The Role of Sponsorships in Esports and Online Gaming

Two decades ago, when computer games weren’t as widespread as they are now, who could have imagined that one would be able to make money off them? Recently, however, esports has become a profitable business. Like any other business, sponsorships have started to drive this sector as well. The last couple of years saw the emergence of “millionaire gamers” thanks to a variety of fruitful endorsement deals…

  • In the last year alone, the sponsorship and advertising revenues reached a whopping 895 million dollars!
  • This figure is expected to reach the north of 1 billion dollars in the 4th quarter of 2025.
  • Top-tier sponsorship deals can reach up to a staggering 30 million dollars a year.
  • The most prominent endorsement deals in the esports business include the Intel-ELS partnership, which amounts to over 100 million dollars for three years.
  • The five-year deal signed by Crypto.com with Fnatic, a prominent esports organization, is worth over 15 million dollars, as per Esportsresults.
  • Mercedes-Benz, a top player in the automobile sector, also takes part in this frenzy, striking a deal with T1, which includes a luxury car and financial support provided to T1’s star player, Faker.

The investments made by such companies into the skyrocketing business of esports keep attracting other major players to the scene. After all, it’s evident that endorsement deals are set to become the driving force behind the prospective dazzling growth of esports.

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Financial support and brand growth: the key to success

The global esports industry received a total of 4,5 billion dollars of investment only in 2019, and this figure has kept growing over the years. A considerable portion of this figure consists of the endorsement deals between top companies and esports teams.

  • The esports industry has seen a growth of 42% over the last couple of years, and endorsement deals have played a crucial part in this growth.
  • These deals provide the capital needed in order for players and teams to develop and have achievements in the long run.
  • These deals also present a unique marketing opportunity for the investing party, as the esports audience is nearing 1 billion people.

It’s an indubitable fact that sponsorship deals are integral to the growth and sustainability of esports. These deals, while providing the teams with the capital needed, also work in the investors’ favor thanks to the advertising capabilities they offer.