There’s one crucial question at the heart of every esports organisation’s goals. How do we monetise fandom?
They may have tons of passionate fans but merchandise sales, sponsorships, and the occasional live event just aren’t enough to bring in enough revenue to make esports organisations profitable.
This isn’t a unique problem to esports. Silicon Valley is filled with companies who have tons of users but aren’t turning a profit yet. The goal is to simply reach critical mass. Recently companies like Twitter have gone from operating in the red to the green after over a decade of scaling.