Fantasy sports is a $7 billion industry
Sports fans love to get involved with their teams any way they can. Since joining a professional league is usually out of the question, fantasy sports have become the second best option for fans to get in the game. Through this online service, players get to create their dream team and become its manager. The fun and intuitive format has made fantasy sports more popular each year.
Fantasy sports have been around since 1988. According to the Fantasy Sports Trade Association (FSTA), there were about 500,000 players in Canada and the United States back then. As of 2017, the number of fantasy players increased to 59.3 million. The sector has been experiencing tremendous growth each year and has become a multibillion-dollar industry because of the support it has been getting from players and investors.
In a separate report by the FSTA, it says that fantasy sports is now a $7.22 billion industry. FSTA President Paul Charchian says that part of its growth is due to the consumers’ love for the hobby and their willingness to play with their friends and family. He adds that as the industry continues to develop, it will gain more players each year.
How fantasy sports grew to become what it is now
Fantasy sports isn’t only an online affair. According to the FSTA’s study, players have spent over $1 billion in real-life activities and items such as draft parties, food, prizes, and even fantasy memorabilia. Though people play fantasy sports through online platforms, many still prefer holding physical parties and get-togethers for league participants to partake in.
Meanwhile, India’s Dream 11 co-founder Harsh Jain said that the industry is far from done in terms of its rapid growth. He said that the willingness of sports fans to become more engaged with their teams is one of the pushing factors as to why more players are joining in, per The Economic Times.
What’s good about fantasy sports is that each country can participate in it as platforms can adopt any sports depending on what is popular in a certain area. For instance, providers could place a huge emphasis on cricket in India. Whereas for the United States, football and baseball are the common grounds for fantasy sports. As professional leagues happen on a regular basis, there is no shortage of sports fans to draw in.
Profit through fantasy sports
Another reason why people are now more eager to play than ever is that they can make money off of it. Certain platforms have adopted pay-to-play systems wherein participants have the chance to win a prize at the end of the league. Countries consider pay-to-play fantasy sports as legitimate businesses.
With the rewards system now more popular than ever, fantasy sports has branched out into a new model such as tournaments, head to head, 50/50’s and leagues, thereby increasing their chances of winning. With daily fantasy sports, players no longer have to play through leagues that are as long as seasons. They can easily learn from the mistakes of one particular playing session, and use it as an advantage in the next league.
This form of fantasy sports has the best chances of drawing in a player base, and it’s easily a lucrative business for those looking to get into the sector. Fantasy sports may be intuitive from the perspective of the players, but running a platform is far more complicated. Seeing the opportunity and the problem of accessibility at hand, companies like Global Daily Fantasy Sports, Inc. (TSX-V:DFS) has positioned itself to become one of the leaders in the sector.
DFS offers white label platforms for daily fantasy sports. What the company provides is an opportunity for sportsbook operators, land-based operators, media groups and other companies to become a part of the fantasy sports sector through a turn-key solution. It’s an exclusive B2B service that would allow operators to bridge the gap between them and the millions of sports fans all over the globe. Of course, they would also have the chance to draw the attention of those who are already big fans of fantasy sports.
Through its proven and tested platform, Global Daily Fantasy Sports (TSX-V:DFS) can provide its operators with the opportunity to create massive prize pools
The platform targets a younger audience and those who are more akin to playing on-the-go through their smartphones. Other than providing clients with a venue for fantasy sports, DFS has structured its platform to serve as an end-user acquisition, engagement and rejuvenation tool. By doing so, companies can get a hold of a bigger audience for an extended period, thus maximizing profitability.
Additionally, DFS has also entered into a 5-year exclusivity agreement with NYX Gaming Group Limited [TSX-V: NYX]. This would allow DFS to access customers from NYX’s 140 gaming and 220 sportsbook sites that it has partnered with. This deal has benefits for DFS’ operators too as they will be able to access these huge set of customers as well.
DFS has already positioned itself to be a key player in the industry, and it continues to accrue more interested clients. As major sporting events like the upcoming FIFA World Cup draws near, now is the perfect time to become a part of the fantasy sports industry.