Speaker: Sam Gaglani EV, Miikka Luotio, & Christopher Cheever (Xsolla)
One of the keys to boosting the game’s revenue stream is to focus on our payment strategy. Having a simple, smooth payment experience is crucial to pleasing game consumers and possibly generating more revenue for the game. In this session, Chris and Sam share that smooth checkout experience can increase revenue.
Recently the gaming industry is currently experiencing a variety of problems. Limited payment options are one of the biggest constraints of a game when they want to expand its game. Being said, every country needs to have a personalized journey as well as a payment method. Such example, the United States with PayPal and Indonesia with Go-Pay. Creating a seamless payment gateway method will decrease the checkout friction.
A confusing checkout calculation is also one of the reasons people stop checking out. It would be nice to have the same amount in every step, with a hidden fee to be covered in the original price. Taxes and take fees will lower the conversion rate and result in a bad experience, so all game designers should be aware of this.
<source: app store>
Moreover, app marketplaces continue to increase their take rate percentages, causing a drop in revenue for game companies. However, Seismic Shift opened new opportunities for developers and publishers to create their online shops, communicate with their player base directly, and monetize beyond the app stores. Using web shops, Game Developers have a high chance to extend mobile games’ lifecycle and speed up revenue generation. The problem with this webshop is that it has a domino effect, resulting in an inconsistent checkout flow.
A clear checkout strategy will not only increase conversion rates but also can amplify game revenues. It is the job of game designers to make payment experiences less tiring for users since payments are a very complex and confusing landscape for users. More than half of people prefer not to experiment with payments, so game designers need to make payment experiences less confusing for users. Further, seamless checkout will allow users to focus on what matters most: the game itself. As a result, the game will be able to reach more markets and grow the larger community.
Over and above that, game designers should follow the pillars of smart payment strategies. What are smart payment strategies? Financial regulation-compliant systems allow users to check out via smart platforms and optimize using big data. The four pillars of smart payments are simple, ongoing, frictionless, and data-driven optimization. By repeating the flow with these four pillars combined, it will create not just a simple but also a frictionless checkout experience, and in the end, it will increase revenue.
We at TentuPlay believe the same. An annoying game experience will lead to churn and, thus, a negative to the business. It is well known that most users appreciate smooth and intuitive gameplay that feels related to them. TentuPlay’s AI In-game shop can address this issue by hyper-personalizing gameplay based on the player’s motivations and behaviors, resulting in better churn and retention. Learn more about how TentuPlay’s AI In-game Shops work and help our happy customers.