31 October, 2024 | NOV DEC 2024

Bayes Esports: Exploring the relationship between esports and sportsbooks

Bayes Esports CEO Amir Mirzaee converses with Gambling Insider about the rapidly expanding esports market and the opportunities it presents for modern-day sportsbooks.

The Esports Opportunity for Sportsbooks

Esports is emerging as one of the fastest-growing betting categories worldwide. However, entering this space can come with unique challenges. Do you choose to handle trading in-house, opt for a turnkey solution, or find a middle ground that allows you to control margins without needing a fully dedicated trading team? Taking the first step can feel risky, so it’s important to understand what makes a partner the right fit. From real-time data, a comprehensive content calendar, and seamless integration, discover why these features are essential for building a successful esports portfolio.

The Necessity of Esports in Your Portfolio

The global audience for esports has reached a staggering 640 million viewers. This large community has an equally massive financial impact, with the regulated esports betting market having a 2024 projected turnover of $2.5bn. This highlights esports’ huge potential. The demographic of esports bettors tends to fall between the ages of 26-45, with the largest concentration in their thirties. Counter-Strike 2 and Dota 2 have been around since the early 2000s. Their longevity demonstrates they are a valuable long-term investment.

Additionally, esports can be a key way to lower customer acquisition costs. Reports show that 91% of esports bettors also bet on traditional sports. Use the jam-packed esports and eLeague calendar to offer betting year-round and unlock additional ways to generate revenue.

Customer acquisition costs (CAC) can sometimes hit up to $1,000. Sportsbooks need to have the complete package across all mainstream sports to make sure this hard-earned user doesn’t wander off to competition. Keeping a customer in your ecosystem must be a priority.

The Impact Granular Live Data Has on Your Betting Portfolio

Live betting is popular in esports, like traditional sports, because it keeps bettors engaged throughout the match. However, esports face unique challenges in delivering in-play markets.

1. Speed vs Stream Delay: Esports broadcasts can be delayed up to five minutes for an online match and 40 seconds for an offline due to integrity reasons. A Counter-Strike round lasts a max. of two minutes, so this delay makes in-play betting difficult if data isn’t live from the source.

2. Volume and Complexity of Esports Data: Unlike football, where one ball is followed, esports matches have countless actions occurring at every corner of the map. To ensure every data point is collected, it is critical to have automated data collection to offer in-play markets.

3. Frequent Game Changes: Esports regularly undergo game patches multiple times a year, which can have a major impact on the game and products. Unless this task is outsourced, keeping up to date with the changes and the underlying models requires building expert-level knowledge about each game title.

Navigating the Fragmented Esports Landscape

The esports industry is highly fragmented and lacks standardisation. Even tournaments within the same game title can offer diverse experiences. Counter-Strike, for example, has fragmented IP and there is no uniform approach to the user experience.

Sportsbooks face the challenge of providing comprehensive esports coverage without complex integrations.

One of our primary solutions is Bayes Odds Marketplace, an interface of multiple providers spanning a range of tournaments, game titles and markets, accessible through a single integration.

Embrace Esports to Stay Ahead

The global impact of esports is evident when you look at the billion-dollar tournaments being developed, bringing together international teams, unifying game publishers, and drawing in mainstream sponsors. Esports is not a niche; it’s essential for remaining competitive in today’s rapidly expanding betting landscape. There is an opportunity for huge returns if you can leverage the vast amount of data available.