Most smaller gaming companies today struggle with this one. How do you pay or reward an online player without having to deal with too many legal and transactional hurdles? Especially when the payments are really small (micropayments), like a dollar or worth around a dollar. Indie game developers often like to offer tiny cash incentives to their players but opt out of it because of all the associated legal hassles.
Some of the major issues companies face are:
1) Asking for personal information - A lot of companies need a customer’s address and other contact info to mail a reward or transfer any money to their account. This almost always is a deal killer because most customers are wary of sharing any such information.
2) Game studios themselves can find it a little embarrassing to transfer such small amounts to a user. One alternative is to offer virtual gifts (coins, game points, virtual toys etc) but let’s be honest here, not everyone likes these things. Anything that has actual cash value is always preferred more.
3) Sweepstakes: A lot of times, people who win online sweepstakes don’t even bother claiming their prizes if the prize is actual money. Because the company offering the prize money needs all kinds of personal information from the user. And because of this, a lot of users don’t even bother claiming them.
My team built out a trivia game a while ago that would give out a $100 each day to a player who finished all 10 questions correctly and then entered his/her name into a daily sweepstake. Surprisingly, most of the winners didn’t even bother claiming their prizes inspite of repeated emails to them informing of their win! After some research we found out that no one was interested in filling up the claim form because it asked for too much personal information. But because of legal reasons, that was the only way we could actually pay a user.
At that point, I decided to do some research and find out different ways that we could pay a user without ever needing their personal information. The one thing I realized was that it was pretty hard legally to pay small cash prizes ($1 or more) to a user. The only alternatives were products that had ‘real cash value’. Not virtual toys and stuff, but paid services that we could offer as a reward. Here was the list I came up with. The only thing you will ever need to distribute these prizes is an email address.
1) Redbox DVD rentals. These DVD’s rent for $1 a day and it’s very easy to give these out as prizes. As you may know, Redbox gives out free rental codes on a regular basis which can be redeemed for a one night DVD rental. A studio could buy these codes in bulk and offer them as prizes. They also have this for the Blockbuster Kiosks.
2) iPhone, iPad and Android paid apps, songs and other media – Most apps sell for 99 cents as you already know, so a studio could offer a bunch of paid apps as payment. The way this can be done is by using the “Gift an App” feature found in the iTunes application.
3) Longer game playtime (Gaikai, Big Fish, Tagged etc) – Big Fish games offers their games in a way that the first 30 minutes of gameplay is free. A studio could offer the players’ longer playtimes (60 minutes of free playtime) as prizes. In a similar vein, Gaikai, Gamestreamer and Onlive offer cloud streaming of hardcore console games. Studios could offer digital copies of these games/demos as a reward.
4) Groupon/Living Social deals – These can be offered if the prizes are of a higher value. Groupon allows a person to gift a Groupon deal to someone else.
5) Subscriptions – A lot of publishing companies offer newspaper/magazine/game subscriptions. These can be gifted to a player too. I was supposed to implement this in one of my games and it actually works well.
I am gonna keep this list open for now. I am sure there are many other ways to reward a user and it would be great to hear from the readers on suitable alternatives.
You can follow me on Twitter @aabidsiddique or mail me at aabidsiddique81@yahoo.com.
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