Users on SportsHero can follow top players on the app – who can in turn charge other players a fee to follow them (up to US$100 per month) to receive their real-time sports tips and predictions. Of this, SportsHero takes 50 per cent and YuuZoo takes 50 percent.
The revenue from subscription on SportsHero is then split 50-50 between SportsHero and the person being followed, paving the way for sustainable revenue model where everyone wins. It also positions SportsHero favourably to tap into the growth of global e-sports revenues which are expected to surpass US$1.1 billion by 2019, up from US$463 million in 2016, according to Newzoo (a compounded annual growth rate of over 24 per cent).
Through the partnership, SportsHero and YuuZoo also aim to connect to the rise of daily fantasy sports (DFS). In 2015 in the US alone, 1.5 million people paid more than US$3.7 billion in DFS tournament entry fees, according to Legal Sports Report.
Smartphones globally generated gaming revenues of US11.93 billion, according to Statista, of which contributions from eSports and fantasy sports are on a rise. An installation fee has also been put in place where YuuZoo will charge SportsHero for each SportsHero install by a YuuZoo user.
NVI Price at posting:
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