[0:00] hello and welcome to our video about how
[0:02] Esports organizations make money Esports
[0:05] has become a billion dooll industry and
[0:07] it's no secret that Esports teams are
[0:09] making a lot of money but how exactly do
[0:12] they do it in this video we will dissect
[0:15] the business model of Esports
[0:17] organizations and explore the different
[0:19] ways they generate Revenue the most
[0:21] common source of revenue for Esports
[0:23] teams is sponsorships companies pay
[0:25] teams to promote their products or
[0:27] services and in return the teams get a
[0:30] steady stream of income sponsorships can
[0:34] come in many forms such as Jersey
[0:36] sponsorships product endorsements and
[0:38] event sponsorships the more successful a
[0:41] team is the more valuable they become to
[0:43] potential sponsors another way eorts
[0:46] teams make money is through merchandise
[0:48] sales fans love to show their support
[0:50] for their favorite teams by buying
[0:51] jerseys hats and other merchandise teams
[0:55] can sell their merchandise online or at
[0:57] events and the revenue generated from
[0:59] these sales sales can be significant
[1:01] broadcast revenue is also a significant
[1:04] source of income for Esports teams many
[1:07] orts events are streamed online and
[1:09] teams can earn money from advertising
[1:11] and broadcasting rights the more popular
[1:14] an event is the more money teams can
[1:17] make from broadcast Revenue Esports
[1:19] teams can also make money through
[1:21] investment largescale investment firms
[1:23] and groups are investing in Esports
[1:26] seeing its rapid growth and wanting to
[1:28] cash in on the expansion industry these
[1:31] investment companies will want to see
[1:32] the Esports teams turn into a profitable
[1:35] Endeavor and in return they can provide
[1:37] the teams with the capital they need to
[1:39] grow in conclusion Esports organizations
[1:42] make money in a variety of ways
[1:44] including sponsorships merchandise sales
[1:47] broadcast revenue and investment the
[1:50] most successful teams are those that can
[1:51] diversify their revenue streams and
[1:53] create a sustainable business model as
[1:56] Esports continues to grow we can expect
[1:59] to see even more more ways for teams to
[2:01] generate revenue and become
[2:03] profitable thank you for watching