The Explosive Growth of Indian Mobile Gaming
The Indian mobile gaming industry is on the verge of breaking out to be one of the biggest markets for mobile gaming. Market projections indicate a substantial valuation of US$151.60 million by 2024, marking the beginning of an exceptional growth trajectory. With a projected annual growth rate of 7.02% from 2024 to 2027, the market volume is anticipated to reach an impressive US$185.80 million, demonstrating remarkable momentum in the sector.
The overall Indian gaming market presents even more compelling figures, with valuations increasing from US$2.6 billion in FY22 to a projected US$8.6 billion by FY27. This exponential growth is particularly evident in the midcore gaming segment, where titles such as Battlegrounds Mobile India and Free Fire are demonstrating exceptional performance metrics, achieving 32% growth and generating cumulative revenues of US$550 million. The market's robust expansion is further evidenced by the significant 28% revenue increase to 1.2 billion dollars in 2021, with projections indicating a trajectory toward 2 billion dollars by 2024, positioning India as an emerging leader in the global gaming market.
In this blog, we’ll decode the numbers behind India’s exponential growth in mobile esports and what exactly it means for brands looking to make a splash in India’s growing gaming scene.
The Rise of the Indian Mobile Esports
The demographics of India's mobile gaming sector presents brand-new opportunities for brands, with projections indicating a user base expansion to 239.6 million by 2027. The penetration metrics also show substantial growth potential, advancing from 14.6% in 2024 to an anticipated 16.3% by 2027. India's significance in the global gaming ecosystem is underscored by its representation of one-tenth of the world's gaming population, supported by the nation's position as the second-largest smartphone market globally.
The mobile consumer landscape is also projected to expand to 387 million users, effectively doubling previous figures. This remarkable growth is facilitated by a reduction in data costs thanks to the Jio revolution substantially improving accessibility and engagement opportunities for gamers and brands alike.
Historical data from 2017 provides context for this growth, recording 222 million mobile gamers who generated 89% of India's gaming revenue. Engagement metrics also show exceptional user commitment, with approximately one-third of users engaging with mobile games five days per week, while 40% of the user base dedicates more than six hours weekly to gaming activities. These statistics underscore the deep integration of mobile gaming into Indian digital culture.
Brands Betting Big on Indian Esports
The investment landscape within Indian esports demonstrates significant corporate confidence, exemplified by Krafton CEO CH Kim's strategic US$170 million investment in gaming and adjacent industries. This investment strategy development of India-specific games, including BGMI, Bullet Echo India, and Road To Valor Empires, representing a commitment to local market development and content creation.
The COVID-19 pandemic also served as a catalyst for huge growth in online gaming advertising and sponsorship, resulting in a remarkable 300%-400% increase in sector activity. Major beverage corporations, including Red Bull, Mountain Dew, and Coca Cola, have established significant presence in esports events and team sponsorships, both within India and internationally, recognizing the strategic value of association with digital sports entertainment.
Technology companies such as OPPO and Loco demonstrate continued commitment through substantial investments in PUBG Mobile/BGMI tournaments. This strategic focus targets the crucial 18-30 demographic, facilitating authentic brand interactions while building recall. The engagement metrics are particularly compelling, with average esports viewers consuming more than 22 hours of weekly content on streaming platforms such as Twitch and YouTube.
Hyundai and Swiggy sponsored the BGMI Masters Series, a popular Battlegrounds Mobile India tournament, showcasing their commitment to reaching a younger demographic. Paint company Nippon Paint has backed Skyesports' franchise-model league tournaments, demonstrating the diverse range of brands entering the esports space. Mercedes-Benz, the luxury car manufacturer has partnered with ESL India, sponsoring their esports circuit. This collaboration highlights the growing appeal of esports to premium brands.
The roster of premium brands establishing strategic partnerships within the esports ecosystem continues to expand, including industry leaders such as Dell-Alienware, Red Bull, Mercedes, Disney+Hotstar, Intel, and Nvidia. This diverse corporate participation demonstrates the sector's broad appeal and sustainable growth potential, while facilitating enhanced viewer experiences and technological advancement.
Beyond Esports Sponsorships: Bringing Gaming to the Mainstream
Brands have also found other ways to bring gaming to the mainstream other than just sponsoring esports tournaments. This works both ways; for brands, it's an opportunity to connect with a highly engaged, tech-savvy audience. For esports, it's a chance to gain legitimacy, expand reach, and secure the financial backing needed to evolve into a mainstream entertainment powerhouse.
For example, KFC partnered with KRAFTON to release the KFC Zinger Box with BGMI rewards. Keeping in theme with the Winner Winner Chicken Dinner line, they released a Winner Winner Chicken Lunch combo. This further reinforced the idea of victory in game with a combo offered, while also capitalizing in-game with an event and limited-time cosmetics.
KFC also joined forces with OR Esports as the 'Winner Winner Chicken Dinner' sponsor for their Battlegrounds Mobile India (BGMI) team. More than just putting a logo on a jersey, the partnership saw KFC seamlessly integrated into team uniforms and streaming content, creating a natural association between victories in BGMI and the brand's iconic slogan.
Recognizing the massive potential of the Indian gaming market, Taco Bell also made a strategic move by partnering with Upthrust Esports. This collaboration was more than just brand presence; it also created a cultural connection between food and gaming, two passions that often go hand-in-hand for many enthusiasts.
Vodafone Idea also launched a grassroots initiative with the 'Vi Game to Fame' tournament. This IP demonstrates Vi's commitment to nurturing talent and providing a platform for aspiring gamers, aligning perfectly with the brand's broader digital entertainment strategy.
The Bingo! Nachos GAMEON CUP is also a prime example of how brands can create immersive experiences that resonate with the gaming community. This tournament was a full-fledged brand activation that turned gamers into brand advocates. By offering substantial cash prizes, the tournament tapped into the competitive nature of gamers, driving participation and viewership.
Government Initiatives Powering Up Indian Esports
The Indian government's strategic approach to sector development is exemplified by the Digital Gaming Research Initiative, representing a commitment to advancing the domestic gaming industry. The recent SERB-INAE Conclave demonstrated this commitment through focused discussions on proprietary technology platform development, culturally resonant game design, and educational gaming applications.
The establishment of the Animation, Visual Effects, Gaming and Comic (AVGC) Promotion Task Force further demonstrates governmental support for industry development. This initiative represents recognition of the Indian AVGC industry's potential for global market leadership and its role in advancing national initiatives such as 'Make in India' and 'Brand India.'
Capitalizing on India's Esports Boom: Strategic Opportunities for Brands
The explosive growth of India's esports market presents a golden opportunity for brands to connect with a young, tech-savvy audience. With projections indicating a market valuation of US$185.80 million by 2027, strategic investments in this space can yield significant returns for forward-thinking companies.
Creating Gaming Content for India: With the appetite for consuming gaming content growing by the day, creating or sponsoring branded gaming content for India-specific games can be an impactful way to advertise. Localized content that speaks directly to the Indian gaming community ensures cultural relevance and deeper audience connection while putting your brand in front of Indian gamers.
Sponsoring Tournaments and Indian Teams: By sponsoring high-profile tournaments or popular Indian teams, brands can gain significant visibility within the esports ecosystem. This strategy not only increases brand awareness but also builds credibility among the gaming community, also allowing brands to connect with the audiences of esports gamers.
Influencer Partnerships: As shown by our past coverage of Indian gaming influencers, collaborating with popular esports players and streamers can help brands authentically reach their target audience. These influencers often have highly engaged followings, providing a direct line to potential consumers.
Branded In-Game Content: Creating branded skins, emotes, or other in-game items can provide a unique way for brands to integrate into the gaming experience. This has the doubled effect of exclusivity in games, while also creating brand visibility through an in-game format.
Conclusion
The convergence of technological advancement, governmental support, substantial market potential, and demographic engagement positions India for global leadership in mobile esports by 2025. This transformation extends beyond market growth, representing a fundamental shift in the global competitive gaming landscape. The emergence of India as a dominant force in the international esports ecosystem demonstrates the nation's capacity for digital innovation and market leadership.
The trajectory of Indian esports development indicates not merely sector growth, but the establishment of a new paradigm in global competitive gaming. The combination of strategic investment, governmental support, and demographic advantage positions India to redefine the parameters of international esports competition and market leadership by 2025.
For brands looking to capitalize on India’s growth potential in esports, Zupotsu is the right fit. Connecting brands with a variety of esports properties, content creators, and events, Zupotsu aims to play a key role in establishing the new paradigm of Indian esports while also positioning brands in the right place for impactful opportunities.
Zupotsu is a martech platform on a mission to ‘digitise’ sports marketing. Zupotsu enables the discovery, engagement and evaluation (the ‘DEE’ framework) for every sports and esports marketing asset. Please sign up at www.zupotsu.com. Follow us on Linkedin and Instagram. Reach out at ‘marketing@zupotsu.com’ for any queries.
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