Twitch has a lions share dominance on the live streaming segment of entertainment. The Site which was introduced in 2011 as a spin-off of the general streaming platform Justin.tv became immensely popular with eSports booming and gaining many viewers in a very short span of time. Content on the site can either be viewed live or via video on demand.
The success of the streaming platform was given a value when Amazon bought out the company in 2015 for $970 million. With Esports growing at a phenomenon pace, Twitch is leading the charge to get eSports n the front page.
Twitch has started investing back into eSports teams. Turning their revenue inwards, the streaming platform has announced it will now act as their official sales representative to interested brands looking to reach their combined audience. These are two separate deals that will be forthcoming. The TSM And Cloud9 players would stream exclusively on Twitch for the foreseeable future.
The two teams are differently structured and their needs and deals would also be different. As such the contracts signed would be exclusive to the teams and not be a replicate of each other. By this move, Twitch aims to bring in non-endemic sponsors into eSports.
One of the biggest causes for this move seems to be the Riot induced model almost falling flat on its face earlier this year. The team owners had begun to complain that the system was not feasible for the teams with hardly any teams making profits. This forced Riot to turn to crowdfunding ( a move that it had derided earlier). Twitch aims to become the sole Sponsorship Sales representative of the major teams in the eSports scene. This would allow it to leverage better deals for the teams and the players.
“We’re thrilled Twitch will be representing TSM for future sponsorships,” Reginald said in a statement. “This will allow us to focus on developing long-term careers for our players and creating content for our fans.”
Twitch has been instrumental in supporting new and upcoming games. They are always looking for oppurtunities to develop the esports scene and are encouraging new users to constantly stream on their platform.
“Twitch’s global sales team is nearly 100 people strong, with offices literally around the globe,” Salvatore told Dot Esports. “We’ve built a robust sponsorship sales organization within that team who’ll be leveraging the infrastructure and reach of our group as a whole on the direct sales side. And we’ve built a sponsorship operations group devoted entirely to the tactical execution of sponsorships, ensuring top-notch service to both sponsors and our teams.”