I hope this is not a silly question...
A battery powered device (e.g. mp3 player) does not have an earth, only the battery negative terminal. Would a PCB spark gap provide any protection against ESD strikes? If so, then why would the spark arc to battery ground given that this is just a arbitrary voltage level, presumably just as arbitrary as the IC pin to be protected?
In theory it will provide a
little protection against ESD under some circumstances - but in practice that protection would be insufficient and other techniques are used.
If there are exposed conductors, e.g. for power leads or USB connector, then ESD could strike one conductor and exit via another - even both are "isolated" from "ground". If that happens the electronics would be fried with or without a sparkgap. Instead, protection is via TVS and zener diodes. Where very high reliabililty is required or ESD is likely, then there might be multiple levels of protection, e.g. a spark gap takes the brunt of the discharge, leaving the rest to be dealt with by other means (e.g. TVS/zener diodes).
The concept of a battery having "ground" terminal is fallacious unless that terminal is connected to a spike in the earth. But you already suspect that.
However, the concept of "ground" is itself a theoretical construct that has some use when considering domestic and industrial mains power supplies. The concept can be very misleading when considering electronic equipment - if you doubt that then understand the shape of RF components and remember that nowadays digital circuits operate at microwave frequencies (and computation is done at VHF/UHF rates!).