes. Promotions like these are a good
example of how the casino industry is gaining more traction globally.
While the casino industry does benefit from offering online promotions, entering into the world of casino eSports means they would have access to more opportunities like sponsorships and advertising, which would create rapid growth in the sector.
Source: Pexels
Some of eSports' largest market revenue comes from
sponsorships and advertising. In 2021 alone, the global eSports market
revenue was a total of $641 million because of sponsorships and advertising.
WinStar World Casino was the first eSports casino to sponsor a competitive
gaming team. There are also a few casino games such as slots that are beginning
to gain popularity and inspiration from eSports.
Interestingly, they are working towards making such casino
games more ‘skill-based’. The second highest source of revenue was media rights
at over $192 million. With this level of sponsorship and advertising
opportunities open to online casinos, there is no doubt that online casinos
would be a thriving industry.
The casino gaming industry has a lot of opportunities to grow
within the eSports market such as sponsorships and advertisements. Online
casinos also have the potential to gain a wider audience in a lucrative market
that would largely benefit the industry for years to come, so who knows what
we'll see in the next few years.