The broader ecosystem is something that we need to look into before taking time out in the online fantasy sports market and its impact on itself
Prashant Rao, Partner, TMT Consulting, Deloitte spoke about the benefits of online fantasy sports in India and said with the highly energetic youth who are performing a base of 1.4 billion, India is also creating a huge amount of economic activity. The sports market in India is growing 3 times faster and the number of sports watchers is 800 million. This greatly motivates our youth to take up the profession of sports and sports. There are 13 crore Indians playing fantasy sports and it is not always about money. They have also played free games to enjoy the game, they want to feel empowered. Another interesting fact about which they came to know during the study is that people in the age group of 25 to 40 are the maximum number of players who play fantasy games.
‘A Multi-Pronged Impact’ – An estimated revenue of Rs 4,400 crore was generated by online fantasy sports operators in FY21. 800 crore contribution towards GST in FY 2011. 4750 crore indirect revenue generated in other allied industries. 3500 crore attracted as FDI. 8400+ jobs created in the form of direct and indirect employment.
The Sunshine Factor
The online fantasy sports industry is expecting 10,000 Cr foreign direct investment. A total of 15,000 Cr Projected cumulative tax contribution, 89,000 Cr is the projected market size (basis CEA), around 13,300 Cr projected operator revenue, and 14,300 cr indirect revenue potential. According to Joy Bhattacharya, Sports Producer & VP, Baseline Ventures, the main growth drivers are easy access to the internet, availability of technology. India is the largest mobile market and the area of interest of the players.
When you are working against top-5 or top-10 operators, wide label solutions won’t really work. “There are mix growth factors,” said Nikhil Vyas, Managing Partner & CEO, ITW Mediaworx. He further added that there have to be some unique offerings that would differentiate one product from another like live streaming integration, offering gateway is a basic thing these days, but at the same time, faster withdrawal is something that will build trust and can be a differentiating factor too cause once you lose a customer due to delayed payment and it is really difficult to retain the same set of costumer again.
Social Media And Fantasy Sports
Everybody knows what social media is and what social apps do. But social+ and social+apps people and community meet a purpose, Vishal Kapoor, Sales Leader, Mid Market, Sendbird, said that a social+ combines community and network of a social product with a specific category or experience. In comparison to online communities, social+ companies have two layers. The interaction layer is more of an emotional touch and cognitive side of users, on the other hand, the transaction layer is a more rational and functional layer. He also stated other characteristics of social+ companies like
· A unique and proprietary social graph that is purpose-built for that product (they own the community).
· The social graph is critical to the product (social experience needs to be integral to the experience).
· Peer-to-peer social engagement is baked into the product itself (authentic engagement between users).
The comments of the speakers were recorded during an online forum