newzoo & esports bar: an overview of esports in europe · featuring an in- depth look at four...
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FEATURING AN IN-DEPTH LOOK AT FOUR OF EUROPE’S MOST VIBRANT ESPORTS ECOSYSTEMS
ESPORTS IN EUROPE
DECEMBER 2017
AN OVERVIEW OF
THIS REPORT IS BROUGHT TO YOU BY ESPORTS BAR
SWEDEN POLAND SPAIN GERMANY
TABLE OF CONTENTS1. Foreword 3
2. Key Facts About Europe 4
3. European Market Trends 6
4. Local Impact 10
5. Biggest Events 15
6. Using Consumer Insights 18
Esports is entering a new phase toward becoming a mature
market. The coming two years will be crucial in how fast it
grows into a multi-billion-dollar business. The key determining
factors are the success of local leagues and the franchising
approach, the implementation of regulations, the arrival of new
game formats and competition, the uptake of content rights
sales, team profitability, and the impact of industry convergence
involving traditional media, entertainment, telecom, and sports
companies. Depending on how these factors play out in the
coming year or two, esports’ growth could accelerate and reach
$2.4 billion in 2020 in an optimistic scenario, almost $1 billion
higher than the base scenario of $1.5 billion.
Europe has been one of the most important regions in the
development of the esports industry. Some of the first
organizations that made esports popular, especially in the West,
originate from Europe. Most notable is ESL, arguably the world’s
largest esports organization, which has its roots in Germany. The
company has helped build and shape esports from small
community events to record-breaking events, including the Intel
Extreme Masters in Katowice and ESL One in Cologne. And even
now, Europe is a key region for the esports industry. It accounts
for almost one-third of all global esports revenues and is host to
more than 70 million esports viewers.
FOREWORDA NEW PHASE FOR ESPORTS COMMENCES
3
Jurre PannekeetSenior Market Analyst
ESPORTS ENTERING A CRUCIAL PHASE TOWARDS MATURITY
© copyright Newzoo 2017
FACTS ON GAMING AND ESPORTS IN EUROPEGAME REVENUES, ESPORTS AUDIENCE, AND MEDIA RIGHTS REVENUE GROWTH
4
EUROPEAN CONSUMERS WILL GENERATE
$22BNIN GAME SOFTWARE REVENUES IN 2017
MEDIA RIGHTS REVENUES WILL GROW
+500%FROM 2016 TO 2020 IN
EUROPE ALONE
THE ESPORTS AUDIENCE WILL TOTAL
77MACROSS ALL OF
EUROPE THIS YEAR
© copyright Newzoo 2017
KEY FACTS ON EUROPEAND CHOOSING THE FOUR KEY COUNTRIES
NORTHERN EUROPE
EASTERN EUROPE
WESTERN EUROPE
SOUTHERN EUROPE
ONLINE POPULATION98.7M
ESPORTS ENTHUSIASTS8.4M
Europe is a very different region
from other large markets such as
North America or China, as it
represents more countries and
cultures than these two regions. It
is important to understand the
implications of culture on favorite
games, teams, and players if you
want to engage with the European
esports fan. This report gives you
an overview of the current
European esports market, its local
favorites, biggest events, and
sponsors involved.
This report features four of the
most vibrant local esports
ecosystems, for a large part
because of their long history in
esports that is directly related to a
strong PC gaming community.
SWEDEN
POLANDSPAIN
GERMANY
3.4MESPORTS FANS
2,317PRO PLAYERS
0.5MESPORTS FANS
1,836PRO PLAYERS
4.1MESPORTS FANS
687PRO PLAYERS
2.8MESPORTS FANS
1,086PRO PLAYERS
FOCUS COUNTRIESWITH A VIBRANT LOCAL ESPORTS ECOSYSTEM
AND LONG-TERM LEGACY IN ESPORTS
ESPORTS ENTHUSIASTS13.1M
ONLINE POPULATION240.5M
ONLINE POPULATION232.3M
ESPORTS ENTHUSIASTS10.9M
ONLINE POPULATION30.6M
ESPORTS ENTHUSIASTS1.6M
5 © copyright Newzoo 2017
IN 2017, EUROPE ACCOUNTS FOR
32%OF THE GLOBAL ESPORTS
ECONOMY REVENUES
25.2MILLION
36.5MILLION
30.7MILLION
34.4MILLION
42.5MILLION
45.0MILLION
60.3MILLION
31.6MILLION
YoY+14.4%
YoY+18.4%
CAGR2015-2020
+13.1%
2015 2017 20202016
©2017 Newzoo
Europe will account for
20%of the global
esports audience in 2017
OCCASIONAL VIEWERS
ESPORTS ENTHUSIASTS
TOTAL AUDIENCE
TOTAL AUDIENCE
TOTAL AUDIENCE
EUROPEAN ESPORTS AUDIENCEEUROPE | FOR 2015, 2016, 2017, 2020 | Q3 2017
7 © copyright Newzoo 2017©Newzoo | 2017 Global Esports Market Report
TOTAL REVENUES(MEDIA RIGHTS, ADVERTISING, SPONSORSHIP, MERCHANDISE & TICKETS, GAME PUBLISHER FEES)
$165MILLION
$100MILLION
2015 2017 20202016
$403MILLION
$209MILLION
©2017 Newzoo$65MILLION
$108MILLION
$146MILLION
$319MILLION
BRAND INVESTMENT REVENUES(MEDIA RIGHTS, ADVERTISING, SPONSORSHIP)
YoY+27.3%
YoY+65.1%
CAGR2015-2020
+32.3%
©Newzoo | 2017 Global Esports Market Report
TOTAL REVENUES
TOTAL REVENUES
TOTAL REVENUES
Europewill generate
$209Min 2017, or 32% of global
esports revenues
$660M2017
32%
36%
27%
5%
EU NAM ASIA REST OF WORLD
EUROPEAN ESPORTS ECONOMYEUROPE | FOR 2015, 2016, 2017, 2020 | Q3 2017
8 © copyright Newzoo 2017
SPORTS TEAMS EMBRACING ESPORTSEUROPEAN SPORTS ORGANIZATIONS ENTERING ESPORTS WITH PLAYERS AND TEAMS
INVOLVED TEAMSThe involvement of sports clubs and personalities, leagues, and
agencies will significantly accelerate the development of the
global esports industry and help local esports scenes grow.
Traditional sports clubs and leagues bring with them an
established local fan base, along with a well-known and
respected brand. By leveraging this, they can ensure their
esports initiatives are instantly perceived as top-level
competitions. Agencies bring their vast experience in sports
marketing to the space, telling stories around the teams and
players that suit their client base of sponsor brands.
Furthermore, the inclusion of well-known sports teams gives a
boost to the awareness and acceptance of esports as a
legitimate form of mainstream entertainment. It will also give a
boost to esports activities around sports games such as Madden
and FIFA, as a significant share of esports initiatives are built
around these franchises.
9 © copyright Newzoo 2017
OF THE NEW MAJOR ESPORTS SPONSORS,
69%WERE NON-ENDEMIC
BRANDS
NON-ENDEMIC BRANDS DRIVE GROWTH
11
NEW NON-ENDEMIC SPONSORSHIPS IN 2017 | EUROPE AND GLOBAL
EUROPEAN BETTING COMPANIES
EUROPE REST OF WORLD
© copyright Newzoo 2017
LOCAL TIES DRIVE FAN ENGAGEMENT
12
POPULAR LOCAL TEAMS PER COUNTRY | MAIN SPONSOR PER TEAM
MAIN SPONSOR MAIN SPONSOR
Polish organization Virtus Pro is the longest standing 5-man roster
in CS:GO to date, called the ‘’Golden Five’’. Its players have a very large following in Poland.
MAIN SPONSOR
G2 Esports is the only team to operate both the LCS and the
LVP. Through its founder Carlos ‘Ocelote’ Rodriguez, it has deep
Spanish roots.
MAIN SPONSOR
Founded in 1997, SK Gaming is one of the oldest esports organization to date, still
competing at the highest level worldwide.
Ninjas in Pyjamas, or NiP, is Sweden’s favorite team. Its
teams mostly consist of Swedish players, including its
popular CS:GO team.
SWEDEN POLAND SPAIN GERMANY
© copyright Newzoo 2017
EUROPE AMONG THE BEST IN THE WORLDTOP 10 TEAMS OR PLAYERS | CS:GO, LOL, AND HEARTHSTONE | NOVEMBER 30TH 2017
1 SK GAMING EUROPE
2 FAZE CLAN EUROPE
3 CLOUD 9 NORTH AMERICA
4 ATRALIS EUROPE
5 NIP EUROPE
6 NORTH EUROPE
7 FNATIC EUROPE
8 MOUSESPORTS EUROPE
9 OPTIC GAMING NORTH AMERICA
10 G2 ESPORTS EUROPE
TEAM REGIONRANK
1 SAMSUNGGALAXY
SOUTH KOREA
2 SKT SOUTH KOREA
3 RNG CHINA
4 TEAM WE CHINA
5 LONGZHU SOUTH KOREA
6 EDG CHINA
7 INVICTUS CHINA
8 CLOUD 9 NORTH AMERICA
9 G2 ESPORTS EUROPE
10 LYON GAMING LATIN AMERICA
TEAMRANK
1 MUZZY NORTH AMERICA
2 PAVEL EUROPE
3 STANCIFKA EUROPE
4 ORANGE EUROPE
5 HOEJ EUROPE
6 DOG NORTH AMERICA
7 ZALAE NORTH AMERICA
8 DRJIKININKI NORTH AMERICA
9 RDU EUROPE
10 THIJSNL EUROPE
PLAYERRANKREGION REGION
13 © copyright Newzoo 2017
THE IMPACT OF LOCAL HEROES
14
LOCAL FAN-FAVORITE PLAYERS’ SOCIAL MEDIA POPULARITY | PRIZE MONEY EARNED AND PRO PLAYERS
Rekkles Mithy KuroKy
378K 397K
Pasha
273K 833K 101K 5K 197K 69K
1,836
Country earnings and Pro-players according to Esportsearnings.com
$22.3M
FOLLOWERS FOLLOWERS
PRIZE MONEY2017 YTD EARNED BY
SWEDISH PRO PLAYERS
REGISTERED PRO PLAYERS
GAME GAME GAME GAME
1,086$6.7MPRIZE MONEY
2017 YTD EARNED BY POLISH PRO PLAYERS
REGISTERED PRO PLAYERS
689$2.2MPRIZE MONEY
2017 YTD EARNED BY SPANISH PRO PLAYERS
REGISTERED PRO PLAYERS
2,317$13.0MPRIZE MONEY
2017 YTD EARNED BY GERMAN PRO PLAYERS
REGISTERED PRO PLAYERS
TEAM TEAM TEAM TEAM
FOLLOWERS FOLLOWERS FOLLOWERS FOLLOWERS FOLLOWERS FOLLOWERS
SWEDEN POLAND SPAIN GERMANY
© copyright Newzoo 2017
OF ALL EUROPEAN LOL, CS:GO, OR DOTA2 ESPORTS
VIEWERS,
26%DO NOT PLAY ANY OF
THESE GAMES THEMSELVES
BIGGEST EVENTS IN EUROPE
16
TOP 10 EVENTS HELD IN EUROPE BY HOURS WATCHED ON TWITCH | 2017
2017 Kiev Major PGL Dota 2 23.3M 14,800 $3,000K
SL i League StarSeries Season 3 SLTV, ImbaTV CS:GO 18.9M 3,700 $300K
IEM Season XI – Katowice ESL CS:GO 14.5M 173,000 $760K
2017 EU LCS* Riot Games LoL 25.0M 91,800 $339K
2017 ESL One Cologne ESL CS:GO 11.2M 15,000 $250K
2017 PGL Major Krakow PGL CS:GO 10.0M 34,500 $1,000K
2017 DreamHack Masters Malmo Dreamhack CS:GO 8.6M 13,000 $250K
Epicenter 2017 Epic Esport Event CS:GO 7.4M 7,000 $500K
ESL One Hamburg ESL Dota 2 4.8M 20,000 $1,000K
Dota Pit League Season 5 Dota Pit Dota 2 4.4M 11,000 $140K
EVENT ORGANIZER MAIN GAMEHOURS
WATCHED ATTENDEESPRIZE
MONEY
CS:GO is the most
represented main
game in Europe’s
biggest events
TOTAL 384,000 $7,500K128M
© copyright Newzoo 2017
BIGGEST EVENTS BY COUNTRY IN 2017
17
BY VIEWERSHIP | FEATURING A KEY SPONSOR AND VIEWING/ATTENDANCE NUMBERS
KEY SPONSOR
2.3M 26K 14.5M 173K 3.0M 40K 11.2M 15K
KEY SPONSOR KEY SPONSOR KEY SPONSOR
VIEWING HOURS ATTENDEES VIEWING HOURS ATTENDEES VIEWING HOURS ATTENDEES VIEWING HOURS ATTENDEES
Dreamhack Winter 2017 IEM Katowice 2017 Dreamhack Valencia 2017 ESL One Cologne 2017
SWEDEN POLAND SPAIN GERMANY
© copyright Newzoo 2017
IN-DEPTH CONSUMER PROFILINGTO MATCH YOUR TARGET GROUP AND OPPORTUNITIES IN ESPORTS
www.newzoo.com
“Ultimately, we were able to quantify, per country, the number of Esports Enthusiasts who currently do not use our product yet and could potentially be reached through our envisaged esports sponsorship.”
QUANTIFY POTENTIAL REACH
“Understanding the demographic profile and complete media behavior of the community around the major esports franchise allowed us to define our own target audience and spend our sponsorship money most effectively.”
SUBSCRIBE
WYBE SCHUTTEVP BUSINESS DEVELOPMENT
PER COUNTRY
$5000/YRCLICK HERE TO: GET A QUOTE >>
Newzoo’s esports consumer insights allows you to profile your audience on 200+ variables, including demographics, media behavior, esports participation and viewership, favorite franchises, spending habits, and brand attitude. Find a factsheet with the full topic list here.
28 COUNTRIES
UNITED STATES
UNITED KINGDOM
SPAIN
BRAZIL
GERMANY FRANCE NETHERLANDS BELGIUM SOUTH KOREA INDONESIA
CANADA SINGAPORE MEXCIO RUSSIA CHINA AUSTRALIA
ITALY SWEDEN TURKEY POLAND JAPAN ARGENTINA
MALAYSIA PHILIPPINES VIETNAM THAILAND TAIWAN INDIA
FOCUSMARKETING SPEND
CONTACT
200+ VARIABLES
12-MONTHS ACCESS TO OUR CONSUMER
INSIGHTS DASHBOARD
INCLUDES:DEDICATED EXPERT ANALYST SUPPORT
CROSSTABS & GRAPHS EXPORTABLE TO:
DIRECT ACCESS & SUPPORT
18 © copyright Newzoo 2017
THIS REPORT IS BROUGHT TO YOU BY:
Esports BAR is the world’s most efficient and meaningful B2B event bringing together top-level management people and opinionleaders from around the world. After two editions (Cannes, 15-17 February 2017 & Miami 18-20 September 2017), Esports BARscheduled its third expanded edition in Cannes 12-14 February 2018.
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19© copyright Newzoo 2017