Esports has been on a meteoric rise from a hobby to a multi-billion dollar industry in the past few years. Nowadays, millions of players and fans enjoy esports as much as they would traditional ones. That market hasn’t been unnoticed, and many companies have started to become involved in the esports industry, including iGaming brands.
They invest in advertising, sponsorships, and partnerships, and these cooperation additionally fuel the growth of esports. Besides providing financial input, the collaboration between the iGaming brands and esports has also raised several ethical issues.
Therefore, we will explore the complex effects of brands on competitive esports, highlighting both the benefits and concerns.
Table of Contents
Financial Support and Sponsorships
Brands provide significant financial support to the esports world. Sponsorship deals from these companies often include lucrative contracts that help teams and organizations manage their expenses. These funds can cover several types of costs, such as player salaries or investments in state-of-the-art facilities.
Thanks to this, teams can concentrate on improving their performance without the constant stress of financial challenges. These sponsorships don’t help just teams and esports organizations but individual players as well. Since esports is still developing, many players face financial instability, especially those in lesser-known teams or less popular games.
Esports players can establish sponsorship deals with iGaming brands, such as 22bet casino reviewed by Simon Rose, and secure a steady income. When they don’t have financial concerns, players can dedicate more time and resources to enhance their gaming skills.
This economic security can elevate the overall level of competition, as players can focus more on reaching their peak potential.
Boosting Visibility and Mainstream Popularity
Gambling brands have also been crucial in pushing esports into the mainstream spotlight. Marketing campaigns and lucrative sponsorship deals have increased the visibility of esports and attracted a broader audience that might not be reached otherwise.
Thanks to a more extensive reach and exposure, esports can gain a greater mainstream acceptance and recognition that can be compared to traditional sports. The marketing help of brands also increases event participation and viewer engagement. Nowadays, the majority of big tournaments are sponsored by these companies.
Consequently, they offer substantial prize pools and impressive production values, which attract both players and fans. These competitions are significant for establishing the gaming industry, which can further increase sponsor pools and boost growth and investment.
Ethical Issues and Regulatory Challenges
Besides the positive effects of the involvement of iGaming brands in esports, there are several controversies that need to be addressed. Since esports mainly attract the young population, the potential for gambling addiction becomes the biggest ethical concern.
Constant exposure to gambling ads and sponsorships can normalize gambling behavior, which can raise problems in this sensitive and impressionable demographic group. Furthermore, there could be a risk of problem gambling with long-term consequences.
Moreover, there is a possibility of regulatory challenges since the esports industry is spread worldwide and across different regions with the complex landscape of gambling laws. The world of esports is rapidly changing, and it is quite often fragmented. Therefore, gambling practices require strict oversight to remain fair.
However, the unified regulatory framework has still not been established, which can compromise the integrity of the esports scene and lead to inconsistent enforcement.
Effects on Player Performance and Integrity
The influence of iGaming brands can also impact player performance and the integrity of competitions. Players can enter a high-pressure environment due to a need to perform well in high-stakes matches, combined with financial benefits from gaming sponsors.
This environment could lead them to take high risks or even engage in match-fixing to meet expectations or secure extra income, which could jeopardize the fairness of competitions. Additionally, the association with gambling can damage the reputation of esports.
Traditional sports have needed to deal with gambling-related scandals and match-fixing for a long time, and esports is not immune to these issues. If esports wants to maintain a clean and reputable image and have long-term success, the industry needs to monitor closely the involvement of iGaming brands to reduce risks.
Community Reactions and Cultural Changes
Gaming sponsorships produce a mix of reactions among the esports community. Some fans appreciate the financial support and improved production quality that come with these partnerships. They acknowledge that gambling brands can provide essential resources and attention that can drive growth and professionalization. However, another part of the community views these partnerships with concern.
The presence of brands can shift the cultural values and norms within the esports community. Gambling sponsorships drive commercialization, which can lead to a focus on profit over passion and change the core identity of the community. The scene could become more corporate and potentially lead to a loss of grassroots support and a disconnect between the community and the industry.
Nevertheless, esports couldn’t grow this fast without the support from brands, and there should always be a balance between the economic benefits and the core of esports.
Conclusion
The impact of iGaming brands on competitive esports is both significant and complex. While their financial support and marketing efforts have helped esports grow into the mainstream, they also bring a range of ethical, regulatory, and integrity challenges. Balancing the benefits and concerns of these partnerships is crucial for the sustainable growth of esports.
The industry should find a way to integrate gambling brands responsibly, while protecting the interests of players and the community.
