SVP of Sports Gareth Crook discusses one of the fastest growing markets in sports betting
By Gareth Crook, SVP of Sports at Pragmatic Play
Ten years ago, betting on esports was little more than a curiosity – limited markets catering predominantly to die-hard fans. Today, it’s a major player in the global betting scene. Just look at the recent Esports World Cup: millions of viewers, huge betting volumes, and proof that esports has stepped out of the shadows to challenge traditional sports for attention and revenue.
Today, the esports industry is worth over $4.8 billion worldwide* and remains one of the fastest-growing areas in sports betting. The timing is right: shifting regulations, smarter sportsbooks, and changing player behaviour are all fuelling mainstream adoption.
Sportsbooks now go far beyond offering token esports markets. Players get in-depth betting options, live in-play action, and products tailored specifically for big titles. Regulators across the globe are also creating esports-specific frameworks, reducing the risk for operators and freeing them to invest in product innovation and marketing. In the UK for example, the Gambling Commission has formally classified esports as ‘real event betting’, allowing licensed operators to offer esports markets under the same regulatory umbrella as traditional sports. This clarity has encouraged major brands to build out dedicated esports verticals rather than treating it as a niche add-on.
Most importantly, esports fits perfectly with the latest generation of bettors aged 18 and over. Gen Z and Millennials, raised on interactive digital experiences, are drawn to the immediacy of esports betting. Micro markets – such as predicting the outcome of the next round in Counter-Strike 2 (CS2) or whether a League of Legends team will secure a key objective – tap into that demand for real-time, rapid-fire engagement. To deliver this, operators not only need access to advanced technology and official live data, ut also seamless integrations that ensure instant, reliable market updates.
That’s because esports isn’t a single sport. It’s an ecosystem of very different competitive worlds. A tactical shooter like CS2 plays nothing like a MOBA such as Dota 2, which in turn has little in common with sports sims like FIFA. Even within genres, the nuances are significant. Treating esports as a “one size fits all” single vertical is the quickest way to miss its potential.
The media environment is also unique. Platforms such as Twitch and YouTube have fuelled modern esports, which is driven by streamers and content creators who often carry as much influence as the teams themselves. Add celebrity investors like David Beckham, Shaquille O’Neal, and Sergio Agüero and the lines between esports and traditional sport blur even further. For betting operators, this crossover offers huge opportunities, but only if they embrace content-led engagement: live stats, highlights, and community interaction.
And of course, the tentpole tournaments such as the Esports World Cup, CS2 Majors, The International, and the League of Legends World Championship are golden moments for onboarding new bettors, showcasing features, and cross-promoting titles.
My first memory of gaming was the VIC 20 followed by the Spectrum and later the Amiga. At the time I genuinely thought we were middle class simply because we owned one. Hours were lost on Daley Thompson’s Decathlon, Speedball, and of course Football Manager which still exists to this day. My wrist is still hurting from sprinting the hundred metres on that plastic joystick. Fast forward 30 to 40 years and who would have predicted that betting on computer games (now defined as esports) would become a staple of the global sportsbook.
At Pragmatic Play Sports we recognised this as one of the industry’s biggest product gaps. With the launch of six leading esports titles we have not only closed that gap but also positioned ourselves to help operators capture what is fast becoming a critical growth vertical.
Looking back five to ten years ago when I was leading a UK based sportsbook operator, the industry was already talking about the potential of esports. The prediction was that it would quickly dominate sports betting globally. I will admit that I was sceptical. Esports has certainly grown but it has not yet achieved dominance in all territories. Adoption is uneven: significant penetration is already visible in certain Asian markets while many parts of Europe are still some way behind.
Our early data confirms some clear patterns and dispels certain myths:
These insights already influence how we design our product. For example, efootball as a category is now placed prominently on in-play football pages, facilitating cross sell between classic football and related esports titles.
For operators the challenge is not whether to offer esports; it is how to serve two very different demographics. Esports can act as a bridge for classic sports bettors. With more than 35,000 events traded every month and a 24/7 schedule the product is perfectly suited to sit alongside traditional sports and attract crossover activity. At the same time there is a separate “esports first” audience that expects an entirely different experience. Esports purists will not appreciate a standard sportsbook layout; they demand a user interface more closely aligned to the platforms they already use such as Twitch. Catering to both groups may require dedicated landing pages or alternative user journeys.
There is also a regulatory perspective. In many regions esports betting is not yet treated as a staple sportsbook product. Some regulators restrict its use altogether. This will evolve. Esports already has official tournament organisers and official rights holders of betting data. Over time we expect esports to be regulated in the same way as football, basketball or tennis with providers and operators working together to ensure fully compliant offerings.
This is the next frontier. The operators that embrace the challenge and experiment with solutions will be the ones that capture a generation of customers raised on gaming rather than television sport. At Pragmatic Play Sports we are committed to working with partners to solve this problem together and to help operators unlock the full potential of esports.
Esports betting is still developing, but the trajectory is obvious: bigger audiences, sharper tech, and a market ready for long-term growth. From the joystick to the sportsbook, the journey has come full circle.
* www.statista.com