Imagine being on the forefront of a booming industry, one that’s captivating the attention of millions worldwide. Welcome to the world of esports, a digital stage where skilled gamers battle it out for glory, fame, and hefty cash prizes. But there’s more to esports than just games – it’s a lucrative platform for brands to make their mark.
In the whirlwind of this digital revolution, sponsorships have emerged as a key player. Brands aren’t just spectators; they’re actively capitalizing on the trend, leveraging the popularity of esports to reach a wider audience. Let’s delve into the fascinating world of esports sponsorships and discover how brands are turning virtual battles into real-world profits.
Understanding Esports Sponsorships
Esports sponsorships, not a trend you must ignore as a brand. They offer an opportunity to reach an untapped audience, often, the very audience that traditional industries struggle to engage. Harnessing this eSports sponsorship trend requires valuable insights and in-depth comprehension of growth in competitive gaming and the ways brands engage with esports teams.
The Rise of Competitive Gaming
Competitive gaming, often referred to as esports, has grown explosively in the last decade. Some quantify this growth; Newzoo, a famous gaming analytics company, reported a staggering surge from a mere 120 million esports viewers globally in 2012, to 495 million in 2020. It’s expected that by 2023, this number will rise to 646 million, indicating an enormous potential market for brands.
Take sports giants such as Adidas and Nike, for instance; they’ve quickly jumped onto the esports bandwagon, understanding that esports sponsorships can serve as powerful marketing tools. They relish the opportunity to sponsor popular esports events like League of Legends World Championship or The International Dota 2 Championship, recognizing the value in this.
How Brands Engage With Esports Teams
Sponsorship engagements provide a win-win situation both for brands and esports teams. Brands obtain publicity and reach while the teams gain financial support that aids in fostering their talent and skill.
Engaging with esports teams, brands can choose from various approaches. Some go for the typical umbrella sponsorships, putting logos on team uniforms or naming rights to the esports arenas. Others prefer product placements, integrations, and endorsements often seen in streams or within the game itself. For instance, Intel’s sponsorship of the Electronic Sports League includes product placements, with its high-performance processors being used by competitors.
In essence, esports provides a golden opportunity for brands to be innovative, immersive, and interactive, all at the same time. This enthusiastic, free-spirited consumer base is the modern marketer’s dream, and esports sponsorships just might be the key to unlocking it.
Strategic Approaches to Esports Sponsorships
As a brand looking to maximize the potential of esports sponsorships, adopting strategic approaches can pave the way for effective and meaningful partnerships. Here, we delve into two vital strategies, namely selecting the appropriate esports genre and tailoring your brand messages specifically for the esports audience.
Selecting the Right Esports Genre
First off in your strategic approach: identify the right esports genre. Esports encapsulates a variety of genres, each with distinct demographics and fanbase characteristics. For instance, sports-themed esports like FIFA and NBA2K connect brands with fans passionate about traditional sports. Likewise, multiplayer online battle arena (MOBA) games like League of Legends and Dota 2 attract viewers who favor intense strategy and team dynamics.
Selecting the suitable genre aligns your brand interests with that of the esports fanbase. Case in point, Mercedes-Benz sponsors the Dota 2 championships, associating their brand with the strategy and teamwork espoused by this game’s fanbase.
Tailoring Brand Messages for the Esports Audience
The second part of your strategic approach involves customizing your brand messages for the esports audience. Typically, esports viewers are young, digitally-forward, and receptive to brands that echo their passion for gaming. Consequently, authentic communication that respects the culture and ethos of the gaming community resonates strongly with this demographic.
For instance, Intel, apart from sponsoring top esports tournaments, hosts the Intel Extreme Masters, embedding itself in the esports narrative. This move not only positions Intel as a brand that supports and nurtures the gaming community but also emphasizes their products’ importance in enhancing gaming capabilities.
By adopting these strategic approaches, brands can heighten their visibility in the esports field, leveraging this vibrant platform’s potential to foster deep connections with its avid audience.
Future of Esports Sponsorships
The evolution of esports sponsorships keeps going at warp speed with the growth in popularity and audience base of esports. Several trends are presently shaping the esports industry, dictating how brands engage in the broadening landscape of competitive gaming. As the face of the esports industry continues to convert, so do the opportunities for brands to engage, collaborate, and sponsor in unique ways.
Trends Shaping the Esports Industry
Major characteristics are setting the pace in the esports industry. First, global expansion multiplies market opportunities.
Second, emerging technology continues to redefine the esports experience. Improvements in video streaming quality, VR headsets, and augmented reality provide players with a more immersive gaming experience. For example, the use of VR in games like Beat Saber has significantly improved the user’s gaming experience.
Finally, the intersection of esports and traditional sports also shapes the industry landscape. Leagues are now structured to mirror traditional sports formats, appealing to a wider audience, while traditional sports teams invest in esports as a way of broadening their footprint.
Predictions for Brand Engagement in Esports
The commercial landscape of esports constantly evolves, presenting innovative ways for brands to engage and capitalize. First, expect a sharper focus on experiential activations within esports. Brands may enhance fan connections by creating memorable, hands-on experiences that transcend traditional sponsorship activities. For example, Mercedes-Benz organized a thrilling VR racing experience during the last ESL One Birmingham where fans could compete against professional players, deepening brand engagement.
Second, there would be an increase in data-driven partnerships. As esports grows, expect brands to leverage available consumer data to create more tailored marketing strategies and experiences. Nielsen’s Esports Playbook reported brands using audience analytics to inform their sponsorships, an approach likely to become more widespread as brands seek to optimize their return on investment.
Finally, anticipate purpose-driven partnerships to arise. Esports communities are known for their commitment towards social causes. Consequently, like-minded brands can create meaningful connections with these communities by sponsoring charities or taking visible stands on social issues, appealing directly to this sense of purpose.