Esports Insider has collaborated with online payment giant Nuvei to produce a whitepaper analysing revenue streams, payment method data and current practices across the esports industry.
The whitepaper provides an in-depth analysis into how money currently flows in the industry. Topics discussed include revenue streams, payment methods, international payments, sponsorship deals, and more. The Payments and the Monetization of Esports whitepaper is available for free on the ESI Marketplace.
In total, the project features contributions from more than 100 companies across the Americas, Europe, Asia, and Oceania. The survey gathered a range of information from esports organisations (teams), to tournament organisers and other esports-related agencies. This included insights from companies such as Washington Justice, Team Vitality, QLASH, PGL and more.
Some of the key takeaways and stats from the survey include:
- Esports companies are diversifying their revenue streams to better monetise their audience. This is leading to increasingly complex operations.
- 65% of respondents say monetising the audience is one of their three top concerns
- Due to its international audience and increasing complexity, the esports industry needs flexible payment providers that will help address its concerns.
- 89% of respondents earn revenue from sponsorships
- 70% of esports companies have used or are considering using blockchain technology in their revenue strategies, however 62% are worried about the potential backlash from fans
Despite touching all aspects of the business, improving the payment process was found to be an overlooked opportunity for revenue growth across the esports space. Many teams and event organisers want help maximising the value of their transactions in a way that will not require more customisation and collaboration with their payments partner.
Esports Insider’s Head of Media, Morgan Ashurst, spoke about the project: “This whitepaper is the result of a unique effort to shed light and to provide data points on a well-renowned topic within the space — monetisation in esports. The data and the insights available in this whitepaper are capable of guiding strategies both for big, established organisations and for small, escalating teams that are looking to potentialise their earnings.”
Readers will be able to learn how revenue streams and monetisation strategies are currently implemented in the esports sector. Subjects such as sponsorship opportunities, merchandise, payment methods and customer habits were also approached. Collated data of all questions sent to participants are included in the publication. Nuvei also provides payment-related solutions to some of the pain points identified by the survey respondents.
Ashurst continued: “The whitepaper is helpful not only for those who are looking to grow their companies in esports. It also benefits those who are already established, but interested in potentialising business, finding opportunities, and increasing the efficiency of their revenue streams.”
Warren Tristram, SVP Sales, Head of Gaming, Lottery and Esports at Nuvei, added: “It’s crucial to gain knowledge about the evolution of the esports sector so that businesses can identify opportunities to accelerate revenue growth. This whitepaper offers a glimpse into financial and commercial discussions that are occurring right now, by collating a broad range of stakeholders and asking questions that are crucial to this sector.
“We are thrilled to contribute to a project that educates the gaming ecosystem and the wider brands associated with it about the importance of payments within esports.”
The Payments and the monetization of esports whitepaper can be accessed, in full and free of charge, on the ESI Marketplace here.