With the continued rise of esports and esports betting, now might be the time to start investing in the industry. One company to consider is Esports Entertainment Group (EEG) (NASDAQ: GMBL). EEG is a licensed online gambling company focused on esports. They offer customers and fans the opportunity to bet on all esports events, including the opportunity to participate in video game tournaments for mobile devices, consoles and PC for cash prizes. With a solid strategy, great partnerships, and strategic acquisitions, it might be time to invest in Esports Entertainment Group.
EEG operates its business based on a three pillar strategy: Esports Entertainment & Infrastructure, Esports Wagering and iGaming & Traditional Sports Betting. All three pillars work in synergy to provide the best possible products for both consumers and investors.
Jaycee Tenn of Benzinga describes each of the pillars:
- Esports, entertainment and infrastructure – the first pillar consists of EGL (tournament platform), Helix eSports (entertainment center), ggCircuit (cloud-based software for gaming centers) and Genji (e-sports analytics provider)
- Esports betting – the second pillar consists of both (e-sports betting platform and LANduel (player vs. player video game betting platform)
- iGaming and traditional sports betting – the third pillar consists of Argyll Entertainment (traditional sportsbook and iGaming) operating under the SportNation brands and
2020 was a great year in terms of partnerships for EEG (NASDAQ: GMBL), mainly in the traditional sports arena:
- Philadelphia Eagles – NFL
- Philadelphia Union – MLS
- LA Galaxy – MLS and LA Kings – NHL
All partnerships were formed for teams to find new ways to connect with their fans in a unique way. EEG will host brand tournaments for teams to interact and engage with their fans, in an effort to also show the appeal of how esports and traditional sports can match up with the same group of people. Especially with the previous and upcoming seasons for these teams allowing fans to be limited or nil, teams needed to find another way to engage with their audiences, and EEG is a perfect way to do that through the different assets and products that they have. acquired. As we see more big-name brands using esports and games to connect with potential consumers, so do professional sports leagues and organizations. Everyone wants to keep growing their global audience and consumer base, and right now this is the industry that can do that.
They also previously partnered with Allied Esports (NASDAQ: AESE) to launch the VIE.gg CS: GO Legend Series tournament, which was a huge success overall. The tournament resulted in a 400% increase in new registered users and a 300% increase in customer deposits for VIE.gg during the two-week tournament period compared to the previous two weeks.
It wasn’t just those partnerships that made EEG (NASDAQ: GMBL) have a great year, and some of those partnerships wouldn’t be possible without some of the key acquisitions they made in 2020:
Helix eSports and ggCircuit
- Helix eSports operates five gaming venues in the US, including one located in Massachusetts in association with Kraft Group, which is home to the Boston uprising of the Overwatch League.
- Helix also merged with Team Genji, an esports analytics company that already has an existing relationship with FIFA and the NBA 2K League.
- ggCircuit offers a cloud-based management system, tournament platform, and integrated point-of-sale solutions for business clients.
- Its network contains more than 1,000 connected locations, with customers ranging from GameStop, Dell, Best Buy, and Lenovo, among many others.
- Online casino and sports betting operator with UK and Irish markets
- Acquisition includes flagship gaming brand SportNation.bet
Esports games league
- Provider of live and online esports events and tournaments
- Services include full turnkey esports events, live stream production, game launches, and online brand tournaments.
- It will be used in partnerships with the main professional sports teams to carry out their tournaments and events.
- A Maltese Licensed Online Casino Operator
- Attracts more than 30,000 monthly active players
These acquisitions should help EEG take advantage of esports betting and tournament growth. Now they can meet the needs of their customers globally through esports tournaments, events, betting, and casino games. Together, they will lead to increased interest and engagement from consumers, potential investors and partners, which is evident through some of the new partnerships that were formed based on these acquisitions. Their moves have allowed them to hit every pillar of their business strategy, and everything seems to be coming together for EEG to move forward.
Esports Entertainment Group (NASDAQ: GMBL) has not reached its full potential. Even as a small-cap organization with its market capitalization currently below $ 100 million, there is substantial room for growth in this market, and with these new partnerships and acquisitions ready to be a part of the organization for one year. complete for the first time, 2021 could be important for EEG. They have been firmly committed to their three-pillar business strategy going forward and have made massive decisions under that guidance for the future. This might be the right time to get involved, as esports betting continues to rise globally, and EEG is set to go along with it.