How Player Sponsorships Work in Esports

By Dan Holmes Contributor Updated: 15 October 2024

Dan Holmes Contributor

Dan Holmes, a content creator and sports betting enthusiast, brings over a decade of experience to Betting.US. His extensive writing background spans from the internet to prestigious roles at the National Baseball Hall of Fame and Museum. Dan’s articles, featured on numerous websites, cover various sports, from bowling to disc golf.

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Player Sponsorships in Esports

Esports, a global phenomenon with millions of avid followers, has rapidly evolved into a lucrative industry, attracting substantial investment from sponsors. Player sponsorships play a pivotal role in this ecosystem, enabling professional gamers to dedicate themselves to their craft while providing sponsors with unique marketing opportunities. Understanding the mechanics of these esports sponsorships offers insight into the business strategies that sustain and drive esports forward.

A significant investment has been made in Esports, and as an entertainment it’s become popular, spawning the birth of more than one esports betting platform.

Basics of Esports Sponsorship

Player sponsorships in esports are agreements between professional gamers or teams and brands, where the latter provides financial support, equipment, or other resources in exchange for promotional activities. These sponsorships are essential for players, as they often cover travel expenses, training facilities, and living costs, allowing athletes to focus entirely on competing.

Types of Sponsorships

1. Monetary Sponsorships: These involve direct financial support, which can be used to cover various expenses associated with professional gaming. This support can come as a lump sum, monthly stipend, or performance-based bonuses. Monetary sponsorships are crucial for players who rely solely on esports as their primary source of income. These easy gaming sponsorships are prevalent in the sport.
2. Product Sponsorships: Companies provide gamers with products such as gaming peripherals, apparel, or supplements. In return, players endorse these products through social media posts, streaming, and during competitions. This type of sponsorship (sometimes also known as the “biggest esports sponsors” agreement) is particularly prevalent among hardware and peripheral manufacturers.
3. Event Sponsorships: Brands sponsor specific events or tournaments. This type of sponsorship often includes branded merchandise, banners, and other promotional materials prominently displayed during the event.
4. Esports Team Sponsorship: Some brands sink their investment into an entire team, offering a chance to support the hopes of many gamers in esports. Through team sponsorships, a brand and gamer can forge a long-term relationship. By showing that it is willing to fund the efforts of a team of esports athletes, a brand can reap benefits for its products and services.

Key Elements of Sponsorship Agreements

• Brand Visibility: In exchange for sponsorship, players are often required to wear branded apparel, use sponsored equipment during streams and competitions, and include brand logos on their social media profiles. This visibility helps sponsors reach a targeted audience passionate about gaming.
• Content Creation: Sponsors may require players to create content featuring their products. This can include unboxing videos, tutorials, or gameplay sessions highlighting the sponsored items. This content is shared across various platforms, enhancing the sponsor’s reach and engagement.
• Event Participation: Sponsored players might be obligated to participate in promotional events, such as meet-and-greets, product launches, or press conferences. These appearances help humanize the brand and create a direct connection with the audience.

Player Sponsorships in Esports

Ninja and Red Bull

One of the most notable examples of player sponsorships in esports is the small esports sponsors partnership between Tyler “Ninja” Blevins and Red Bull. Red Bull, a brand synonymous with extreme sports and gaming, found an ideal ambassador in Ninja, one of the most recognizable figures in esports.

This sponsorship included financial support, exclusive events, and custom-branded content. Red Bull even hosted the “Red Bull Rise Till Dawn” Fortnite event, featuring Ninja and attracting massive viewership, showcasing the synergy between the player and the brand.

Faker and Nike

In 2020, Nike announced a groundbreaking sponsorship deal with Lee “Faker” Sang-hyeok, a legendary figure in the League of Legends community. This easy gaming sponsorships partnership marked Nike’s deeper foray into esports, aligning the brand with one of the most successful and respected players in the scene.

The deal included the creation of custom training regimens, exclusive Nike-branded merchandise, and promotional campaigns featuring Faker. This collaboration via esports sponsorship elevated Nike’s presence in esports and highlighted the importance of physical fitness and training in professional gaming.

Player sponsorships in esports are a vital component of the industry’s economic structure. They provide the necessary financial and logistical support for players to compete at the highest levels while offering sponsors a direct and authentic connection with a passionate and engaged audience.

Successful sponsorships, like those of Ninja and Red Bull or Faker and Nike, illustrate the mutual benefits and strategic alignment that can be achieved when brands and players collaborate effectively. As esports continues to grow, the sophistication and impact of player sponsorships will undoubtedly evolve, shaping the future of competitive gaming.

Biggest Esports Sponsors

Esports has grown exponentially over the past decade, evolving from a niche hobby to a global phenomenon. This surge in popularity has attracted substantial investments, particularly in the form of sponsorships from some of the world’s largest companies. These companies are leveraging esports sponsorships to tap into a lucrative and engaged audience, thus significantly impacting the landscape of esports.

One of the most illustrative examples of corporate involvement in esports is the trendy and edgy company that goes by “Red Bull.” Known for its association with extreme sports, Red Bull has seamlessly transitioned into esports sponsorship by supporting teams, tournaments, and individual players.

Their investment in team esports branding is evident in their partnerships with top-tier teams like OG in Dota 2 and G2 Esports. Red Bull’s distinctive logo is prominently displayed on jerseys and in promotional content, reinforcing their brand’s adventurous and competitive spirit.

Another major player in esports sponsorship is Intel. The technology giant has been a cornerstone of the esports industry, sponsoring events like the Intel Extreme Masters (IEM) for over a decade. This event series showcases some of the best talents in games like Counter-Strike: Global Offensive and StarCraft II, attracting millions of viewers worldwide. Intel’s esports teams sponsorship strategy extends to providing the latest hardware and technological support, ensuring that both competitors and viewers experience top-notch performance.

Nike, a leader in athletic wear, has also ventured into esports sponsorship. In 2019, Nike signed a groundbreaking deal with China’s League of Legends Pro League (LPL), providing exclusive apparel for all teams and players in the league.

This partnership marked a significant step in blending traditional sportswear branding with esports. Nike’s involvement emphasizes the growing acceptance and legitimacy of esports as a professional sport, worthy of the same branding strategies employed in traditional sports.

Automotive companies are not far behind in recognizing the potential of esports. Mercedes-Benz, for instance, has been actively involved in esports teams sponsorship. They have partnered with ESL, one of the largest esports organizations, and sponsored various events, including the ESL One Dota 2 tournament. Mercedes-Benz uses these sponsorships to reach a younger, tech-savvy audience, aligning their brand with innovation and high performance.

Notably, telecommunications company T-Mobile has jumped on the esports bandwagon. T-Mobile’s sponsorship of the Overwatch League showcases their commitment to supporting the infrastructure of esports. By providing robust connectivity solutions, they ensure seamless online gaming experiences for both players and viewers, enhancing the overall appeal of esports.

The involvement of major corporations in esports sponsorships has been pivotal in the industry’s growth. Companies like Red Bull, Intel, Nike, Mercedes-Benz, and T-Mobile are not only providing financial support but also enhancing team esports branding and legitimizing esports as a mainstream competitive field. As these partnerships continue to evolve, the future of esports looks increasingly promising, with more brands likely to invest in this dynamic and rapidly expanding sector.