Let’s Play! 2024: The esports environment in Switzerland and worldwide
Interest in esports in Europe is relatively low compared with the rest of the world. Just eight per cent of the population have watched sporting contests involving computer or video games at least once per week in the last six months. By contrast, the average figure is around one third in Asia, and 18 per cent in the US and Mexico. The proportion of fans in Switzerland (6 per cent) is below the European average (8 per cent). In Europe, the most advanced markets are in the UK (16 per cent) and Spain (13 per cent), while interest is much lower in Portugal at three per cent. These are among the findings of the latest esports study by Deloitte.
Esports: Common in regions with a young population
“Younger people are more interested in esports than older people are,” explains Elio Keller, manager and esports expert at Deloitte. “This means that there is more interaction with this sport in countries with a younger population. Accordingly, we see far more esports fans in Southeast Asia than in Europe.”
This young audience often spends many hours in front of a screen. More than half (52 per cent) of weekly consumers in Europe devote more than seven hours of their time to esports. In addition, it is mainly men who are interested in digital sports. They account for 67 per cent of those who tuned in over the past six months. This figure is much higher than for conventional video gaming, where it stands at 57 per cent. Over half prefer to watch esports on YouTube Gaming (54 per cent) and Twitch (52 per cent).
Esports viewers in Switzerland are also mainly men (72 per cent), 80 per cent of whom count as Generation Z or Millennials.
Esports recognition is higher than before the pandemic
During the COVID-19 pandemic, audience figures for esports reached record levels. Across Europe, 15 per cent of the population watched esports at least once per week in 2020. Although the buzz has subsided somewhat, the Deloitte study shows that digital sports have caught on. For instance, around half of the European population now know what esports means, compared with around one third in 2020.
“Recognition of esports has increased significantly, but many people still tune in very infrequently. The challenge is to turn new viewers into regular ones, and ideally make them paying fans,” says Philipp Lüttmann, Head of the Sports Business Group. “Essentially, esports fans are an attractive target group. They are open to advertising and have an above-average willingness to pay subscriptions. It is now important for companies to convert recognition into an even wider reach and higher revenue.”
75 acquisitions since 2019
Investor interest in equity investments and majority acquisitions has increased since 2020. This is because of rising audience figures and the general boom during the pandemic. The main focus here is on companies that operate esports teams or organise leagues, events and tournaments. One example is the acquisition of Team SoloMid (TSM) by the investment firm Swift Media Entertainment in 2022. Another is the acquisition of ESL and FACEIT by the Saudi Savvy Gaming Group in the same year.
Most deals were completed in 2022, when there were 19 acquisitions worldwide. The industry is now back to pre-pandemic levels. Ten transactions were completed this year, as in 2019. Since 2019, there have been 75 transactions in total, more than one quarter of which (28 per cent) involved a non-endemic buyer. The majority of transactions were in North America and Europe, where numerous esports organisations are based. Well-known organisations in these regions include Cloud9 (US), Team SoloMid (US) Fnatic (UK) and G2 Esports (D).
The results set out here are based on the Deloitte study “Let’s Play! 2024 – The esports market”. Deloitte conducted an extensive consumer survey of over 14,000 people aged 16 to 65 in 20 countries worldwide in autumn 2024. Seven hundred participants were surveyed in Switzerland, and 7,700 in Europe. The survey was supplemented by research and analyses of publicly available information.
Deloitte Schweiz Sports Business Group
Deloitte’s Sports Business Group is the go-to resource for players in the esports and traditional sports industries, as well as organisations looking to engage with the ecosystem at every stage of their esports involvement – from building market expertise to advising on complex matters with a particular focus on commercial and financial issues.
With more than 20 years of experience in advising clients in the national and international sports, fitness and esports industry, we can harness Deloitte’s global network as a backing for our work. We combine expertise in the areas of auditing, tax and legal advice, financial and risk advice, and consulting with the industry expertise of the Sports Business Group. This multidisciplinary approach, combined with digital skills in all areas, allows us to tailor our work specifically to the needs of our clients.
Read the study: Let’s Play! 2024
Read the Swiss Snapshot: Let’s Play! 2024
