Danish esports organization Copenhagen Flames have extended their partnership with electronics company Elgiganten for an alleged “seven-figure” sum.
Revenues from partnerships and sponsorships are still imperative in the esports industry, with most team organizations not yet able to generate more money than they’re using to operate.
The industry is still yet at a place where seven-figure deals are common, so such deals that pass that threshold stand out when they’re announced.
Copenhagen Flames, a smaller organization that competes in Counter-Strike and Fortnite, have now announced a “seven-figure” partnership of their own — and it’s part of a three-year extension with existing partner, local consumer electronic retailer Elgiganten.
Our partnership with @ElgigantenGamer is based in a common goal to continually strive to exceed the expectations of our fans.
That's why we're thrilled to announce the extension of our partnership in a historic 3 year, 7-figure deal.
— Copenhagen Flames (@CPHFlames) August 31, 2021
The exact financial details of the extended partnership, which sees Elgiganten maintain their status as the team’s main sponsor, have not been disclosed at the time of writing. However, the org have clarified with Dexerto that the deal is seven figures in Danish krone and six figures in US dollars.
The extended partnership provides money to CPH Flames and the prime spot on their jersey for Elgiganten. Other planned activations are yet to be revealed.
Perhaps best known for their ability to spot young, amateur players and eventually feed them into larger organizations, Copenhagen Flames were claimed to be a “profitable business” by co-owner Daniel Vorborg in September 2020.
“They took a chance with us back in 2016, when we were completely green and hadn’t yet been able to present much other than a vision and a strategy,” said Copenhagen Flames CEO, Steffen Thomsen, in a translated release.
“That’s why it’s always been a priority for us to live up to that trust and deliver more than they could expect. Now here we are 5 years later, with Elgiganten backing us regardless of the ups and downs and delivering everything that was hoped for and more.”