How Much Money Can You Make in Esports?

How much money can you make in esports? This is a question that many people ask when they are thinking of getting into the industry.

What is esports?

Esports is a relatively new industry with a lot of potential. It’s estimated that the industry will be worth $1.5 billion by 2020. So how much money can you make in esports?

A brief history of esports

The earliest known video game competition took place on October 19, 1972 at Stanford University for the game Spacewar. Stanford students were invited to an “Intergalactic spacewar olympics” whose grand prize was a year’s subscription for Rolling Stone magazine.

The first esports tournament with a recorded prize pool was held in 1980 for the Space Invaders Championship, which was won by 18-year-old Billy Mitchell. The prize pool for the tournament was $1,200.

The 1990s saw the rise of console gaming and popular games such as Super Mario Bros., Street Fighter II, and Mortal Kombat. This led to the formation of professional leagues and tournaments, such as the Nintendo World Championships and the Evolution Championship Series (EVO).

Today, esports is a multi-billion dollar industry with tournaments being held all over the world. The most popular games in esports include League of Legends, Dota 2, Counter-Strike: Global Offensive, Overwatch, and Fortnite.

How much money is in esports?

According to a report by Newzoo, the global esports economy will reach $696 million in 2017. This is up from $465 million in 2016. The majority of this money is coming from sponsorships and advertisements.

The prize pools

While the concept of playing video games for money has been around for decades, it has only been in the last few years that esports has exploded in popularity. With the rise of live streaming services like Twitch and YouTube Gaming, anyone can now watch their favorite gamers play online. This has led to a huge increase in the prize pools for esports tournaments, as well as the number of people participating.

So how much money is actually in esports? According to a report by research firm Newzoo, the global esports economy was worth $696 million in 2017, with that number expected to grow to $1.5 billion by 2020. The majority of this revenue comes from sponsorships and advertising, with tournament prize pools making up a smaller but still significant portion.

The prize pools for esports tournaments can vary widely, depending on the game being played and the popularity of the event. For example, The International, a yearly tournament for the game Dota 2, had a prize pool of over $24 million in 2017 – making it the largest ever for an esports event. By comparison, first place at the Halo World Championship 2018 only earned $500,000 out of a total prize pool of $1 million.

Of course, not all of the prize money goes to the winners – typically only 10-20% is distributed among first place finishers, with the rest going to the other participants. This means that even if you don’t win first place, you can still walk away with a decent chunk of change if you do well at an esports tournament.

The salaries

How much money is in esports? This is a difficult question to answer definitively because there are so many variables at play. However, we can take a look at the salaries of some of the top esports players to get an idea of how much money is in the industry.

The average salary for an esports player is $60,000, but the top players can make much more than that. For example, Faker, who is considered to be one of the best League of Legends players in the world, has a net worth of $4 million. Other top players like N0tail (Dota 2) and PewDiePie (Fortnite) also have net worths in the millions.

Of course, not all esports players are millionaires. The salaries for most players are more modest, but still relatively high compared to other jobs. For example, the average salary for a professional Overwatch player is $92,000. This may seem like a lot of money, but it’s important to remember that most pro gamers practice for 10-12 hours per day, and they have very little down time.

So how much money is in esports? It’s hard to say definitively, but it’s clear that there is a lot of money to be made in this industry. If you’re thinking about becoming a professional gamer, know that you could potentially make a very good living doing something that you love.

The sponsorships

The most important aspect of an esports organization from a financial perspective is their ability to bring in sponsorships. These sponsorships can come in many forms, with the most common being product placement within the team’s branding or jersey, as well as direct financial support.

The rate at which a team can command sponsorship deals is directly correlated to their results and their ability to generate an audience. The higher the viewership that a team can bring in, the more attractive they become to potential sponsors. The most successful teams in esports are able to generate millions of dollars per year in sponsorship revenue.

In order to maximize their earnings from sponsorships, teams will often try to secure exclusive deals with particular brands. This means that the team will only promote that one brand within their organization, giving them a greater chance of driving sales and creating a return on investment for the sponsoring company.

How can you make money in esports?

There are a few different ways that you can make money in esports. You can be a professional player, a coach, a shoutcaster, or a streamer. You can also work in the industry in marketing, management, event organizing, or web development. Or, you can be a content creator, making videos or writing articles about esports.

Playing professionally

Most professional esports players are signed to one of two things – a specific game’s competitive league, or to an organization that fields multiple teams across many games.

There are plenty of different leagues and tournaments for players to compete in, and the prize pools for these events can range from a few hundred dollars to millions. The most successful players in the world tend to be part of teams that are signed to organizations, as these orgs usually have the resources to help their players practice and compete at the highest levels. Many of these organizations also have multiple teams that they field in different games.

The salaries for esports professionals vary widely, depending on the game, the level of competition, and a number of other factors. However, many pro gamers are able to make a comfortable living by playing the games they love. Some of the world’s top esports athletes make millions of dollars per year from prize money, sponsorships, and other sources of income.

Streaming

This is the process of playing games live over the internet for an audience to watch. The most popular platforms for this are Twitch and YouTube. The streamer will generally have sponsorships with gaming companies, which can be used to generate revenue. In some cases, they will also be able to generate income through donations from viewers or through paid subscriptions.

Coaching

Coaching is perhaps the most traditional route you can take to earn an income in esports. While it doesn’t pay as much as some of the other options on this list, it can still be a very lucrative career if you’re good at it.

The best coaches in the world can earn upwards of $5,000 per month, and some of the very top ones can even make over $10,000. Of course, these salaries are only achievable if you’re coaching one of the very best teams in the world and most coaches will earn a lot less than this.

If you’re just starting out, you can expect to earn anywhere from $500 to $2,000 per month coaching a semi-professional or amateur team.

Commentating

There are a few ways to make money in esports. One way is through commentating. Commentators, also known as casters, provide live commentary of video games, usually during esports tournaments. They often have a deep knowledge of the game being played, and their commentary can provide insights and analysis that help viewers understand what’s happening in the game.

To be a commentator, you don’t necessarily need to be a professional gamer. However, it helps if you have some experience playing the game at a competitive level. You also need to be able to think quickly and articulate your thoughts clearly. If you’re interested in becoming a commentator, you can start by commentating on games that you play yourself. You can also look for commentating opportunities with local esports teams or tournaments.

Working in the industry

There are a few primary ways people in the industry make money. The first is through direct involvement in esports competitions, whether as a player, coach, or other type of support staff. These individuals typically make money through tournament winnings, salaries, or performance-based bonuses from their teams. The second way people make money in esports is through content creation and streaming. Creators can make money through advertisements, sponsorships, affiliate marketing, tips/donations from viewers, and subscription revenue from platforms like Twitch and YouTube. Finally, some people in the industry make money through consulting and professional services related to esports, such as event management, marketing, and legal services.

Conclusion

To sum it all up, you can make a good living playing video games professionally in today’s climate. The median earnings for an esports athlete is around $60,000, but the top players can make millions of dollars each year. Of course, like any career, there is a lot of competition and you will need to work hard to reach the top. But if you have the skill and the dedication, it is definitely possible to make a great living playing video games!