Recent Hiring Data Shows Gaming And Esports Companies Not Immune To Economic Woes
by Mark Hall
At a time when companies in the travel, retail, and restaurant industries are fighting for survival, it can be easy to assume that other sectors closely associated with consumer leisure are holding strong during these challenging periods.
Like other entertainment markets, the gaming and esports industries have undoubtedly benefited from consumers spending more time at home through state-mandated shelter-in-place orders.
Some gaming platforms and titles experienced record streaming and play in the first half of 2020.
As leaders across major sports leagues like the NBA, NFL, and the MLS actively coordinate to find a path to restart their season, online gaming and esports companies continue operating at a fast speed.
For those who are less familiar with esports, it can be described as competitive online gaming that operates with franchise teams and sponsorships, similar to other professional leagues.
According to the market research firm Newzoo, the total annual revenue of esports space exceeds $1.1 billion.
Popular gaming titles like Fortnite, Minecraft, Call of Duty, Overwatch and countless others push deeper into society and culture as technology makes them available virtually everwhere.
However, Hitmarker, an esports and gaming job listing platform, recently shared data that paints a clearer picture of how the industry is fairing right now.
According to the company, new job listings declined approximately 15 percent from April to May, with a previous decline of more than one percent from March to April.
The ten most active hiring companies in this space only account for nearly 1,100 available roles, as of this writing. These companies include companies like Electronic Arts, Ubisoft, Riot, Twitch, PlayStation, and their respective gaming titles.
Among them, PlayStation is the only one with new job postings in consecutive months.
Meanwhile, organizations like Electronic Arts have been reported to have job posting declines of nearly 45 percent from April to May.
This data comes in stark contrast to prior reports that illustrate a rosier industry outlook.
“There’s little doubt that COVID-19 has impacted esports and gaming negatively, just like it has the majority of industries on the planet,” said Richard Huggan, managing director at Hitmarker.
“While there is clearly increased interest in and awareness of our industry, primarily due to the lack of competition elsewhere and significant athlete and musician crossovers that have occurred during the pandemic, the lack of live events and enforced remote working have caused numerous companies serious distress, while countless people have lost their jobs.”
One area where gaming companies are resembling other technology companies is on the topic of remote work.
Data from the company shows that employer preferences around remote work are shifting drastically, with an increase of more than 137% for remote job listings and a larger proportion of total jobs now being remotely located. This is likely to continue as more companies join the trend and normalize this work option.
Last year, esports experienced an 87% increase in the number of jobs from the prior year.
While it’s too early to predict how the rest of 2020 will shape out, early indicators may lead you to believe that many companies will remain conservative with their hiring efforts for the remainder of the year.