Increasing Awareness and Targeting Young Adults... Why the Pharmaceutical Industry is Venturing into 'eSports' Marketing?

Global Attention on League of Legends Teams and Tournament Sponsorships
'Worlds' Finals Draw 5.14 Million Concurrent Viewers... Huge Impact
Enhancing Image as a Challenging Company, Positive Business Results

DRX captain 'Deft' Kim Hyuk-kyu (center) is showing overwhelming emotions after winning the 'League of Legends (LoL) World Championship' final held on the 5th (local time) at the Chase Center in San Francisco, USA. [Image source=Yonhap News]

[Asia Economy Reporter Lee Gwan-ju] The domestic pharmaceutical industry, which had previously engaged in sports marketing only in certain fields such as golf, has recently been aggressively marketing in the field of 'eSports,' drawing attention to the background behind this move. It is interpreted as a strategy to catch two rabbits at once: increasing corporate awareness among the younger generation who are highly interested in eSports and breaking away from the traditionally conservative image unique to the pharmaceutical industry.

According to the pharmaceutical industry on the 10th, domestic pharmaceutical companies have consecutively sponsored the globally popular game League of Legends (LoL). Huons recently became a sponsor of DRX, the winner of the world's largest eSports tournament, the 'League of Legends World Championship (Worlds).' DRX, previously considered an 'underdog' before the tournament, won the championship by defeating T1, the team with the most Worlds titles, in a close 3-2 final match, attracting worldwide attention.

In June, Huons signed a two-year sponsorship partnership contract with DRX with the goal of showcasing various eSports marketing targeting the global market. DRX wears uniforms bearing the Huons logo during matches. With DRX's victory at Worlds, Huons is expected to have gained significant marketing benefits. The simultaneous viewership for the Worlds final reached approximately 5.14 million. Huons is considered the pharmaceutical company most dedicated to sports marketing. Currently, it operates golf and billiards teams and also sponsors the Kiwoom Heroes, who finished as runners-up in this year's Korean Series professional baseball. Huons believes that such marketing efforts are positively impacting actual sales.

Game drink 'On the Game' launched by Kwangdong Pharmaceutical
Photo by Kwangdong Pharmaceutical

Kwangdong Pharmaceutical is also actively engaging in eSports marketing. In December last year, Kwangdong Pharmaceutical became the first in the pharmaceutical industry to sign a naming sponsorship agreement with the eSports team 'Afreeca Freecs.' Through this agreement, Afreeca Freecs changed their name to 'Kwangdong Freecs.' This is the first case where a pharmaceutical company’s name is included in an eSports team name. Kwangdong Pharmaceutical then launched 'OnTheGame,' the second product of its activity drink brand 'OnThe.' OnTheGame, marketed as a beverage for eSports, was developed with direct participation from current professional gamers belonging to Kwangdong Freecs, and its distribution channels include not only general retail stores but also PC bangs nationwide.

JW Pharmaceutical joined as an official sponsor of the 'League of Legends Champions Korea (LCK, LoL Champions)' this year. It is the first pharmaceutical company to be named in the LCK, which started in 2012 and marked its 10th anniversary. At the Summer League finals held in August, JW Pharmaceutical set up a promotional booth for its artificial tears product 'Friends Eye Drop,' held events for fans, and exposed the company name and advertisements both at the stadium and through online live broadcasts.

Pharmaceutical companies conducting eSports marketing commonly emphasize that their decision is based on a high evaluation of the market potential of eSports and the need to strengthen communication with the younger generation. It is also a way to enhance their image as young and dynamic companies by breaking away from the existing conservative and traditional image. A pharmaceutical industry official said, “It is a method to make the company more familiar to the MZ generation, which is emerging as a major consumer group,” and predicted, “As eSports has established itself as a mainstream culture beyond just a game, more diverse collaborations will take place.”