Esports in CWG: Are brands ready for the next level?

The inaugural edition of the Commonwealth Esports Championship will take place in Birmingham, England, on the 6th and 7th of August. The event will be held with the 2022 Commonwealth Games but with separate sports associations, medals and branding.

It is expected that esports will become a part of the main lineup at the Victoria Commonwealth Games set to take place in 2026.

The recognition of esports at the Commonwealth Games will change the perception of esports in India. It might prompt the government to recognize esports instead of entertainment.

The official recognition of esports as a sport will boost the industry financially. The tax paid by esports organizations, athletes, and other involved parties will be reduced to 20% instead of the current 35% entertainment tax.

Commonwealth Esports Championship will feature popular games such as Dota 2, e-football, and Rocket League. The dedicated branding and medals for the event will help give esports a significant push into the mainstream with an expected viewership of 500 million.

Co-founder and Chief operating officer of Phyvital Inc, Krutin Shah, said, "Indian teams participating can expect to build fan followings and recognition across the globe. This will raise the profile of teams and players. If you consider the scale in terms of views and eyeballs for the event, it's at par with some of the largest global events. So, it's a great opportunity for marketers and advertisers."

India currently contributes only 1% to the esports ecosystem despite having high internet connectivity and cheap data alongside a tech-savvy young population. However, according to the Co-Founder of CupShup, Sidharth Singh, it is about change.

He said, "With awareness of global sporting events like Olympics and CWG transcending metro cities and going to Tier 2 and 3 cities, it can give a big fillip to the industry."

The Indian esports and gaming industry has been estimated to grow to a valuation of INR 11 billion by 2025, with a large portion of this growth coming from Tier 2 and 3 cities. 

The introduction of esports in the Commonwealth Games and Asian games will catalyze the growth of esports at a global level. It offers a vast potential for the brands to reach out to the younger demographic, especially those who get involved early.