“¥1 billion in box office revenue” versus “a market size of ¥10 billion”—both terms describe the scale of an economy, but can you explain their precise difference?
This article uses esports as an example to clearly explain the definitions of “box office revenue” and “market size,”which are often confused. We’ll clarify whether the term refers only to ticket revenue from a single event or to the entire business of an industry. Understanding what each term signifies will allow you to grasp news about the esports and entertainment industries more deeply.
Box Office Revenue
- Meaning: The total amount of money earned from ticket sales for a specific “public performance,” such as a movie, play, concert, or sporting event.
- Characteristics:
- Limited Scope: It indicates the revenue of a single work or event.
- Specificity: It’s a very concrete number calculated as “number of attendees × ticket price.”
- Popularity Metric: It is often used to measure the popularity and success of a work or event.
- Example: “The film One Piece Film: Red surpassed ¥19.7 billion in box office revenue.” This refers to the total ticket sales from theaters during the film’s run.
Market Size
- Meaning: The total value of all transactions within a specific industry or business sector over a certain period—in other words, the “total sales of the entire industry.”
- Characteristics:
- Comprehensive: It covers the entire industry, not just a single work or event.
- Multi-faceted: It includes all revenue sources within the industry, such as merchandise sales, broadcasting rights, sponsorships, and more, not just box office revenue.
- Potential Demand: It also serves as an indicator of the demand and business opportunities within that industry.
- Example: “The Japanese esports market size reached ¥14.685 billion in 2023.” This is the sum of all sales related to esports, including tournament tickets, sponsorships, merchandise, and streaming revenue.
Comparison Table
| Item | Box Office Revenue | Market Size |
| Scope | A specific, single work or event | An entire industry or business sector |
| What it Shows | Direct popularity and revenue of a work/event | The scale of the entire industry’s economic activity |
| Revenue Sources | Primarily ticket revenue | A combination of all revenue sources (tickets, sponsorships, merchandise, etc.) |
| Common Usage | “Movie’s box office revenue,” “Concert’s box office revenue” | “Esports market size,” “Gaming industry market size” |
In the context of esports, “box office revenue” refers to the ticket sales from individual tournaments (e.g., VALORANT Champions), while “market size” is the sum of all revenues related to esports—including those from tournaments, pro team sponsorships, player salaries, game publisher profits, and related merchandise sales.
Therefore, market size is a much broader concept than box office revenue.
Japanese Esports Market Size
- 2023: ¥14.685 billion
- This data, published by the Japan Esports Union (JeSU), shows a high growth rate of 117% compared to the previous year.
- The market is projected to approach ¥20 billion by 2025, indicating continued expansion.
Japanese Esports Box Office Revenue (An Estimate)
- As mentioned, there is no precise data available specifically for total box office revenue. However, its scale can be estimated from various sources.
- For example, one offline event had over 26,000 attendees. Assuming an average ticket price of ¥7,000, the ticket revenue alone would be approximately ¥180 million.
- Some studies suggest that while sponsorships and broadcasting rights are the main revenue streams for esports, box office revenue accounts for around 30% of the total revenue from event operations.
Why is there little information on box office revenue?
- Diverse Revenue Streams: The main revenue sources for esports are more varied than just ticket sales; they include sponsorships, broadcasting rights, advertising, merchandise sales, and in-game purchases.
- Tournament-Specific Confidentiality: Organizers of individual tournaments rarely disclose their ticket sales for strategic business reasons.
In conclusion, “market size” is a widely used, comprehensive indicator of an industry’s total economic activity, whereas “box office revenue” is specific to individual events and is rarely made public.
