The top fantasy game apps in India are raining money on the Indian market for online gaming. It is because the craze for online fantasy sports is phenomenal. Moreover, fantasy gaming platforms provide an opportunity to play fantasy games with live users.
Fantasy, e-sports, e-gaming, and real money gaming have grown massively in the last two years. A study suggests the number of online gamers may touch 420 million, and the industry expects it to reach 500 million in FY25. Every gaming platform is trying to cash in on it.
The enormous market opportunity has forced investors to take the Indian gaming market seriously. It has prompted many startup enthusiasts to explore the online gaming space. It has triggered cutthroat competition to capture a larger share of the $500 million pie by FY25.
Fantasy Sports Apps Highlights
- 7 out of 15 top fantasy sports platforms are profitable.
- Seven sports apps witnessed over 100% jump in their ad spend
- The top 15 fantasy sports apps collectively spent over 5000 crores on ads, campaigns, promotions, and sponsorships
- The 15-leading revenue-generating fantasy gaming companies contributed 9093 crores in topline during FY22
- Interestingly, the companies’ total ad spend is half of their revenue
Top revenue generating and ads spend company in the fantasy gaming space
The leading fantasy gaming company hired top-ranking cricketers and celebrities as brand ambassadors. The leading revenue-generating company in the fantasy sports space in India boasts over 50 million active subscribers. It forms 42.2% of the total industry revenues.
The company registered a revenue of 3841 crores during FY22. The company’s total ad spend in FY22 was 2158 crore. It alone spent 41.5% of the overall ad spend of these top 15 companies. The company witnessed a 50.4% increase in revenue but a 72.8% increase in ad spend between FY21 and FY22.
Profitability quotient of the top fantasy sports companies
All four leading companies in the fantasy sports space registered huge profits in FY22, but one posted a loss of over Rs 1000 crore during the fiscal year. A public company in the fantasy gaming space posted 50.7 crores in FY22 and 55.8 crores in three quarters (April to December) of FY23 as profits.
However, the enormous ad spending continues unabated by these companies in FY23. You must have witnessed the exorbitant ad spend by the top fantasy game leaders in the recently concluded Indian T20 League 2023. With the burgeoning gaming population, the number of players in space may increase manifold, as is the competition.
Impact of Regulations on the Fantasy Sports Industry
The gaming ecosystem in India is attracting a lot of investment from venture capitalists. The government introduced a regulatory body, but excessive regulation can curtail growth potential.
The Federation of Indian Fantasy Sports (FIFS) has developed a self-regulatory framework.
It aims to implement fair play on the gaming platforms in India. The fair play included responsible gaming, data protection, the privacy of the users, and payment security. The fantasy sports companies must ensure it. The framework issued guidelines for fair play to ensure integrity within the industry.
Keeping government regulation at bay
The fantasy gaming companies may try to keep government regulation at a minimum, but will they succeed? It surprised many onlookers to see the Indian official approaching to regulate the fantasy gaming space. In a highly-competitive market, fantasy companies and startups might push things too far and invite action.
Read More:
1. Multiple Teams In Fantasy Cricket Boost Winnability
2. 5 Most Popular Fantasy Sports In The World
3. What Is Fantasy In “Fantasy” Games?