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SuperData Research eSportsBbrief
1.
eSportsDigital Games Market
Trends Brief April, 2014 !1eSports: Digital Games Brief, April 2014 | Copyright © 2014 SuperData Research. All rights reserved. | www.superdataresearch.com photo: polygon.com
2.
Executive summary !2 SuperData |
Digital games market intelligence ‣ In 2014 eSports finally reaches critical mass. Over 71 million worldwide watch competitive gaming, with roughly half from the United States. ‣ eSports viewers are dedicated viewers. An average eSports viewer watches 19 times a month, with a session length of 2.2 hours. ‣ eSports is a key marketing vehicle and revenue driver for online game publishers. Companies like Riot Games, Wargaming, Valve and Ubisoft are all placing bets on competitive gaming in 2014. ‣ Major brands are experimenting with eSports. Companies Intel and Coca-Cola are looking to reconnect with affluent young males (18-34 years old) via competitive gaming. eSports: Digital Games Brief, April 2014 | Copyright © 2014 SuperData Research. All rights reserved. | www.superdataresearch.com
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!3 SuperData | Digital
games market intelligence A brief history of competitive gaming After three decades, competitive gaming finally reaches a worldwide mainstream audience. *Data and facts provided by Twitch.tv and Raising the Stakes: E-Sports and the Professionalization of Computer Gaming by T.L. Taylor (2012) & STARCADE TV series broadcasts arcade competitions. People get together to watch and compete in competitive video game-play 1993 spawn from PC games like Wolfenstein 3D. LAN COMMUNITIES1982-1984 CPL ESL Cyberathlete Professional League Electronic Sports League FOUNDED 1998 2000 24/7 internet and gaming cafes grow in South Korea due to popularity of StarCraft. KOREA e-SPORTS ASSOCIATION is founded by the Korean government. It is affiliated with the Korean Olympic Committee. 2002 MAJOR LEAGUE GAMING is founded as the largest North American pro eSports organization. MLG and KeSPA later sign a multi-year partnership in 2012 2011 Twitch.tv 45 million unique viewers In 2013, Twitch had… 2.4 billion hours of gameplay who watched a total of… is founded (currently inactive) 1997 PC BANGS! More than half of Koreans play online games. 20 13 the U.S. begins granting eSports players visas as professional athletes. eSports: Digital Games Brief, April 2014 | Copyright © 2014 SuperData Research. All rights reserved. | www.superdataresearch.com
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!4 SuperData | Digital
games market intelligence eSports viewership doubles year-over-year As eSports attracts more viewers, total prize money increases 350% over four years. 2010 2011 2012 2013 viewers $25million 2013 prize money As more people watch eSports, the stakes get higher 71.5million 2013 Largest prize pools in 2013 $2,874,381 The International 2013: Dota 2 $2,050,000 League of Legends Season 3 World Championship $1,000,000 Call of Duty Championship 2013 (Black Ops II) League of Legends Season 3 World Championship 32.0 BCS National Championship 26.4 NBA Finals (Game 7) 26.3 NCAA Basketball Final Four (Average) 15.7 MLB World Series 14.9 •Most viewers of a single eSports event •8.5MM concurrent viewers •Tickets sold out in one hour •Roughly 18,000 people attended Viewers of Sports Events (2013, MM) *Sports viewership data provided by ESPN, Nielsen and Riot Games. eSports: Digital Games Brief, April 2014 | Copyright © 2014 SuperData Research. All rights reserved. | www.superdataresearch.com
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Gender and age
distribution of eSports enthusiasts in the U.S., 2013* !5 SuperData | Digital games market intelligence 1 in 5 U.S. gamers watch or participate in eSports 60% of eSports enthusiasts* in the U.S. are between 21 and 35 years old. 28% 62% 10% 32% 55% 13% 70% 30% Women Men 10-2036-50 21-35 *Data provided by Newzoo. Enthusiasts are defined as frequest eSports viewers and eSports participants. †Attendance and viewing data are the results of a survey conducted by SuperData, consisting of 1,080 qualified U.S. respondents. 31.4MMNumber of people in the U.S. who watch or participate in eSports, according to Newzoo. attend live events one quarter watch every day U.S. eSports viewer activity, 2013† 2.2 hours An average eSports viewing session lasts: On average per month, viewers watch eSports: 19 times (based on SuperData survey data) eSports: Digital Games Brief, April 2014 | Copyright © 2014 SuperData Research. All rights reserved. | www.superdataresearch.com
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!6 SuperData | Digital
games market intelligence Publishers emphasize eSports in 2014 strategy As a result, LoL will see 42MM new players by 2015E, WoT’s revenue to rise by 24%. 94 76 52 League of Legends monthly active users (millions) World of Tanks revenue (millions) 2013 2014E 2015E $475 $506 $590 • Free-to-play has dug roots into the space as both established and emerging markets like Russia and Poland show increasing interest in free-to-play games. Popular titles like League of Legends and World of Tanks are expected to show substantial growth in both audience and revenue over the next two years. • Both Riot Games and Wargaming.net have been active in nurturing eSports communities for their games by sponsoring matches and leagues such as the League of Legends Championship Series and the Wargaming.net League. Other publishers are following suit in 2014. • StarCraft II, Dota2 and League of Legends are the most popular eSports, fighting games like Street Fighter 4 and Super Smash Brothers Melee have had a long and loyal stay in the space. They have recently shown a resurgence in popularity with the biggest fighting game eSports series, the Evolution Championship Series (EVO), garnering 2x the unique viewers on Twitch in 2013 than any previous iterations.* *Data provided by Twitch.tv. 2013 2014E 2015E eSports: Digital Games Brief, April 2014 | Copyright © 2014 SuperData Research. All rights reserved. | www.superdataresearch.com
7.
SuperData provides market
intelligence on the online, digital and mobile games industry. By collecting behavioral data directly from publishers and developers, SuperData identifies key trends, establishes revenue estimates, and analyzes market changes for popular online games, including MMOs, FPS, casino, virtual worlds, mobile and social games. ! SuperData publishes industry-relevant key performance indicators. Using our proprietary data set—pulled directly from publishers and developers—on millions of paying digital gamers, we establish monthly benchmarks such as ARPPU, conversion rates, lifetime value, and revenues. Customers use our data to evaluate their performance, identify key growth opportunities, assess revenue potential, optimize their efforts, and better understand their audience’s wants and needs. SuperData’s client base includes brand owners, developers, retailers, publishers, VCs, and payment service providers. SuperData | Digital games market intelligence About Who we are. !7 ! ! Senior Analyst, Consumer Insights Stephanie Llamas stephanie@superdataresearch.com ! Director, Business Development Sam Barberie sam@superdataresearch.com ! 116 West 23rd Street, 5th floor New York, NY 10011 (646) 375 2068 www.superdataresearch.com Twitter @_SuperData eSports: Digital Games Brief, April 2014 | Copyright © 2014 SuperData Research. All rights reserved. | www.superdataresearch.com
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