In its "Prepaid Game Card Primer" report, SuperData Research states that prepaid game cards are becoming the leading alternative payment method for online players, on track to sell $495 million by 2014. In the report, Super Data takes a look at the current market and future trends. SuperData lead analyst Joost van Dreunen says that game companies “offering customers the right mix of payment methods directly affects the bottom line for digitally distributed entertainment.”
SuperData notes that prepaid cards saw a huge boost due to the recent 2009 Credit Card Act, which changes the minimum age for card holders from 18 to 21 years of age. Prepaid game cards have seen 48% growth over the last year, with numerous retail outlets stocking the cards next to existing gift card stands. The study says that many North American-consumers are comfortable and familiar with the concept of prepaid cards, as they merge seamlessly with the gift card market, which brings in $100 billion annually. The report also indicates that consumers and publishers both enjoy the safety of prepaid game cards, allowing them to avoid sharing personal financial information, hidden fees, and charge backs.
The study reviewed over 250,000 prepaid card transactions across 15 online entertainment publishers, including MMOs, social gaming titles, and virtual worlds, in addition to a panel of 3,152 respondents.
“Instead of using prepaid game cards as just another payment method, it presents a real monetization opportunity,” commented van Dreunen, but “understanding the industry’s incentive structure is critical.” Numerous companies are jumping on the bandwagon, with leading social game developer Zynga having recently announced their own prepaid game card.
SuperData Research has three versions of the report, selling between $1200 and $1699.
