The online gaming market is one of the fastest-growing industry segments in the world. With millions of gamers around the world, the industry is expected to continue its aggressive growth in the coming years. Online gaming businesses need the best payment gateway for international transactions to support their requirement of the business.
This article will provide insight into the nature of online game payment systems and how they function.
Breaking Down the Basics – What are Payment Gateways
Payment gateways are digital tools that allow businesses to collect electronic payments. These gateways are embedded into websites to facilitate digital payments and to allow websites to receive payments from customers at checkout. These payment gateways allow customers to connect their payment accounts to the website and make payments.
Payment gateways protect customers by securing sensitive data and encrypting the details of the transaction through banking networks.
Why Do Online Games Need Payment Gateways
Modern online games are designed with detailed economies. These systems are designed to reward users for efforts and monetize their in-game progression. To effectively manage the requirements of the system, online games require payment gateway providers that can receive payments from users in multiple ways.
For gaming companies, the payment gateway is used to accept payments from credit and debit cards and payment wallets. Users simply checkout with their required digital assets, and then the amount is transferred to the gaming company. Online game payment systems cover the entire process within minutes.
The system establishes a way for the developers and publishers of the game to receive a financial incentive for their efforts. The tokens bought within the game are used to handle server costs and other expenses associated with the game.
Breaking Down the Process – How It Works
Online games use a number of different methods to handle payments. These methods are designed to simplify payments for users and to improve profitability for the game publisher.
Step 1 – Based on the nature of the game, users are offered different commercial products within the game. Some products allow users to purchase coins, while others are designed to offer skins and other perks. Users interact with the in-game product using their smartphones, laptops, or desktop interface. The users can add the in-game product to the cart and move to the checkout process.
Step 2 – The checkout process is customized for the users depending on their device. For smartphone users, the checkout process is designed to automatically interact with the user’s Google Play or Apple Store account. Users have the ability to use their security verification method to confirm the transaction through their smart wallet application. Alternatively, users can also enter their credit or debit card details into the system to make the payment.
The system that allows users to make the payments into the application is the payment gateway for games. Once the payment details are entered, the payment gateway requests the merchant bank to verify the transaction.
Step 3 – Once the payment is confirmed by the gateway, the checkout process is concluded, and the in-game item is transferred to the user. The transfer is made within the system automatically based on the design of the in-game economy. The nature of the in-game product depends on the type of the game. Some games offer in-game coins, while others offer monthly subscription options. For subscription-based games, recurring payment configurations are used to simplify the payment on a monthly basis. Once users opt into the subscription, they are automatically charged unless they manually unsubscribe. The payment gateway providers handles the payment requirements.
Factors to Consider While Finding a Gaming Payment Gateway
To have a seamless payment processing experience, gaming businesses need to look for the following factors to simplify their decision. Here are some of the key factors you need to evaluate before making your decision.
Low Transfer Fee – Players need to frequently make in-game payments. High fees can be a negative factor for user traction. A simple payment process with low transfer fees improves the player experience and keeps them as customers. Low fees is a must-have for the best payment gateway for games.
Fast Processing Speed – In-game environments are often high-paced and competitive. When users make purchases, they’re looking for the process to be completed fast. The last thing you want is to have a slow payment process with too many payment screens that take away from experience. Faster processing speed can also have a positive impact on in-game sales by removing friction from the process.
Transaction Security – Due to increasing instances of fraud, gaming companies must select a payment gateway that effectively handles users’ information. Identity fraud and other malicious attempts must be prevented by following proper protocol, including risk assessment and monitoring tools. The best way is to go for a payment gateway that comes with high PCI compliance.
Multiple Payment Methods – Even though some users prefer to make payments using their credit/debit cards, it is essential to offer diverse payment options to gamers. Being able to cater to these requirements is essential in the payment gateway for games.
Following Compliance Requirements – Regulatory guidelines are put in place to create a safer gaming experience for users. Game companies must work with a payment processing company that complies with the legal, regulatory, and security requirements. Complying with these guidelines is essential to creating a safe user experience.
By keeping these factors in mind, companies can select the right payment gateway that meets their requirement. Reviewing these factors will simplify your decision and help you become compliant with security and financial requirements.
Oceanpayment is a leading payment provider with a proven history of working with online game companies. The company simplifies the payment experience by providing across-the-board support in the deployment of payment gateways.
With Oceanpayment, you get a clear pricing structure, personalized deployment, and a qualified support team that works around the clock to cater to your requirements. We go above and beyond to ensure that you’re able to receive payments from users seamlessly. Oceanpayment also helps you select the best payment gateway for games.