Video game retailer GameStop has revealed plans to move into the esports market. Find out about their ambitious plans and how this will transform the sector.
GameStop was recently at the center of a movement that rocked the world of investment, leaving permanent questions to be answered about social media’s role in determining the price. With amateurs investors determined to drive up the company’s value and wrecking the big-money players who had shorted the stock, shockwaves rippled through the market that won’t be quickly forgotten.
Things have now settled back to a more normal state of affairs, and GameStop are looking ahead to their future. Currently known for its role in the video game industry, the retailer has announced that it plans to switch its focus to esports.
We take a closer look at the change in emphasis at GameStop and what this could mean for the esports industry.
The Opportunities That Esports Offer
It’s estimated that in 2020, esports broke the $1.5 billion mark globally. In other words for competitive gaming, esports provides an organized structure for players to compete against each other for cash prizes. With millions of fans worldwide, some of the top esports tournaments are enormous.
As an industry that is rocketing in popularity, it carries the chance for lucrative investments. In the last five years alone, the total audience has more than doubled, and revenue has increased almost fivefold. Despite the growth which has already been achieved, experts believe that the industry has a long way to go. There are a variety of methods of investing in esports and gaming markets. It includes CFDs based on the companies that produce the games and others that follow the tech, which enable the production.
With the anticipation that this market will continue to increase at such a significant rate, it’s little surprise that GameStop believes this is the correct direction. It’s an approach which many investors have adopted, with the expectation that there are lots more yet to come.
Transforming the Market
Although GameStop has found itself in the doldrums before the recent stock market surge, the retailer believes that esports could turn its fortunes around.
The company have already revealed a series of partnerships that it hopes will help them to carve out success in their new venture. These include a collaboration with Complexity Gaming, one of the top esports teams in North America, which is part-owned by the Dallas Cowboys owner.
This deal with Complexity Gaming is ambitious. Together, the two companies plan to open the GameStop Performance Center in Frisco, Texas. This will be the brand new headquarters for Complexity and will also be the country’s best esports facility.
Included at the center will be a public gaming zone for players and fans alike, plus the opportunity to access performance training data analytics, a video studio, and the most advanced gaming equipment. GameStop’s chief marketing officer has said that the two companies have the vision to increase professionalism in the sector and want to provide world-class facilities that will create a positive effect for the coming decades.
This forward-thinking mission is just one aspect of GameStop’s plans. It has also linked up with college-level providers to promote the next generation of players and is collaborating with several top esports teams.
GameStop hopes to move away from the limping video game high street market, and in so doing, become one of the main influences in driving cultural change within esports by leveraging its brand name.
