Esports Continues to Lead Online Gaming Industry Growth
NEW YORK, March 5, 2021 /PRNewswire/ -- With the gaming industry having more of an online and mobile presence, esports are becoming a bigger and bigger part of the industry. The future of gaming is currently being determined by the whims of Gen Z, which seems to be pointing towards users being more likely to engage in esports rather than traditional sports. With lockdowns occurring around the world due to the world health crisis, individuals have had to turn to activities that socially distance them from others. With esports platforms not being impacted by these new regulations, they were able to carry on as normal. Even prior to the world health crisis, predictions were saying that esports would become even more mainstream and lead the gaming industry. Companies such as Real Luck Group Ltd, "Luckbox", (TSXV:LUCK), Golden Nugget Gaming (NASDAQ:GNOG), Rush Street Interactive (NYSE:RSI), Melco Resorts & Entertainment (NASDAQ:MLCO), and Enthusiast Gaming (TSX:EGLX) (OTCQB:ENGMF) have seen waves of change with the growth of esports thus far in 2021.
Real Luck Group Ltd, "Luckbox", (TSXV:LUCK) observed the spike in players shifting from betting on sports to esports in 2020, and, by moving quickly, managed to add 500% more new customers to its esports betting platform. In early February, Luckbox also noted an increase in esports activity prior to the IEM Katowice International Counter Strike: Global Offensive (CS:GO) esports tournament that was set to take place. In a previous year, this tournament drew in more 1 million viewers, which further suggests the rise of esports in recent years.
Luckbox CEO Quentin Martin has said, "esports betting, which essentially uses the same licensing and infrastructure as the existing traditional sports betting industry, offers the potential for higher profits and has barriers to entry from the betting models."
For the 2021 CS:GO tournament, Luckbox was focused on customer acquisition. The company's strategy included offering a IEM Katowice bonus and free bets for both existing and new customers. With the IEM Katowice tournament being one of the major highlights for the esports platform, it is a great opportunity to acquire users.
Luckbox COO Thomas Rosander stated, "we have committed a budget of at least CAD$2 million to user acquisition this year with a healthy part allocated for near future activities. In previous years, Luckbox has seen a spike in betting activity around IEM Katowice, and this year we are going to capitalize on the opportunity again."
Other Platforms Commence Advances in Esports and Online Gaming
Enthusiast Gaming (TSX:EGLX) (OTCQB:ENGMF) announced in mid-February that it has signed with nine leading video game fan communities. Enthusiast Gaming has been noted to have over 300 million gamers on a monthly basis, as well as the world's largest social network for esports fans. Furthermore, video game fan communities are noted as the leading factors behind Enthusiast Gaming's platform. With the new additions, Enthusiast Gaming is looking forward to creating more content for its dedicated gaming and esports fans.
Melco Resorts & Entertainment (NASDAQ:MLCO), most recently honoured by Forbes Travel as a leader in the industry, hosted a three-day esports event in December 2020. The esports event took place at Macau's City of Dreams, with a total of 50 competitors in the "GBA Sim Racing Grand Prix 2020 Grand Final". Melco recognized esports as an "emerging new generation sport and entertainment experience." Melco also commended its commitment to the expansion of esports by paving the path for local players to participate in future tournaments.
While not technically esports, Rush Street (NYSE:RSI) did announce the launch of its online social gaming and social sportsbook platform in the summer of 2020. In partnership with the Coushatta Casino Resort in Louisiana, Rush Street has been operating the Coushatta Casino4Fun site. This platform is powered by the same technology that is also used to operate Rush Street's real money gaming sites.
Golden Nugget Gaming (NASDAQ:GNOG), a well known online gaming and digital sports entertainment establishment, not too long ago mentioned its future potential for growth in the online gaming space. The company released its full-year 2020 results on February 8, announcing that it had managed a 63% year-over-year increase, from $55.4 million in 2019 to $90-91 million in 2020.
Given the current world circumstances, there is both excitement and skepticism around the revolution of iGaming and esports, but both are proving to be considerable alternatives at this time, and companies like Luckbox are in a good position to capitalize from these growing trends.
To learn more about the Luckbox, click here.
Disclaimer: Microsmallcap.com (MSC) is the source of the Article and content set forth above. MSC owns Streetsignals.com. References to any issuer other than the profiled issuer are intended solely to identify industry participants and do not constitute an endorsement of any issuer and do not constitute a comparison to the profiled issuer. FN Media Group (FNM) is a third-party publisher and news dissemination service provider, which disseminates electronic information through multiple online media channels. FNM is NOT affiliated with MSC or any company mentioned herein. The commentary, views and opinions expressed in this release by MSC are solely those of MSC and are not shared by and do not reflect in any manner the views or opinions of FNM. Readers of this Article and content agree that they cannot and will not seek to hold liable MSC and FNM for any investment decisions by their readers or subscribers. MSC and FNM and their respective affiliated companies are a news dissemination and financial marketing solutions provider and are NOT registered broker-dealers/analysts/investment advisers, hold no investment licenses and may NOT sell, offer to sell or offer to buy any security.
The Article and content related to the profiled company represent the personal and subjective views of the Author (MSC), and are subject to change at any time without notice. The information provided in the Article and the content has been obtained from sources which the Author believes to be reliable. However, the Author (MSC) has not independently verified or otherwise investigated all such information. None of the Author, MSC, FNM, or any of their respective affiliates, guarantee the accuracy or completeness of any such information. This Article and content are not, and should not be regarded as investment advice or as a recommendation regarding any particular security or course of action; readers are strongly urged to speak with their own investment advisor and review all of the profiled issuer's filings made with the Securities and Exchange Commission before making any investment decisions and should understand the risks associated with an investment in the profiled issuer's securities, including, but not limited to, the complete loss of your investment. FNM was not compensated by any public company mentioned herein to disseminate this press release but was compensated twenty five hundred dollars by MSC, a non-affiliated third party to distribute this release on behalf of Real Luck Group Ltd
FNM HOLDS NO SHARES OF ANY COMPANY NAMED IN THIS RELEASE.
This release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. "Forward-looking statements" describe future expectations, plans, results, or strategies and are generally preceded by words such as "may", "future", "plan" or "planned", "will" or "should", "expected," "anticipates", "draft", "eventually" or "projected". You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risks that actual results may differ materially from those projected in the forward-looking statements as a result of various factors, and other risks identified in a company's annual report on Form 10-K or 10-KSB and other filings made by such company with the Securities and Exchange Commission. You should consider these factors in evaluating the forward-looking statements included herein, and not place undue reliance on such statements. The forward-looking statements in this release are made as of the date hereof and MSC and FNM undertake no obligation to update such statements.
Media Contact:
FN Media Group, LLC
info@financialnewsmedia.com
+1(561)325-8757
View original content:http://www.prnewswire.com/news-releases/esports-continues-to-lead-online-gaming-industry-growth-301241107.html
SOURCE Microsmallcap.com
