News, Education and Events Decoding Digital Payments & Fraud

News, Education and Events Decoding Digital Payments & Fraud

Gamers Choose PayPal for In-Game Purchases, Fraud a Main Concern: Report

Gamers Choose PayPal for In-Game Purchases, Fraud a Main Concern: Report

This year, video games will account for nearly $138 billion in revenue globally, but a variety of business models and platforms can make monetizing them complicated. A new study by ACI Worldwide and Newzoo of gamers in the U.S., U.K. and Germany details who, how, where and when they spend their money on games. The study found that PayPal was the preferred payment type in all three countries and that, overall, trust was the biggest factor in that preference. At the same time, PayPal was also identified as the most likely payment type used when fraud was experienced.

With 19 percent of all gamers reporting they experienced fraud when paying for games, it is one of their biggest concerns. In fact, a third of all those polled said they are less likely to spend money on online games or make in-game purchases because they are worried about fraud.

But, as other polls have shown, as much as users hate fraud, they also hate friction. Forty-four percent of paying gamers in U.S. agreed with the following statement: Encountering additional security measures when making in-game purchases slows down and negatively impacts my gaming experience and makes me less likely to complete in-game purchases or to make future in-game purchases. In the U.K. only 36 percent agreed with the statement. At 19 percent, Germans are the most comfortable with additional fraud prevention measures that add friction.

Read The Next CNP Report Article