Top Three Reasons Your Kids Will Play eSports

The growth of eSports, as a cultural movement, continues this summer, with startup Super League Gaming’s partnership with the three largest movie theater chains in the USA. Summer 2015 will feature the world’s most popular game, Minecraft, in over one third of the country, with plans to expand to Canada and China in the fall of this year. More importantly, it marks a key landmark in the convergence of gaming and media; providing further proof that eSports is fast changing how youth consume media and entertainment.

#1 – eSports is the new face of digital entertainment

Today, more and more children are gaming, and are doing it more than just casually. However, the growth of competitive gaming has added a wrinkle to the “kid-friendly” notion of playing games. eSports, with its combination of competition, teamwork (where applicable) and social elements, is pushing gaming from a typically solitary form of entertainment to a shared, interactive experience. The explosion of internet capable devices has connected the gaming universe and brought eSports to its forefront. With a focus on the social aspect, eSports has given way to a generation of youth who are also willing spectators of gaming events.

eSports is attracting more viewers worldwide than most professional sports leagues; giiving rise to a new generation of “digital athletics.” Features like lower barriers to entry (accessible to anyone with device and internet connection) and less focus on immutable physical traits (height, weight, athleticism, etc.) resonates with youth across the globe. As a new genre, eSports isn’t a birthright, nor a cultural artifact. Instead, it is becoming the new face of digital entertainment.

#2 – Online comes alive

The 90’s dot-com boom birthed the debate between online vs “brick and mortar,” which continues to rage on today. And while online communities have existed since the inception of a publicly available Internet, very few have made their way into physical spaces. eSports is changing that, in a hurry. From eSports bars, where patrons gather to socialize and watch matches, to dedicated venues, where fans attend tournaments featuring pro teams, there is an increasing number of offline locations where online communities can meet face-to-face. Super League Gaming’s partnership not only guarantees this number will grow, but that the next generation will consider it the “new normal.”

#3 – Passive entertainment is dead

The integration of game concepts into non game related spaces, a.k.a gamification, has already taken hold. Gamification is also causing a shift in how entertainment is delivered. Younger generations want participatory experiences. Sitting in a dark room with strangers, watching a movie for 2+ hours preceded by 20 minutes of trailers, is fast losing appeal. Children are faced with almost limitless options vying for their attention. Passive experiences aren’t cutting it anymore. Youth want to be engaged. They crave experiences that enrapture and can be shared with their close and wider social networks. eSports provides that “stickiness,” in a nutshell.

Why you should care

The entertainment and media landscapes are evolving. It’s no small coincidence that the three largest movie theater chains are lined up to partner with Super League Gaming. Cinemark, Regal and AMC aren’t just betting that eSports will be big; they’re showing great business sense by aligning with an undeniable cultural trend. After all, if you want to find out what’s cool, ask the kids.

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Alex Fletcher finds and recruits top talent in the eSports world – by working with and nurturing the next generation of rising stars. Visit Entiva Group for more info. When he isn’t glued to a screen, he spends time with his wife, their two dogs, and pretends to learn Polish.

eSports Industry Outlook: 7/1/2015

Here is cutting edge insight on the latest and greatest news from across the eSports industry. Stay tuned for more updates that help you stay atop of the trends and shifts that are shaping the marketplace:

Bridging the generational gap

The verdict is in: eSports is a leading platform for an entire generation. While competitive gaming is a viable media experience, can decision makers outside the space grasp the billion dollar implications of this generational shift? Specifically, can non-endemic stakeholders outside the eSports world successfully understand and connect with the culture? Early movers like Coke, Red Bull, Logitech, and Razer have taken the lead, but where does that leave those who will follow suite? Early signs of outside media convergence are beginning to appear. However, consolidation and acquisition only scratch the surface. To explore the full gamut, a concise evaluation of the opportunities, risks and current models related to this rapidly emerging opportunity must be executed.

Player/talent development in the pro scene must occur

The growth of eSports as a platform (see above) is driven, in a nutshell, by the quality of competitive play. Similar to how professional sports leagues must churn out the highest caliber of organization, team and individual player talent; eSports leagues must do the same. The path to become a pro gamer must be better defined and developed to allow the absolute best talent to emerge. Currently, the upfront investment outweighs the likely payoff; which isn’t viewed as a pressing issue today, but bodes ominously as the eSports industry grows. As is the case in traditional sports, the notion of “star power” will play an critical role in the growth of eSports leagues. Marketers, advertisers and companies alike will benefit from being able to attach to high performing players. Meaning, the career prospects in pro gaming must undergo a complete upgrade.

An entrepreneur’s dilemma
Investors and entrepreneur’s, alike, are taking notice of the eSports phenomenon. The consensus is there is very real potential in capitalizing on this “next big thing.” The reality is eSports is a largely nebulous term, which encapsulates the global competitive gaming community, in totality. There is a dizzying array of game titles, leagues, and organizations that comprise this global community. This leaves potential entrepreneurs, without a significant background in gaming, left out of the picture. Specifically there is no entry point or accelerator for seeding entrepreneurial activity; a reality that casts a shadow over the almost limitless potential for the eSports space.

Gambling and eSports: Where is the line?
With another betting company’s foray into the eSports domain, it’s appropriate to question how various leagues will handle similar business relationships. Riot Games’ League of Legends League Championship Series (LCS), arguably the most successful variety, has made it clear gambling affiliated companies are not permitted to sponsor participating teams:

3.7.1 Gambling Websites: defined as any website that aids or abets the wagering of funds on a sporting/esporting event and/or allows for the wagering of funds in casino games including poker

However, the legal waters are not as translucent with regards to ownership. In other words, it’s possible for betting companies to buy or create a team as long as the team doesn’t bear official name affiliation with the business; a loophole that raises eyebrows. If there is a conflict of interest from a sponsorship perspective, the same should apply for ownership. Riot is not explicit on their general definition of a conflict of interest, only who is not permitted to participate as a sponsor. If other leagues find success, while avoiding scandal, perhaps Riot will change their tune.

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Alex Fletcher finds and recruits top talent in the eSports world – by working with and nurturing the next generation of rising stars. Visit Entiva Group for more info. When he isn’t glued to a screen, he spends time with his wife, their two dogs, and pretends to learn Polish.

eSports Needs More Fans as Customers to Reach the Big Leagues

The explosive growth of eSports has taken the globe by storm in 2015, and the numbers don’t lie: More than 70 million people watch competitive gaming (eSports) across the globe. That’s a big figure, but one that obfuscates key nuances. Namely, the pockets of fans which are at the heart of the eSports movement. These fans are a goldmine, not only for advertisers, but also the organizations, teams and companies within the eSports ecosystem. In order for eSports to continue sustained growth, fans must also double as customers, similar to their role in traditional sports.

Taking a closer look at the dimensions of eSports fans/followers/viewers, it becomes clear the audience:

• is largely millennial and highly engaged
• shows no sign of slowing down (see graphic below, courtesy of Prashob Menon, REDEF)
• has yet to be monetized

According to a Newzoo report:

On a global scale, there are 2.2 billion sports fans who each generate an average of $56 per year. The average revenue for individual sports is anywhere from $20 upwards. Esports enthusiasts on the other hand, currently generate an average of $2.2 per person per year, without game revenues taken into account.

So the potential is significant, but the results are aren’t there. The fact that eSports’ core fan base is a generally advertising adverse group, only complicates the equation. eSports Entrepreneur published a breakdown of who these fans are and why they follow the teams, organizations that comprise the eSports scene. The long and short of it is, the process of converting fans into consumers is a critical bridge that absolutely must be crossed, even if it largely contradicts strong history of organic growth and grassroots community in the eSports world.

Historical Perspective

The early generation of leaders and visionaries, who pushed past the social stigma that gaming held in prior years, and established the foundation for today’s competitive video gaming ecosystem, did so by focusing on the purity of their mission. During this formative era, the notion of commercialization wasn’t just an afterthought, it was laughable. As a result, a counter-culture of sorts took root, one where monetization, profits, business models, etc. held no sway.

The tightly knit community of gamers who sacrificed immense amounts of time, money and personal accolades to push an entirely new genre into existence are the forefathers of everything that exists in eSports today. And it was here, within the LAN parties, the local tournaments and early online communities, that a strong tradition of grassroots involvement shaped the movement. Note: a nearly identical arc existed for extreme sports in the late 20th century.

The same spirit of independence and community first approach prevades every nook and cranny of eSports today. While the worldwide video game marketplace continues to grow year-over-year, and large publishers and peripheral manufacturers are raking in the profits; success in eSports today still requires a commitment to something larger than the profit seeking impulse.

Why Fans Must Evolve into Consumers

Contrast the reality of eSports with the traditional sports industry, and three stark differences become apparent:

1. The business of sport is bigger than the sport product. The opposite is true for eSports.
2. The nearly complete commercialization of traditional major sports is a given. Whereas, fans in the eSports domain are still leery of commercial encroachment
3. Fans of traditional sport are honed to participate as consumers (buying tickets, merchandise, purchasing sport networks on TV to view games). eSports fans are apart of a wider community of contributors, first and foremost.

None of the above differences discredit the viability of eSports; however, its continued acceptance and growth will be determined by how well these gaps are closed. Believe it or not, one of the pillars of major sport in the 21st century is the viability of industry. In fact, converting fans, of all stripes, into customers is the holy grail of modern sport. Along with it, an expectation that fan involvement will be translated into revenue, then used to attract more fans, sponsors, etc. In this regard, eSports must make headway to take its place alongside the mainstay sporting genres.

Walking a Fine Line

Interestingly, the lack of pervasive commercial presence, in comparison to major sports, has benefited the eSports scene, to date. Fans connect deeply with the genuine a sense of community and authenticity displayed across the domain; meaning the solution is NOT to stuff more products, commercials, and/or ads down their collective throats. Instead, success converting fans to consumers will be found in the following ways:

• Offering something of value (see: product or service) for a nominal cost. Premium pricing strategies won’t work. Neither will generic paywalls.
• Freemium models that prize “featurization” of a currently, and an always to remain, free offering.
• Embrace the culture of engagement. Fans will pony up $$$ when they feel apart of where things are going.

Today is Tomorrow’s Yesterday

The seeds for evolving today’s eSports fan into tomorrow’s customer must be planted today.The stigma against commercial influences must be overcome if eSports is to continue scaling current growth. Long key to the worldwide growth of eSports, fans must become accustomed to participating as customers also. Likewise, the entire ecosystem must generate positive commercialization that vibes with the unique history, culture and spirit of the eSports movement. Until then, the gap between traditional sports will remain a chasm.

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Alex Fletcher finds and recruits top talent in the eSports world – by working with and nurturing the next generation of rising stars. Visit Entiva Group for more info. When he isn’t glued to a screen, he spends time with his wife, their two dogs, and pretends to learn Polish.

 

Why Companies Should Hire Like Pro Sports Teams

With both the NBA and NHL drafts quickly approaching, talent selection is a hot topic for fans of both pro sports. Against a backdrop of multi-million dollar player contracts and the exploding value of pro sport franchises, it’s imperative for the right player to be drafted by the right team. Similarly outside of sports, in an increasingly global, yet fast paced world, management and leadership must identify, hire and retain talent as a competitive differentiator. It has become imperative for companies to “hire great” in order to thrive in today’s business world. However, qualifications, e.g. the bullet points on a resume/cv, are too often valued over true talent. The successful companies of today will focus more on efficient methods of talent identification.

In the field of professional sports, talent is greatly determined by physical traits, i.e. height, weight, speed, strength, quickness, etc. Sports teams then measure, test and evaluate athletes along these hard lines. However, an athletes “ceiling” is also considered. The term ceiling stands for the potential and ability/willingness to improve and realize talent. At times a higher ceiling is valued over a more proven player, leaving teams with the dreaded “bust,” namely a player who never realizes his/her potential. Nevertheless, the payoff of talent, which realizes its potential, is immense and a game-changer for teams.

Outside the sports world, the opposite occurs far too often. Qualifications too often take precedent over talent, to the detriment of the hiring organization. And unfortunately, the risk does NOT outweigh the reward. Why? Because talent, when motivated and directed properly, breeds innovation. To be specific, innovation is the new ideas, processes, and approaches to business that all firms must produce to win in the 21st century. And it’s no longer the domain of the scientific laboratory; it is an ongoing process of progress, in which, every single enterprise must take partake. So while one talented hire, alone, won’t put an organization over the top, the consistent churn of talented people will.

Yet, what is talent? And how can it be identified, developed and put to good use? Well, talent = aptitude + proven work ethic. Qualifications, alone, are often mistaken for the latter. And while there are exceptions, as always, context is king. The old adage of just “getting the job done” has been replaced by the directive of continuous learning, self-direction and a high motivation to contribute to a bigger picture. This disposition is always neatly listed in bullet form. The talented employee of today must be dynamic, a self-starter with a high willingness to embrace change. Finding and nurturing that combination of traits is the main challenge in today’s workplace.

Today’s world features a rapid rate of change and places a premium on growth/adaptability. The ultimate goal of finding, hiring and developing talent is to find individuals who will grow/adapt with an organization. These talented people will grow their skill sets, take on new challenges and embrace collaboration; a suite of traits worth any number of certifications, nice sounding job titles and institutional pedigree. Companies serious about maintaining a human capital competitive advantage, will grasp this reality and hire accordingly.

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Alex Fletcher finds and recruits top talent in the eSports world – by working with and nurturing the next generation of rising stars. Visit Entiva Group for more info. When he isn’t glued to a screen, he spends time with his wife, their two dogs, and pretends to learn Polish.

Why eSports are the New Music Videos

The Christian Science Monitor (no plug intended) is running an article on marketing to millennials thru eSports. The text contains good points, albeit generic, on the what and why of eSports popularity across the millennial generation [Let’s keep in mind that the terms eSports and marketing are catch-all terms, but to keep it simple we’ll discuss them at a 10,000 ft view]. There’s nothing in CSMonitor’s article that hasn’t already been said before. However, an understanding of the zeitgeist is missing from the dialogue. Namely that eSports is to the millennials what music videos were to Gen X.

Before the advent of MTV, music was consumed entirely different. Radio ruled the day. And short of live concerts, music was to be heard not visually experienced. However, the merger of video and music created an entirely new genre of media. A similar shift has taken place with eSports. Traditionally, sporting events were tied to the TV screen. Unless you purchase a ticket to a match, it’s been ingrained that TV is the medium for consuming sport. eSports has turned that dynamic on its head. In a handful of years, professional/amateur competitive video game play streamed over the Internet have come to outrank traditional sport matches. Marketers must grasp this fact fully in order to establish genuine connections with the community of viewers.

Approaching eSports today, like another viewing segment or even a traditional sport is a mistake. It’s crucial to recognize that eSports represents more than just “people watching other people playing video games.” It also signals a change in direction for media consumption across the board. In the same way that music videos were wildly popular first with the Gen X’ers, it wasn’t long before videos were selling albums to everyone. Similarly, more people of all ages will continue to cut the cord and become harder to reach.

In this light, it matters less and less if everyone considers eSports a sport or not. At the end of the day, it is a wildly entertaining competitive activity that’s here to stay. More importantly, it heralds the future of media consumption. Marketers must pay attention to the big picture and realize it’s bigger than kids watching kids play video games. Those that do, will win. Those that don’t, will miss the gravy train.

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Alex Fletcher finds and recruits top talent in the eSports world – by working with and nurturing the next generation of rising stars. Visit Entiva Group for more info. When he isn’t glued to a screen, he spends time with his wife, their two dogs, and pretends to learn Polish.