Esports looking for acceptance as one of the top three sports in India, says NODWIN Gaming MD

Gaming is more okay in most people’s lives post-pandemic and is not scorned as much, says Rathee

Esports marked its debut as a full-fledged medal event at the Hangzhou Asian Games this year. It was only a 'demonstration event' at the 2018 Asian Games. This year, India participated in four of the seven total titles: DOTA 2, EA Sports FC Online, League of Legends, and Street Fighter V: Champion Edition. With the nation’s 15-member squad in action, Akshat Rathee, Managing Director of NODWIN Gaming, a subsidiary of publicly listed digital gaming firm Nazara Technologies, shares the significance of India’s participation in the Asian Games and the path ahead. Edited excerpts from the interaction.

What significance does esports being in Asian games have on the industry's growth?

As an official medal sport, the Asian Games offer the legitimacy that comes with an official event. Just like the Commonwealth Games and the Olympics, the Asian Games additionally bring fame and prestige to the country if the players are successful. The coverage of mainstream media that is offered, if we win, allows the perfect combination of pride and recognition that helps the industry grow.

What are the challenges that still need to be addressed to drive further adoption of esports in India?

Esports in India is looking for acceptance as one of the top three sports in India. However, unlike the current top three sports (cricket, kabaddi, and football), we are nowhere close to acceptance for this from the government and the public at large. This, fortunately, is changing fairly rapidly, and we would like this momentum to continue. The BGMS on Star Sports, the BGIS at the Dome, Dreamhack with the government of Telangana, the MP Academy on gaming, the UP government partnership for FreeFire, and now the Asian Games participation are all great initiatives that are expanding the industry for everyone.

India has been one of the biggest markets for mobile game downloads but has lagged in consumer spending. Where do you see India in terms of consumer spending over the next five years?

Indian consumer spending has always been smaller per ticket size but huge in aggregate. Look at our FMCG market (shampoo sachets, ParleG, etc.) or telecom (lowest call rates and data rates in the world) that still generate billions of dollars. We have always been value-conscious, and once you build traction, you see that even games like FreeFire and BGMI earned millions. This fact extrapolated in the future will always have a different cohort of users that will grow differentially. The early adopters will have higher spends as India develops, and the TAM (Total Addressable Market) increase from feature phones to smartphones and regional buildouts will increase the overall value of the Indian market. The market will remain in a build phase for the next couple of years and reward everyone who perseveres with it.

What has been the trigger for the shift in gaming habits among consumers in the last few years?

The age demographic is the first and easiest one. Additionally, consumption increases as a percentage of the daily time available on screens, and hence, gaming has allowed for an incremental shift. Gaming is also more okay in most people’s lives post-pandemic and is not scorned as much. Finally, regional growth beyond the English and Hindi markets is the final differentiator and looks like this will accelerate in the coming years.