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News

SSP and STARK eSports partner for its international expansion

January 19, 2019

 

Strategic Swiss Partners (SSP) has entered into an exclusive partnership with STARK eSports GmbH (“STARK”), with the aim of strengthening the latter's position as market leader and opening new markets mainly in the Middle-East and Asia.

 

STARK is one of the leading eSports agencies in Europe. 

 

The privately-owned company based in Bochum, Germany, and Zürich, Switzerland is led by renowned eSports pioneers, with the goal of linking classic business segments to eSports, and creating a complete ecosystem of services in eSports for viewers, athletes, clubs and brands. 

 

The Middle-East market at present is an important target for STARK as there are many exceptionally talented eSports athletes in the region who till now have neither the infrastructure nor support to reach their full potential and the huge audience currently following eSports from Asia, the US and Europe.

 

STARK'S team

 

The team behind STARK has a solid background in management consulting, combined with over 15 years of eSports experience. 

 

STARK has been the first mover in many fields including becoming the first company in the world to bring a professional soccer club into eSports (VfL Wolfsburg). 

 

Today, STARK is well known as one of the top advisors in Europe, helping brands and clubs position themselves in eSports. 

 

The company is collaborating with exceptional brands and clubs from around the world, bringing together real and digital sports with sponsoring companies in a pioneering role.

 

STARK offers a full range of services to any brand (sport clubs, airlines, car makes, hotels, food chains, clothes brands, etc) that would like to target a captive audience in the age bracket of 15 to 35 years.  

 

eSports also has an exceptionally broad reach on social media platforms.

 

 

Global revenue is expected to smash $1 billion by 2019

 

Currently, Asia is the leading eSports market with over $321 million in revenue, followed by North America at $224 million (although the US accounts for 96% of North American eSports).  

 

Europe's revenue stands at $172 million while the rest of the world's accounts for $29 million. The Asian market is still growing strongly. With live-streaming channels like Twitch and YouTube, many Western companies are investing in eSports, with still much room for growth.

 

The United Arab Emirates wants to tap into the growing global eSports scene as well. 

 

Dubai Media Office and free zone operator TECOM Group have announced plans for the Middle East’s first eSports stadium. 

 

The facility, part of the government’s 10X initiative, is intended to position Dubai as a global hub for hosting video gaming events. 

 

While the cost of the stadium has not been revealed, Dubai Media Office says it is intended to tap into the $99.6bn global video game industry. What's more the growing eSports scene is expected to be worth $1.5bn by 2020.

 

Leading companies in marketing such as Coca-Cola and Red Bull are growing their marketing budgets specifically for eSports in the US. 

 

While there is still a number of brands slow to catch on, brands and advertisers to benefit most from sponsoring eSports will start to enter the market more actively and will profit.

 

There is also the opportunity for a wider audience to catch eSports on TV, rather than actively having to seek it out online on sites like Twitch. 

 

TV traditionally allows for higher sponsorship and advertising revenue, demonstrated by national broadcast channels, who have garnered billions of dollars in sponsorships and advertising for traditional sports leagues already.

 

 

For further information please contact SSP:

Fabian Mahalingam, Head Of Business Development, fabian.m@strategicswisspartners.com

Benedikt Rieger, Partner and Senior Relationship Manager, benedikt.r@strategicswisspartners.com

 

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