The new digital playing field

Why International Football Clubs are running to embrace eSports?

eSport has seen explosive growth over the last 5 years, with record numbers of people plugging in to play online during the pandemic, so that they could satisfy their need for sport, entertainment and human connection.

And this incredible growth is not expected to slow down anytime soon, with the industry predicted to be worth $1.9 billion by 2026. Up from $690 million in 2019.

So, it’s no surprise that Football Clubs are starting to embrace the world of professional gaming, seeing eSport as a great way to engage with younger audiences. And using the global reach of FIFA to grow their international fan base. And protect the Football Clubs future profitability.

 So how does real sport, sit alongside eSport?

Is eSport really a sport?

Despite eSports contain the word sport, many people don’t see it as a sport at all. And that’s because it misses one vital thing. Physical movement.

The players aren’t covering all areas of the pitch, like the heat maps we see for N’Golo Kanté or running 12km in 90 minutes. They are sat behind a game console.

Which is probably why, The IOC haven’t added it as an Olympic event.

Not yet anyway. But that could all change.

When you look at a professional eSports teams like CompLexity, who were invested in by Dallas Cowboys. They now have personal trainers, dieticians and coaches to help them stay physically and mentally fit. Because just like real sport, split second decisions have to be made. And the prize money is huge.

CompLexity athletes in training

Even Sky Sports are getting in on the action, by broadcasting live FIFA tournaments. And you can only imagine what data they must have to support that decision. So it might not be outside the realm of possibility that we might see eSports at the Olympics in the near future.

Or maybe the IOC will create an eSport game of its own to attract younger audiences. Gaining lucrative royalties like FIFA get from EA games.

So how big is FIFA?

According to the steam charts between 15,000 and 33,000 players are playing FIFA concurrently at any given time. With the numbers dropping a little from February as countries started to come out of lockdown, with people returning back to school or work.

Steam charts

Now that might not seem like a huge number, but according to Forbes, since its release in 1993, when EA games sold 6 to 8 million units a year, it now sells three times as many. And across a lifetime sales EA has now sold about 325 million copies.

While Europe still remains the heartland of these sales, largely driven by having the best players and the best leagues, South East Asia and Latin America are catching up fast.

As a result EA recorded revenue figures in 2020 topping 5.5billion, with 2.7billion of that generated from gamers spending money on in-game content or live services through Fifa Ultimate Team. (FUT)

So it's hardly surprising that Football Clubs are running to embrace eSports in some shape or form.

Five ways Football Clubs are embracing gaming.

1.  Using it as a marketing tool to attract younger audiences

The average football fan in the UK is in their 40’s. So, for clubs wanting to stay relevant and attractive to sponsors, eSports give Football Clubs a way to reach younger audiences and hedge against future decline in revenues. Even if this might mean fans spend more time emulating their favourite player on FIFA rather than watching them live.

Clubs like Manchester City have been involved in eSports like this for a while, launching their own pro eSports team in 2016 and their online team in China in 2018. Seeing FIFA as an extension of their football brand, with a younger audience.

In April this year, Manchester City announced a new video series which gives fans an insight into the lives of the Clubs eSport players and brings them closer to the action.

Most Professional Football Clubs eSport Teams stick to FIFA, but some Football Clubs play other video games too. They are what they call 'all in' For example, both FC Copenhagen and Schalke 04 have played in Counter-Strike competitions and League of Legends tournaments.

Personally I’m not sure how this being 'all in' pays any equity back into the brand.

2.  Additional sponsorship opportunities

Just like real football, eSport teams like Manchester City have their own lucrative sponsorship deals too. With Nexen Tyres, Etisalat and Puma all appearing on Manchester City’s new eSports shirts.

Or David Beckham's Guild Esports Team landing a multi-million-dollar sponsorship deal with Subway. Across 55 countries in Europe, Middle east and Africa.

This sponsorship feels like a much better brand fit with the target audience. And shows how Football Clubs might be able to attract a different range of brands who want to reach younger audiences.

3. Reaching global audiences, through exclusive content

Which brings me on to the next opportunity. Reach. Not all Football Clubs have an official eSports teams, with some of them taking a different approach.

For example, Chelsea FC use their global partnership with EA to deliver exclusive content to blues fans around the world. This gives them a different way of engaging with fans throughout the season. Using the FIFA gaming platform itself to create an emotional connection.

In the future, I could imagine new kits launched this way, whereby fans could make an in-game purchase and receive both a digital kit as well as a physical kit of their favourite player.

4.  Enhanced licensing

When it comes to licensing and image rights, EA games have a unique deal with the Premier League, whereby the clubs agree to sell all their video game licensing rights as a collective, with virtually no intellectual property excluded.

Now obviously, if your football team is wins the Champions League and your players are getting the best Player Rating on FIFA, in the future we may see clubs negotiate their own separate deals. Or create additional licence agreements around individual players.

Mason Mount for example, has just been named as FIFA 21 ambassador, recognising his status as one of the games up-and-coming stars, alongside Phil Foden and Erling Haaland.

5. NFT’s

I couldn’t write about eSport without mentioning NFT’s. A new type of technology called a non-fungible token that allows an individual to buy and have unique proof of ownership of digital art or video clips.

This creates huge opportunities for digital entertainment brands like Football Clubs. Just imagine if you could own a video clip of winning goal (from a unique camera angle) in the Champions League Final.

And you were the only ones who could see that goal again and again. How much would you pay for that?

I can imagine in the future that FIFA may allow for NFT traded on their platform. Creating new revenue streams for Clubs and EA games alike.

It's in the game

One thing for sure, is that the future of gaming should be exciting for Football Clubs, sponsors and audiences.

And as digital technology transforms the game and social, gaming and broadcast media converges. We will see new industries and new types of sponsorship deals emerge.

And when it happens, I'm sure the majority of clubs would rather be in the game, rather than watching from the stands.