We are delighted to bring you a comprehensive coverage of Thailand’s rapidly expanding esports and sports industries. The Thai government has identified these industries as key sectors for economic growth and has invested in infrastructure and partnerships to support their development.
The demographics support this, as Thailand has a population of ~70 million people, with a median age of 38.6 years. With 61M internet users, significantly improved literacy rate(99.2% for youth aged 15-24), and a very low unemployment rate of just 1% in 2023; Thailand boasts of a very attractive market for brands, investors and for expansion into Asia.
The Thai economy is diverse and is expected to post a GDP growth of 4.5% in 2023, and is only set to improve in the coming years due to steady improvements in tourism and domestic demand.
Thai Sports
Thailand has a rich history of sports and physical activities, with about 16M people participating in sports and/or exercising regularly (growing at 23-24% per SAT). There are also multiple world-class athletes in other sports such as badminton, boxing, weightlifting, and taekwondo.
Thailand’s sports industry has grown continuously under the supervision of the Sports Authority of Thailand (SAT), which primarily looks to promote physical activity, develop sports infrastructure, and support Thai athletes and sports organisations. SAT falls under the Ministry of Tourism and Sports, and is always coming up with new initiatives, like the recent launch of “T Sport 7,”- an app to broadcast live sports across the country, alongside promoting events, providing resources and delivering related content. There is also a lot of private sector investment into sports and entertainment, with two new arenas set to open in the coming years: The Emshere (2024), and The Bangkok Mall Arena (2026).
Football (soccer) is the most popular sport in Thailand. The Thai national team has enjoyed recent success, with the Men’s team securing silver, and Women’s bagging bronze at the recent SEA Games 2023. The majority of sports fans in Thailand are higher-income men who live in the Greater Bangkok area and typically favour football(especially European teams), volleyball, and badminton.
Muay Thai, a traditional martial art, is Thailand’s national sport and has evolved into a popular combat sport worldwide. It’s deeply ingrained in the country’s cultural heritage, representing a symbol of national pride and identity. Fighters like Buakaw Banchamek and Saenchai PKSaenchaigym (pictured below) are living legends and both continue to draw top billing despite being in their 40s. The sport generates 200M Thai Baht (US$5.5 million) from just two venues in Bangkok: Lumphini and Ratchadamnoen Boxing Arenas. More recently, modernised incarnations such as ‘Thai Fight’ are attracting viewers abroad by blending entertainment and sports.
Thailand has already hosted several major sporting events, including the 2018 Asian Games and the 2019 MotoGP, and is well-positioned to attract more events in the future. Additionally, the government’s focus on developing sports infrastructure, such as stadiums and training facilities, is expected to enhance the country’s ability to host major events and attract more international athletes for training and competition.
Thai Esports
Revenue in the esports market in Thailand will almost double from US$6.73M in 2023 to US$10.6M by 2027, with a CAGR of 11.97%. Sponsorship is the market’s largest category, with a market volume of US $2M generated in 2023. The Thai government has officially recognized esports as a professional sport in the country, and the Thai E-Sports Federation (TESF) is the body established to manage esports in Thailand. As of September 2021, eligible esports teams and athletes gained access to financial support from the Sports Authority of Thailand (SAT) and its Professional Sports Promotion Fund. In addition, the DEPA Game Accelerator Program aims to improve the landscape for game publishers and developers.
Thailand’s esports business has evolved dramatically in recent years, with a strong and active gaming population that spends hours playing games every day, especially on mobile. From popular titles like League of Legends and Dota 2 to mobile games like Arena of Valor and PUBG Mobile, the business has developed to cover a diverse spectrum of games.
Thailand is ranked 20th globally in terms of game revenue, worth US$692 million in 2019. The Kingdom is the second largest in Southeast Asia behind Indonesia, which ranks 17th.
Thailand is also a centre for esports events, hosting a number of international tournaments. Thailand held the Southeast Asian Games (SEA Games) in 2019, for the first time including esports as a medal event. Arena of Valor, Dota 2, Starcraft II, Tekken 7, Mobile Legends: Bang Bang, and Hearthstone were among the six games available at the event.
What’s driving growth?
- Increasing internet penetration: Thailand has a high level of internet penetration, with 88% of the population using the internet, behind only Malaysia, Singapore and Philippines in Southeast Asia. This has led to a large and active gaming community, alongside traditional sports fans engaging with their favourite teams and leagues through multiple fan-controlled facebook groups .
- High Smartphone adoption and 5G proliferation: Thailand (48%) has the third highest smartphone penetration rate in Southeast Asia (Statista 2020),behind Singapore (84%), & Malaysia (70%). This is great for sports consumption, with social media (69%) being the preferred platform for watching sport, just behind TV(74%). Mobile gaming has become increasingly popular in Thailand, with games like Free Fire and PLAYERUNKNOWN’S BATTLEGROUNDS (PUBG) Mobile attracting large numbers of players. These games are accessible and easy to play, which has helped to boost their popularity. In 2023, the leading competitive eSports game in Thailand with the highest number of professional players was PUBG, amounting to 223 professional players.
- Government support: Sports stands to gain with increasing professionalisation being driven by Government investment in infrastructure, partnerships, especially with a view to link tourism to sports events. Thai Sports policy is increasingly driven at the intersection of tourism and sports, with the ministry in-charge known as the Ministry of Tourism & Sports (MoTS). The government’s support has helped to create a favorable environment for esports companies and players to thrive.
- Emergence of local talent: Thailand has produced several top players and teams in sports and esports, helping inspire a new generation of players and fans. Producing global stars in Boxing and Badminton, there are increasingly more gaming and footballing talents making the nation proud.
Key Players in the Ecosystem
Many of our readers might remember that in 2010, late Thai billionaire Vichai Srivaddhanaprabha, the founder of King Power, acquired Leicester City FC, an English Premier League team. Under Srivaddhanaprabha’s ownership, the team achieved unprecedented success, winning the Premier League title in the 2015-2016 season.
The love for European football runs deep, with a nation-wide frenzy for Liverpool, Man City, Chelsea & Man Utd. Multiple high level sponsorship deals have been signed by Thai brands like True, Carabao, Chang, Bia Saigon and others. The commercial market for local professional sports clubs however has only taken off since 2012 with a rapid rise in the popularity of football. Of the Sixteen teams that play in Thai League 1 in 2018, slightly more than half of the revenue was concentrated in the top three clubs. The media rights to the Thai League in 2017-2020 was worth over a whopping 4.2 Billion baht (US$118 million). There’s miles to go before the industry sleeps, with Thailand’s tourism and sports Minister Phiphat Ratchakitprakarn setting a target revenue of US$1 billion for its sports tourism ventures in 2023.
For Esports, there are multiple corporations trying to grab the attention of Thailand’s youth. Siam Piwat, True Group and Kantana, will contribute US$8.6 Million each to launch “True 5G Pro Hub” in an effort to support and advance the nation’s esports community (The National, 2023). Leading telecom operator Advanced Info Service (AIS) runs esports tournaments, together with a studio and platform to support the growth of gamers and casters alike.
In 2020, the Thailand Esports Federation (TESF) secured a partnership with Tencent to develop the esports industry in Thailand. The partnership includes plans to establish an esports academy, organise tournaments, and develop local talent.
Expert Insight
In an exclusive interview with AST, Thai sports business expert Charvalit Kosiyakul (MD – Football.co.th, & Ex VP – IMG Thailand) shared his insights on the state of the sports ecosystem in Thailand. According to Kosiyakul, MuayThai is one sport that is developing and embracing international interests. OneLumpinee is a great example of this, with One Championship partnering with the prestigious Lumpinee Stadium to create a worldwide event televised in many countries. The Rajadamnern World Series is another legendary institution for great MuayThai fights.
Kosiyakul also mentioned that there are many world class golf events in Thailand (including LIV Golf). Golf has been and still is an important part of the Thai sports industry. The Honda LPGA has been staged annually over the last two decades, resulting in players like Pro Ariya Jutanugarn rising to the number one rank in LPGA and Pro Jean Atthaya Thitikul doing well on the LPGA. Men’s golf has seen Thongchai Jaidee lead the way for the later generations showing that golf can provide a lucrative career through playing on the world stage.
As MD of Football.co.th, Kosiyakul’s passion for football is sky-high, which mirrors the entire country. However, he shared that Thai Football is going through a challenging period as subsidies to clubs have reduced consecutively over the last decade. He stressed the need for companies to invest more money into local broadcast rights, so that the league can compete for football fan attention across ASEAN countries.
Lastly, basketball and volleyball require financial support to reestablish and grow the league. Although still niche when compared to MuayThai and football, there is substantial interest domestically, especially in women’s volleyball. According to Kosiyakul, there are good investment opportunities in Thailand sports that can become fruitful for investors over the five to ten years period and beyond.
Future Possibilities
As sports and esports continue to gain popularity in Thailand, it is becoming increasingly important for brands, investors and IPs to understand the viewing habits and preferences of consumers in order to effectively reach and engage with them and maintain a strong relationship. The government’s support and investments in these sectors have laid the foundation for continued growth and development, and the country is well-positioned to become a major player in the region and beyond. As the industries continue to evolve, we look forward to witnessing the emergence of new talent, companies, and events in Thailand.
At Asia Sports Tech, we believe that Thailand’s vibrant landscape is poised to solidify its position as a leading player in the Asian sports and esports arena. Innovative business models, strategic partnerships, and targeted investment in infrastructure and training will be the key drivers.
As a leading consulting firm in sports, esports, health, and well-being, AST has been actively contributing our expertise to help navigate this exciting landscape. With the government’s support, a growing economy, and a talented and passionate population, Thailand has the potential to become a major player in the global sports and esports industry, and AST is excited to be a part of this exciting journey. The country’s pursuit of excellence and its dedication to fostering a strong sports culture will undoubtedly inspire generations to come.
If you want to learn more about the Thai market and get involved in supporting its growth, reach out to AST today!
