What's a micro transaction and how do developers use them?

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What's a micro transaction and how do developers use them?

Micro transactions are a critical element of designing free-to-play games and apps.

Microtransactions (or micro-transactions or micro transactions) is a term that applies to small value financial transactions that happen within digital games and apps. These transactions are usually under about $10 and frequently involve the sale of in-app or in-game virtual good or digital content. The simplest form of a microtransaction within an app is through a store in which users can purchase a virtual good by sharing their credit card information. In many cases, this transaction is a purchase of virtual currency (gold coins or something like that) which can then be used to acquire goods or premium content.

    Why microtransactions are a good idea for developers...

  • 1. Small purchases add up very quickly: Some of today's highest-revenue apps (games in particular) are free for users to obtain, but earn money with microtransactions. These success stories are evidence that users spend quite a lot of money even when individual purchases are small.
  • 2. Free-to-play is growing fast: The trend in digital is decidedly towards a free-to-play app market, in which users expect to download or acquire an app/game for free. In 2013, 90% of the Trillion (yes, that's a T) dollar app market is free to download.
  • 3. Implementing microtranscations is easy: Our SuperRewards platform allows any developer to have microtransactions up and running in a few minutes. This means you can accept payments today for the goods or content that increase engagement and make users happy.

If you have any questions about micropayments or creating an effective in-app economy, we can help.