TL SALES & PARTNERSHIPS
INTERN PROJECT
INTERNS INTRODUCTION
APAC EXPANSION
Justin Wang
UCLA 2023
I play too many gacha games.
Ameet Jogia
SJSU 2022’
I play too many games.
WHY AND HOW SHOULD TEAM LIQUID EXPAND TO APAC
TABLE OF CONTENTS
APAC
APAC
WHAT IS IT?
APAC, more commonly known as Asia-Pacific, is usually defined as the part of the world near the western Pacific Ocean.
Despite the heterogeneity of the regions’ economies, most individual nations within the zone are emerging markets experiencing rapid growth.
APAC EXPANSION
APAC
DATA & DEMOGRAPHICS
Asia-Pacific accounts for 57% of the global audience and is expected to generate around $1.8 billion by 2023 from its current revenue base of just under a billion dollars annually.
League of Legends leads the way when it comes to revenue, along with other popular titles such as Fortnite, Dota 2, VALORANT and Call of Duty
However mobile games have also been gaining traction with 45% viewership projected by 2025 according to some estimates.
APAC EXPANSION
WHY APAC?
UNTAPPED AND UNLIMITED POTENTIAL
The Asia and the Pacific region is home to 60 per cent of the world’s population – some 4.3 billion people – and includes the world’s most populous countries, China and India.
Real GDP growth for the APAC region is expected to increase from 3.2% in 2022 to 4.2% in 2023, rising further to 4.7% in 2024.
APAC EXPANSION
APAC GAMING MARKET
GROWTH
The Asia esports industry generated a combined revenue of $USD 634.3 million in 2021, growing 16.6% over the previous year
Asia’s esports audience grew by 13% in 2021.
Asia accounts for 57% of the estimated USD $1.1 billion global esports market, which is a 2.7% increase over 2020
2021 saw the continuation of a trend identified in 2020: brand partnerships in esports are growing in number and value and this remains the leading value generator in the esports space
APAC EXPANSION
APAC GAMING MARKET
REVENUE
The top esports genres are Battle Royale and MOBA
The leading PC esports titles in Asia are League of Legends, PUBG, and Valorant
APAC EXPANSION
APAC GAMING MARKET
MOBILE GAMING
The APAC Region has a massive mobile gaming ecosystem:
APAC EXPANSION
APAC
5 COUNTRIES FOCUS
APAC EXPANSION
JAPAN
WHY JAPAN?
A MATURE GAMING MARKETPLACE
Japan’s esports market jumped from $2.6m in 2017 to $35m in 2018 and is expected to continue exponential growth to $71m in 2022 and more than $129m by 2025.
Japan, along with Korea, are the most mature markets in the APAC region, accounting for over 77% of the revenue there.
Japan’s esports-related market grew more than thirteen times its size over the course of one year: to 4.8 billion yen (US$35 million) in 2018 from 370 million yen (US$2.6 million) in 2017
APAC EXPANSION
WHY JAPAN?
A STEADY STREAM OF SUPPORT
High schools and universities have incorporated esports into their club activities and classes.
In response to the growing interest in esports, major companies from various industries have supported the esports industry:
APAC EXPANSION
WHY JAPAN?
EXAMPLES OF CONTINUED INTEREST
Some of their investments include
APAC EXPANSION
INDIA
WHY INDIA?
A MASSIVE UNTAPPED MARKET
India is the second largest gamer base in the world, with 396.4 million gamers, making up 50.2% of all gamers in APAC. India is also the fastest growing market with a 5-year growth rate of 21% for revenue
India and Southeast Asia will see the largest Year-over-year revenue growth by the end of this year at 18.3% and 17.2%
APAC EXPANSION
WHY INDIA?
RESILIENT AND GROWING
India alone saw the number of professional gamers double in 2022 to 600,000, as compared to 300,000 in 2021
India's mobile gaming market will grow from $1.5 billion in 2020 to $5 billion by 2025.
Moreover, their esports ecosystem is massive despite multiple government bans on various games due to concerns regarding sovereignty in relation to Chinese influence
APAC EXPANSION
PHILIPPINES
WHY THE PHILIPPINES?
YOUNG AND SEGMENTED MARKET
Although its international accolades are limited, the size of the audience and market makes this country significant esports nation.
However, what makes the Philippines esports demographic unique is its affinity towards MOBA titles.
The Philippines has a large and young population – there are 110 million Filipinos and the average age is under 25.
APAC EXPANSION
WHY THE PHILIPPINES?
MAJORITY GAMERS
As much as 80% of the population stated that they played online games. A majority of these online gamers played daily.
In 2020, the revenue of the video games market in the Philippines was recorded around $1.26 billion, an increase of around $300 million compared to 2019.
The Filipino video games market will continue to increase across all segments and by 2025 reach a total revenue of around $2 billion.
APAC EXPANSION
THAILAND
WHY THAILAND?
ESPORTS AS A BOOMING ECONOMIC PILLAR
Thailand’s esports industry brought in a revenue of US$1.24 billion (47.48 billion baht) in 2021. And that figure is reached $1.4 billion (53.53 billion baht) in 2022
This has opened more opportunities for the gaming ecosystem to create new jobs and drive economic growth
APAC EXPANSION
WHY THAILAND?
OFFICIALLY RECOGNIZED AND SUPPORTED
Thailand also ranks among the few countries in the world that officially recognizes esports as a professional sports.
Online viewership of esports tournaments is also growing exceeding 51 million in 2019 and an estimated 27 million gamers there as well.
APAC EXPANSION
SOUTH KOREA
WHY SOUTH KOREA?
THE EPICENTER OF ASIAN ESPORTS
Korea is currently the only other country, along with Thailand, in APAC that recognizes esports as an official sport
As mentioned before, Korea is among the most mature markets in the APAC region, accounting for over 77% of revenue.
Video game tournaments have existed here since the 1960s
APAC EXPANSION
WHY SOUTH KOREA?
GOVERNMENT-WIDE SUPPORT
South Korea is recognised worldwide for its government-led initiatives and infrastructure that supports and promotes a grassroots esports development model.
The Korean government has invested in multiple esports-specific arenas, including the Busan Esports Arena, the first one outside greater Seoul.
The Korean Culture Ministry and the city of Busan each invested 3 billion won (~£1.88m) in the construction of the Busan facility.
APAC EXPANSION
WHY SOUTH KOREA?
EXPANSIVE POPULARITY
Esports has become extremely popular in South Korea due to factors such as easy access for the youth to access high-speed internet, the rise in the cultural acceptance of gaming
It remains a favored past time for many in the younger generations
Additionally, in the context of South Korea’s entry into the global economy as a massive producer of entertainment, professional esports is perceived as a viable career option
APAC EXPANSION
WHY SOUTH KOREA?
PC BANGS
A PC bang is a type of LAN gaming center and Internet cafe in South Korea, where patrons can play multiplayer computer games for an hourly fee.
The typical cost for an hour of play ranges from 500 to 1500 KRW, with 1000 KRW per hour being the most common rate.
This communal space provides great opportunity for potential activations utilizing talent abroad.
COMPETITION
COMPETITION
ORG’S WITHIN REGION
COMPETITION
OUTSIDE ORG’S WITHIN REGION
COMPETITION
SOCIAL MEDIA
TOURNAMENTS
EVENTS / TOURNAMENTS
TOP IN EACH REGION
Japan:
Philippines:
APAC EXPANSION
India:
Thailand:
Korea:
CONTENT CREATORS
CONTENT CREATORS
POTENTIAL SIGNINGS
RECOMMENDATIONS
OUR RECOMMENDATION
HOW AND WHY
We recommend Team Liquid take advantage of this opportunity bound market and expand the Team Liquid Fandom beyond the western hemisphere. By creating a fanbase in APAC, we can create dynamic and engaging partnerships that bring Team Liquid to the forefront of all things esports.
THANK YOU!
SOURCES
APAC EXPANSION
QUESTIONS?
IF YOU HAVE FURTHER QUESTIONS YOU HAVE UNTIL
Friday, May 26th at 4:59 PM PDT