Review of Video Gaming Payment Preferences
As the video gaming industry matures, becoming more diverse and multifaceted, the payments market responds, adapting payment methods to emerging video gaming technologies and introducing financial services to meet increased demand. One of the most notable changes has been the growing role of alternative payment methods, which target an audience base divided across various gaming devices and geographical regions. The video gaming industry’s payments landscape is on the verge of significant changes, from the decrease in credit and debit card transaction volumes to the promise of entirely new payment systems for emerging technologies such as virtual and augmented reality.
A recent study has revealed that, despite the popularity of credit and debit cards, alternative payments now comprise 51% of all video game purchases worldwide. Though 33% of gamers consider credit and debit card transactions to be the most convenient payment method, 34% now prefer e-Wallets. The fastest growing payment system around, e-Wallets most commonly fall under one of two categories: money-based or credit-based. Platforms such as Sony Playstation or Steam rely on real money as their primary payment currency, whereas credit-based e-Wallets operate by transferring money into the virtual realm, e.g. Riot Points in League of Legends. Gamers are most likely to use e-Wallets when purchasing digital copies of video games, as well as expansions and modifications.
e-Wallet payments across all e-Commerce industry sectors are incredibly popular in emerging video gaming markets, such as China and the Russian Federation. Each region has its specific payment preferences, which is most commonly based on local nuances. Players from the United Kingdom and France, confident in credit and debit card security, prefer to make payments within and/or for their games using this payment method. Dutch players typically use iDeal, a hugely popular direct debit payment system used across various e-Commerce spheres in the Netherlands.
Though alternative payment methods are growing in popularity and developing quickly, now holding more than half the video gaming market share, credit and debit cards remain the most familiar, accepted payment system for any purchases related to video games. Studies have shown that payment system preference appears to correlate with gaming system preference. Console owners preferred credit and debit cards, with 60% of console purchases paid for using this method. Though facing fierce competition from alternatives, the traditional credit and debit card payment systems are likely to remain popular in the video gaming industry into the far future.
As new technologies are developed and introduced, the video gaming industry requires fast, intelligent, and secure payment processing to meet customer demand. Payment services provider ECommPay has extensive experience in providing bespoke payment solutions to video gaming merchants targeting a multi-platform audience across various geographical regions. Intimately familiar with the intricacies and nuances of the video gaming industry, as well as the regional preferences of consumers, ECommPay tailors each of its comprehensive payment solutions to individual merchant requirements, offering a broad assortment of payment methods, which range from traditional bankcards to e-Wallets, cryptocurrencies, payments-by-code, and more.