The NBA 2K League attracts more businesses to sign up. The NBA 2K League is drawing more sponsors. 14 of the NBA 2K League's marketing partners were present in the current season. The partnership included five new ones, including one with GameStop and Jostens as well as SAP, Tissot & Tissot. DoorDash was the sponsor for the NBA 2K League Playoffs, Finals.
Because of the enthusiasm of its fans, Esports can offer a lucrative commercial opportunity. Donohue states that the fans are so passionate about Esports that brands can easily attach themselves to it. "Our average player spends about 30 hours per week playing video games. This is a strong base of players.
Donohue believes that the NBA 2K League has experienced a rapid growth in partnerships due to the combination between companies that recognize that esports is an emerging market and an exponential rise of fans. It was already happening. The increase in fan participation only fuels that flame. This was because every brand we talked to about partnerships decided that they wanted to participate in esports. Now, it is trying to figure out how.
Businesses must be aware of potential dangers when entering a new industry like esports. Andre Iguodala was a former Golden State Warrior and is now a well known tech entrepreneur. He was also known by the nickname "The Wild Wild West". The NBA was willing and able to take this risk. Donohue says, "It's in 2K’s DNA to innovate." He also stated that NBA owners are "aware of the future, and this will only increase." So I believe there's more risk in not doing it than in doing it.
Fears that esports might be a fringe idea and that it could engage avid gamers are false. However, they have been proven to have very little commercial value. Forbes last year reported that the worldwide esports industry was estimated to reach more than $1.1 billion in 2019.
Donohue said that our discussions have changed significantly over the past three year, and three seasons since their inception. Kirk Lacob, Warriors Assistant manager, told me recently that esports was "absolutely maturing".
Donohue discusses how inviting partners can benefit from a league managed by the NBA. "Having the NBA 2K brand means that we have great relationships with many of these partners. We sort of take their hand, and help them navigate eSports. We can help them to understand how they can tap into eSports in order to boost their brand.
The NBA 2K League provides companies with another advantage: it is easy to understand. Donohue says that esports can be challenging for some. The games are not only for players. Donohue said that basketball is easy to learn if you have a good understanding of it.
You may also see advertising within the game. Donohue stated that it's quite common to view the basketball game on courtside signs. This allows players to "be an integrated part" of the online experience.
Because of its passionate fans, the NBA 2K League is a very well-known and profitable product. Donohue stated that "we feel...we're just scratching the surface." He points out the huge potential of the nearly 1.9 billion NBA 2K League League followers on social media.
Another possibility is that NBA 2K might be used to draw in new basketball fans, as Ted Leonsis, Washington Wizards owner, and media mogul suggested. Donohue is a good example and is located close to where I live. My son was playing 2K, and then he stopped talking to me. I asked him to quote Steph Curry from the Warriors roster. He then said, "How can he be up till 10 o'clock in the night to watch these games?" He's seven years old. He's still learning about 2K and who's best based on their scores.
Donohue believes it demonstrates the "transformation” in the way youth consume media and its evolution. The NBA is learning more about new viewers and what they want. Donohue said that esports are different than traditional sports in that they harness the power and influence players.
Twitch chat features are an excellent example of this. The Twitch chat feature is always active. We monitor it to keep our viewers interested, but it's also a great tool to receive instant feedback and to make improvements to our programming. It's about "hey fans want the camera angle, as well as behind-the-scenes material" Donohue describes as "almost becoming an expectation of younger customers, which is that you're actually listening."
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