Starting a fantasy sports business in the present market is an attractive and lucrative idea due to the increasing interest of the public in sports. As an investor or businessman, one should know about the market and the future possibility of the industry to make it a success. We have done a quick research and found out the factors that are directly affecting the growth and market segmentation of the fantasy sports industry.
Factors Affecting the Growth of the Fantasy Sports Industry
01. Enhancing Partnerships
In the past few years, the sports industry has witnessed many partnerships and collaborations of different stakeholders, athletes, and influencers. Fantasy Sports platforms are associating with sports teams and athletes which is directly attracting their respective fans to their platforms and helping in gaining a loyal user base.
02. Growing Marketing and Advertising
Fantasy Sports operators started spending more on advertising and branding which is directly affecting the growth of the fantasy sports industry. Companies are designing marketing campaigns to attract targeted audiences and turn them into regular users of the fantasy sports platform.
03. Increasing Interests of the Millennials
Nowadays, kids are born with the internet and digitization and can’t imagine a single day without it. Such tech-friendly generations are always looking for online/digital opportunities to showcase their talent/for entertainment. So, millennials are more interested in the fantasy sports industry than their previous generation.
04. Urge of Participation
The urge to participate in sports is growing exponentially, now sports fans are not only bringing live matches, but they also want to be an equal part of the sports. The Fantasy Sports industry has opened doors for all sports fans to showcase their gaming skills and win a reward for it. Moreover, during the lockdown, the online gaming industry was the only opportunity for sports enthusiasts to keep playing their favorite sports from the comfort of their homes.
05. Technological Advancements
Daily advancements in technology and tools are boosting the count of audiences to watch and play online sports. Fantasy App Developers has eased the process of operating an online fantasy sports platform. With the advanced UI/UX designs, fantasy sports apps are attracting more users than ever. Technology has truly eased playing online games for even those who are not techno-friendly.
06. Availability of Smartphones and Internet
Penetration of the internet in rural areas will drive the fantasy sports market in 2022. Also, the availability of smartphones at an affordable rate will result in the exponential growth of the online gaming industry. Moreover, in the coming years, the internet will become part of every household and the user base will increase.
07. Fantasy Sports Platform Development
The growth of Fantasy App Developers is one of the main factors which is affecting the growth of the fantasy sports industry. Now, there are enough sports app developers in the market, who are building customized platforms with user-friendly designs to attract and engage sports fans for long hours.
08. OTT Platforms
The increasing popularity of OTT platforms is even attracting Sports associations to broadcast their matches on such platforms where users continuously look for entertainment. This combination of both is resulting in the growth of the fantasy sports industry and entertainment business too.
Let’s dive into the Fantasy Sports market segmentation based on the numerous factors:
Based on Sports
Fantasy Sports market segmentation based on multiple sports:
Football covered the central area which is 78%, Baseball is 39%, Basketball covers 19%, Hockey is 18%, 14% Soccer, Golf is 13%, Fantasy Esports, etc. The popularity of Fantasy Football globally is the primary reason why it covered the largest segment of Fantasy Sports based on the sports category. However, in India, nothing can beat the popularity and contribution of Cricket to the growth of the Fantasy Sports industry.
Based on Gender
Based on gender the market of fantasy sports is segmented into two parts:
- Male: Male users dominate the fantasy sports industry and have a major contribution in generating a huge revenue in the Fantasy Sports industry. Due to the fantasy sports opportunities available in the real world for male users, they acquire a large market segmentation as compared to female sports fans.
- Female: There are always gender-based biases in the sports industry which also affected the female market segmentation in the Fantasy Sports industry. As time changes, the sports industry is becoming a gender-neutral industry, where equal opportunities start to be offered to all those who are interested.
Based on Geography
Fantasy Sports segmentation is based on geography as follows:
Increasing interest in technological advancement, clients, and fantasy sports business aspirants are increasing in North America. Daily Fantasy Sports is legal in numerous US states like Indiana, New York, Vermont, Maryland, Arkansas, Virginia, etc. is increasing the industry growth in numerous regions. Factors like technological advancements, ease in regulation, and partnership with multiple industries are affecting the growth enhancement of the fantasy sports industry in multiple regions.
The interest of people in different sports categories is driving the users in the direction of the Fantasy Sports Industry in the European region. Higher engagements of millennials, organization of numerous sports events, and digital growth of sports are the primary reasons for Fantasy sports growth in Japan, India, Indonesia, China, and South Korea. High and reasonable opportunities for sports fans are one of the reasons for the popularity of the fantasy sports market in Latin America.
The Fantasy Sports Industry has a bright future and is the most lucrative industry right now. All enthusiastic investors or business people who are planning to enter the industry should do it right away. The sector is under development and soon will be the market too competitive to fight back. Fantasy App Developers are the most prominent developers in the market and have made their place in the market with exclusive services.