IPL 2024 ups trajectory for fantasy gaming; revenue expected to rise by 30% from 2023: Redseer Report

The 17th Indian Premier League (IPL) started with great anticipation. Besides the exciting matches and energetic performances, the tournament is also playing a notable role as an economic driver, fostering business growth and engagement across various sectors.

As the matches unfold, another player emerges in the economic landscape - the fantasy gaming industry. The IPL's unique format and broad appeal have made it a lucrative period for fantasy sports platforms to thrive.

Fantasy games are a kind of sports betting. Users create pretend teams using real athletes from a specific sport, and winners are decided based on points. Several organisations in India indulge in fantasy sports such as Dream11, Games 24X7, My11Circle, Mobile Premier League (MPL), Fantasy Akhada, MyTeam11, and more.

The increase in user engagement and investment during the IPL has directly propelled the rapid growth of this sector, highlighting that fantasy sports are now not just a niche hobby but a significant economic influence.

The gaming platforms are not just about watching the game, but also about playing along. In this, one will pick their dream team and score points based on how well the players do in the actual games. The user base for these platforms is booming this IPL season, impacting everything from platform adoption to digital payments.

According to an article by Redseer Strategy Consultants, a strategy advisory organisation, the fantasy sports revolution is making waves in tier 2 cities and beyond in 2024, with more than 65% of revenue coming from these local internet economies. With the ongoing trends in this IPL season, fantasy sports revenue is expected to surge by 25-30% compared to 2023, reaching $500-525 million in IPL 2024.

Fantasy gaming enthusiasts are optimistic about the continued growth during this IPL season. The primary reason for this promising trend is the increase in guaranteed cash prizes, which have doubled or even surpassed the highest prizes from typical days.

The daily active cash users in the fantasy sports market saw a 2.8X increase in revenue during IPL 2024 compared to Business-as-Usual (BAU) standards, and the gross gaming revenue of the fantasy sports market witnessed a 2.3X growth in revenue during IPL 2024 compared to BAU days. Business as usual is an umbrella term that covers all standard, day-to-day operations of a business.

In addition to this, the platforms are offering increased cash prizes. For instance, prizes for the top spot have been reaching between $375k and $500k during IPL, compared to $185k on regular days. For example, Dream 11 has introduced provisions where up to four winners can each win a minimum of $125k per day. Initiatives such as 11 Crorepatis and 50 Lakhpatis ensure that more users receive higher cash rewards.

The article also highlights that the surge of fantasy gaming during the IPL reflects a broader trend in the convergence of sports, technology, and economic activity.

With the IPL serving as a catalyst, there is an unprecedented blending of entertainment, sports, and economics, resulting in a mutually beneficial situation for different stakeholders, ranging from tech giants to local businesses in smaller cities.