We will focus on looking at the numbers provided by our AI that tracks live-streaming on Twitch, the world’s largest live-streaming platform. As an addition, we have looked at publicly available information of the Evolution Group, such as financial reports and its stock price. If you’ve missed the first article, you can read it here.
Evolution and The market
From a financial market standpoint, to say that Evolution is going from strength to strength would probably be an understatement. The last interim report for Q3 2021 was released on October 28 and showed an impressive 97% growth in revenues YoY and an almost even more impressive 69.9% in EBITDA margin. Despite the result, the market expectation was high and as an effect, the stock price has dropped around 10%.
Going back some time, Evolution stated in their Annual Report 2020 that according to market estimates from H2GC, the global online casino market had an estimated value of 16.5 billion euros at the end of 2020, representing a growth of 23 percent compared to the year before. The live casino market, including live game shows, had an estimated value of 5.3 billion euros. The interesting fact here is that according to H2GC, between 2016-2020, the live casino market has had an annual growth rate of 28 percent compared to 9 percent for RNG. The Live Casino market is something investors, analysts, and the market, in general, keep an extra eye on.
Crazy Time, being a live game show, is represented in the live casino market estimates. So, how big of a role does it have for Evolution and the live casino market in general? Only Evolution could provide us those numbers, but we can see clear indications that it’s highly popular among players. Mainly due to two reasons, one, the game is present at the very top of almost all operator lobbies in the live casino section, and also the success it has had with the streaming community which we will be looking at in this article.
Reaching new players through streamers
In our previous article, we stated that according to our data tracked by our AI, Crazy Time alone had reached a total of over 500 000 streamed minutes that resulted in over 500 million watched minutes since its launch in June 2020.
“Could exceed over 15 million unique viewers on Twitch”
Since the article was written, we have further analyzed the potential reach in terms of unique players that Crazy Time might have reached with additional data from twitchtracker.com. According to these new insights, the audience that Crazy Time has reached could exceed over 15 million unique viewers on Twitch since the launch of the game. That is a significant amount of potential players.
According to Twitch’s data, in 2020, they have had an average of 30 million average visitors per day and as casino-related streaming continues to grow – the potential in streaming is huge. We believe that having products that become popular among the streaming community could help brands to reach new player demographics and significantly increase their product and brand awareness – and ultimately their business performance. This is what we think happened with Crazy Time.
Analysis of the streamer impact on Crazy Time
Since we don’t have the access to exact numbers on Crazy Time’s financial performance we can only look at publicly available data, such as the Evolution share price.
The Evolution share price has skyrocketed with an increase of +900% in the last three years and since the launch of Crazy Time in June 2020, the share price has gone up by +130%. In 2021, from January 1 to November 3, we see an increase of +70%. During this time the OMX Stockholm 30 has gone up by +25%.
I’m not a financial market analyst, but I think anyone who follows Evolution on the stock market understands that annual and quarterly reports that have exceeded the expectations of the market, sudden news like the acquisitions of Big Time Gaming, news about entering new markets and new states in the US could have boosted the Evolution share price. In addition to this, it’s been a very special year so far with shifting market dynamics impacted by the global economy and recovery of Covid-19. With all things considered – could the success of Crazy Time in the streamer community have any impact on the share price?
Based on the data from our AI from January 1 to November 3 this year on Crazy Time – let’s look at the total streamed minutes it has had per day (purple). During this period Crazy Time has had almost 400 000 minutes streamed. In the graph, we have added the Evolution share price (green), OMX Stockholm 30 (orange), and some market happening as a comparison.
The trend shows growth among streamed minutes during the first half of the year which is aligned with the share price of Evolution. In the last part of the year, both the share price and streamed minutes have been quite stable which is also the case of the share price. We understand that Evolution is much more than Crazy Time, even if it might be their best performing game, there are many various scenarios that could impact a share price.
“We don’t see Crazy Time’s popularity decline anytime soon”
We can’t say for sure the precise impact that Crazy Time’s popularity among streamers has had and whether it has affected the share price or not, but the numbers from our AI give totally new insights available for the market. If we would make a future outlook and assumption, looking at the historical performance, we don’t see Crazy Time’s popularity decline anytime soon among streamers.
How to utilize the use of our data
Given the massive reach of live-streaming, understanding a brand’s and its products performance within the live-streaming scene could help you as an investor or financial market analyst to add additional data to your comprehensive analysis. The graph above is just one of many different data points that we track every minute.
On the other hand, if you are a game provider, the most natural way of using our data would be to compare it with industry-standard KPIs such as game win, estimated game win, new players, returning players, number of rounds, and so on. Another option would be, if you’re already into B2C marketing, to be able to calculate ROI on your marketing investments. Either way, with the Casinolytics Application and data you can boost your business insights and develop a further understanding of what impact the live-streaming landscape has on your products and brand as a whole.
As of today, we are proud to be the only company in the world being able to offer this type of unique data and from time to time we share insights like this. Make sure to follow us on social media to not miss out on anything, or drop me an email if you want to know more.