IPL 2020 began in UAE and is missed by the live audience base due to the ongoing pandemic. The stadiums’ chaos and the crowd shifted to the online streaming platform, and everything abruptly changed to being fantasy-based.
Dream11 entered the sports event as the title sponsor. With the involvement of several fantasy sports applications in the sponsorship, the mega event of IPL 2020 shifted to UAE and postponed by six months, instead of getting canceled. For the start-ups of fantasy sports applications, the mega-events are the sources for higher customer acquisition and engagement. With the materialization of IPL, everything is now in their support.
In these apps, the users develop their virtual teams and pay for the same and ensure their entrance in the games by directly linking with them. These start-ups spend a significant amount on the sponsorships to get the best marketing. And with IPL, their advertisement, visibility, and earnings are all raised with millions of dollars of betting ensured with their platforms.
Recently, Dream11 acquired 225 million USD from Tiger Global and a few others in a funding round. That added to its acquisition of 100 million USD in 2018 that it received from Tencent, a social media and gaming company of China. MPL, on the other hand, is another fantasy and competitive gaming platform, and it acquired 90 million USD from funding in the previous week. Earlier, it also received a sum of 40.5 million USD from Sequoia and other firms.
A race to acquire a higher fan base
With the industry’s surge, there is a race going on between all the fantasy sports applications for higher user acquisition. Google says: “Our policies don’t allow online casinos or support any unregulated gambling apps that facilitate sports betting, including daily fantasy sports in India,” and still, this does not affect the popularity of the fantasy games.
With the Indian Cricket icons as the supporters and the ambassadors of these applications, they can target the younger generation. “MS Dhoni” is associated with “Dream11“, “Virat Kohli” with “MPL“, and Sachin Tendulkar with Paytm First Games, and apart from these, the BCCI’s president Saurav Ganguli also promotes My11Circle.
Among all the Indian fantasy sports platforms, Dream11 is the most prominent and oldest and unicorn. It has been in the year since the beginning of IPL in 2008. However, MPL is a newer one that made its entrance just two years back and conquered the market.
A modified short version of WCC is on MPL, for those who like that format of playing, as it is an additional avenue for monetization.Rajendra PR
Nextwave and MPL also collaborate on revenue shares that rise from the users’ losses after deducting the winners’ amount.
Fantasy is a quarter of our business, so we’re not dependent on real-life events as much as other fantasy apps. Once we proved a product-market as revenue was getting generated, content started flowing in from developers.” Previously, MPL started as a licensed platform that soon transformed into a shared-revenue one with the growing users.Shubh Malhotra
Monetization of MPL:
Developers earn money from their creations after selling them, providing subscription features, or with the help of competitive gaming. Mr. Malhotra also unveiled some facts about the monetization of MPL, stating,
We generate good revenue for more than three-quarters of our game developers. Some of them will end up generating a million dollars in revenue from our platform.Mr. Malhotra
Recently, the Karnataka government joined hands with MPL to organize an online chess tournament for fundraising for the COVID affected people, and Mr. Malhotra commented on the same: “Over 1.5 lakh players participated in our COVID chess tournament.”
The players paid 50INr as a fee for the tournament, and the whole sum generated from all was 10 lakh INR. After deducting the winning amount, the remaining amount was 6.5 lakh INR, which went away for the relief cases.