SuperData CEO discusses the money problem of e-sports

    
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There has to be money here somewhere.

Whether you’re a big fan of the e-sports scene or you would be quite happy never hearing about it ever again, you are no doubt aware that a lot of companies are sinking quite a bit of money into it. It’s not just limited to existing e-sports darlings like League of Legends, either, as Blizzard is very clearly targeting the field with Heroes of the Storm and Overwatch, and it’s pretty obvious that Guild Wars 2 wanted a slice of that pie. But a new piece by Joost van Dreunen, CEO of Superdata, brings up a relevant point that is often getting overlooked: With all of these companies investing in the field, where is actual business model to make money off of e-sports?

Van Dreunen points out that the long-term impact of e-sports, both in terms of viability and engagement, has yet to be understood in anything more than the broadest terms and may in fact be part of a shifting of culture. The current emphasis on a very narrow appeal isn’t helping drive long-term engagement, and it raises questions about whether the long-term goal of e-sports is to serve as a business model unto itself or if the goal is basically to use these events as an advertisement for the games in question. It’s well worth reading even if you’re not a fan of the field, as it brings up some interesting points about where the idea of competitive video games will go in the next few years.

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miol
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miol

whether the long-term goal of e-sports is to serve as a business model unto itself or if the goal is basically to use these events as an advertisement for the games in question.

Case and point Anet’s endevour solely by their marketing team and how short-sighted they’ve viewed it!

Colin Johansson once said:

From a marketing standpoint, it (and the ESL weekly cups and WTS tournaments before it) has been extremely successful so far, among the most successful projects our marketing team has ever launched to grow our title in the history of the Guild Wars franchise in return for the cost.

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Lights and Music

I find this to be a strange attitude since e-sports have been a successful endeavor literally since the late 90’s. Quakecon was 1996 and the first CPL was 1997 – seems weird to question the “long term engagement” of an industry/facet of an industry that’s over 20 years old.

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Pedge Jameson

Because there trying to stick mmo’s and moba’s into the mix, it really is ridiculous.

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socontrariwise

I agree, advertisement and tickets. They already fill arenas with this easily. Not different from normal sports.

deekay_000
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deekay_000

valve has a pretty clear business model for esports

create microtransaction items that 25% go to prize pools, a small % to the promoter who’s tagged in them, and the rest to valve. this has generated prize pools for their dota2 and csgo tourneys in the millions so far.