As the sun sets on yet another year defined by the unyielding effects of the COVID-19 pandemic, one can’t help but step back and admire the intrinsic resilience of the esports industry.
Unprecedented logistical shifts put in place during 2020 endured into 2021, and our digital nature as an industry meant we fared far better than most in adapting to the newfound normal.
In order to assess how the year went from the perspective of its practitioners, Esports Insider has collated the perspectives of industry stakeholders for Part 1 of our end of year round-up. We asked esports organisations, league operators, services providers and everyone in-between for perspectives and opinions on esports in 2021.
Undercurrents of COVID-19, unsurprisingly, mired almost every business this year. Many practitioners admitted déjà vu as similar challenges as last year reared once again. That hasn’t neutered optimism about the continued, organic growth of the space, though.
Tony Trubridge, Global Esports Director at SteelSeries, said: “Industry-wise, the landscape continues to grow as mainstream [actors] see the passion, excitement, and fandom within esports and gaming. Esports is now helping to define the culture.”
Equally optimistic was Justin Kenna, GameSquare CEO, who noted the importance of 2020’s influx of athletes, celebrities and global brands venturing into esports for the first time; “2021 built upon that foundation as brands and other non-endemic stakeholders committed to growing their presence in the space.”
Angela Bernhard Thomas, Executive Vice President at ESPORTSU, also saw the mainstream ascendancy of certain esports entities as a defining change this year. “I think the rise of the gamer influencer marketing and the financial modelling of how FaZe Clan and 100 Thieves have leveraged their assets to become household names has done a lot to raise the visibility of gaming and esports”, she said. “It’s become more than competition, it’s become cultural.”
For Michael Chavez Booth, General Manager at The Story Mob North America, and Chris Gonsalves, CEO of Community Gaming, blockchain took the limelight. “We’ve continued to see a convergence with other industries and verticals, non-native to gaming. This stretches from traditional sports and entertainment to emerging platforms across blockchain and cryptocurrency,” Booth said.
Gonsalves concurred: “One of the biggest changes I’ve noticed across the esports landscape this past year is the growing presence of Blockchain-enabled games, [which] are emblematic of the increasing acceptance of blockchain technology and the proliferation of NFTs across esports.”
Michele Attisani, Co-Founder & CBO of FACEIT, recapitulated esports’ achievements and rapid pace of growth in 2021: “We’ve seen records broken for tournament participation, viewership and essentially every other KPI that we’re measuring. We’ve seen a lot of projects and companies succeed, and a lot fail, but both help us grow the industry and advance it to a more mature stage.”
Meanwhile, EXCEL ESPORTS CEO Wouter Sleijffers was excited about the growth of new esports IP. “The current climate has given the opportunity for other esports titles to continue to rise, such as Rocket League, Rainbow Six Siege, and others. The rise of new titles gives the continued opportunity for new teams and talents to rise in fame.”
Confidence in managing cloud-based broadcasts and returning to in-person events allowed many organisers to focus attention on creative content, compelling collaborations with influencers, and emerging monetisation strategies, said Matt Marcou, Senior Director & Commissioner, Madden Competitive Gaming, Electronic Arts. “If 2020 was about navigating operational uncertainty, then 2021 was a rekindling of the entrepreneurial spirit that grew esports tremendously over the past five years.”
Finally, Laura Byrne, Swipe Right PR’s Junior Account Manager, highlighted increasing transparency. “Whether it’s organisations talking about player contracts and buyouts fees or brands announcing partnership deal lengths, it’s really promising to see conversations opening up. It provides such a good benchmark for how the industry is growing and progressing. We see so many overinflated numbers surrounding esports that it’s great to get a more insightful look into how businesses are operating.”
The biggest esports industry developments
It was certainly hard to depict one momentous development that defined the sector’s growth, but the rise of cryptocurrency within esports was highlighted throughout most resoponses.
Chris Gonsalves of Community Gaming, said: “I’ve been pleased to see an increase in cryptocurrency sponsorships across esports. That willingness from big publishers and tournament organizers to initiate these partnerships with Coinbase, FTX, and others feels like the natural next step. We’ve got two future-facing industries that place deep, inherent value on virtual experiences — why wouldn’t there be lucrative audience crossover?”
