The esports industry continues to soar, with recent valuations standing at $159 billion. Despite the success of the esports industry, teams are still searching for additional revenue streams to become more profitable. That is where Omnicoach comes in.
What is Omnicoach?
Omnicoach is an ambitious project that is years in the making. While esports teams and organizations have established channels for reaching fans, monetizing that user base can be a challenge.
CEO and co-founder Daniel Agoston identified this issue, intending to resolve it through the Omnicoach service. Omnicoach rectifies this problem by providing gaming fans with a simple solution. Coaching.
According to Omnicoach, two thirds of gamers who watch esports content regularly do so to improve their skills and abilities in-game. Using the service is as simple as playing a match, recording, and uploading it to the Omnicoach service. The service then analyzes the user’s gameplay and provides advice to improve their in-game strategy. For esports teams, however, it can go even deeper.
How can esports teams use this type of service?
Esport teams can use this service to monetize their audience by utilizing Omnicoach’s white-label business model. Esports teams and organizations can personalize the entire system, from slapping team logos on the training module to customizing missions and quests, Omnicoach can be the perfect service for esports organizations looking to increase their profitability.
Through Omnicoach’s dynamic contextual advertising model, teams can link branded content and products to special missions and quests. This way, using the service becomes part of an event-based reward system that activates the fan base and creates an interactive experience within the gaming community. These special missions and quests can be sponsored by non-endemic companies, providing sponsorship opportunities made possible through Omnicoach’s service.
Teams can ensure long-term community engagement by creating continuous educational content and special missions requiring mastery of previously-learned tips. By consistently releasing new content, it creates a cycle of regular community engagement built around quests and challenges that reward fans with branded rewards. This system would build up community involvement, create consistent sponsorships opportunities, and create a buzz within the esports community at large.
This system could be attractive to esport team sponsors invested in growing their visibility among the coveted esports demographic. By partnering with esports teams, these companies are already speaking to an untapped market with strong brand affinity. Using sponsored products as the reward for completion of quests and missions would immediately develop a loyalty between the consumer and the brand.
Current revenue streams of esports teams
Despite the successes of the esports industry as a whole, team revenue streams are somewhat limited. Around 70-80% of team revenue comes from sponsorships and advertising. The remaining 20-30% comes from ticket sales, merchandising, and media rights. In the age of COVID, ticket sales for in-person events have either disappeared or reduced substantially.
With a big chunk of the revenue missing, teams need another source of income. The entire economic model of esports teams is tenuous. Sponsorships and merchandise revenue come and go based on team success and game popularity. Ticket sales are also dependent on these factors as well as unforeseen public health crises.
With all this in mind, esports organizations must become creative to spur community excitement and generate new revenue streams. Esports fan bases are ready to support their favorite teams and are awaiting the right opportunity to invest their hard-earned money. For organizations hoping to capitalize on this hole in the market, Omnicoach is here to help.
Written by Chris Connors | image credit: omnicoach.gg