Fantasy Sports Market Size

Participation in sports is growing fast. BCG predicts global sports participation is expected to increase by another one billion people by 2025, reaching 3.5 billion people. This makes sports the second most common global leisure activity after traveling, with 35% of the world’s population participating in sports at least once a month.

According to Allied Market Research, the Fantasy Sports market revenue was 15.6 Billion USD in 2019, and will reach 48.6 Billion USD in 2027, with a CAGR of 12.67%.

Total TAM 2 billion Gen z Population > India alone has 472 Million and 250 Million SOM

In terms of platform-wise segmentation, the mobile application outperforms website-based platforms. During the 2020-27 period, the mobile segment is expected to grow even bigger as it will continue to enjoy a double-digit CAGR of 14.8%.

If viewed according to demographics, then the fantasy sports market can be broken down into the following age groups:

• <25 years,

• 25-40 years,

• >40 years

Of the three, the 25-40 years segment holds a significant portion of the market currently, and this trend is expected to remain the same in the near future. On the other hand, the <25 years segment will witness an exponential growth during this forecast period of 2019-2027, owing to a higher CAGR.

Ease off legality concerns

Favorable regulations and rulings have helped bolster adoption. For instance, the 2017 ruling in favor of Dream11 by the High Court of Punjab and Haryana, and subsequently by the Supreme Court of India has helped address legal issues surrounding the game.

The fantasy sports format was interpreted as a game of skill instead of a game of chance, thereby disavowing any ties to gambling. Following this, fantasy sports providers in India also promoted their product as a game of skill to reaffirm this belief. An example of this is Dream11’s “Khelo Dimaag Se” campaign which highlighted the skill-intensive nature of the game.

Synergies between Fantasy Sports and sports leagues

In recent years, fantasy sports providers are making inroads in sports leagues through sponsorships and tie-ups. A few notable examples are Dream11 becoming the official fantasy game partner of prominent cricket, kabaddi, hockey, basketball, and sports leagues. MyTeam11 is partnering up with Pro Volleyball League and Pakistan Super League. Finally, the Indian Premier League (IPL) also launched its own fantasy league.

The most popular Fantasy Sports products are

• Fantasy Football

• Fantasy Cricket

• Fantasy Hockey

• Fantasy Baseball

• Fantasy Basketball

Users of fantasy sports have exploded especially in emerging countries. With the Increased technology penetration such as smartphones, the internet, etc. & growing investment in online gaming are anticipated to drive the growth of the Global Fantasy Sports Market. The fantasy sports market is driven by the launch of various apps for fantasy sports. Key Markets are the US, China, UK, Germany, and India.

During the Covid-19 pandemic, various governments imposed movement restrictions that shifted individual's fun time from going out to online games but the fantasy market has witnessed a significant fall during lockdown due to cancelled major sporting events around the globe.

The fantasy sport market has started regaining its growth after lockdown as the events are organized without real audience and the market growth is expected to rise in the coming time.