The Brazilian gaming market faces no crises. Similar to the e-commerce market, that’s registered growth year after year in Brazil, the gaming market seems to have bypassed the global pandemic and economic recession worldwide.
Some experts say that social isolation has made people resort to digital solutions, and gaming is a significant element of online entertainment. Also, an increasing number of gamers, rising disposable income, and technology innovation are some of the major driving forces for the digital games market.
The Gaming Market in Brazil
The gaming market in Brazil generated revenue of US$2.3 billion in 2021, representing an overall 5.1% growth year-over-year. The market is expected to rise over 5.3% in 2022.
Brazil holds the leading position in Latin America and is 13th in global ranking. It’s estimated that 70% of the Brazilian population plays games, mainly mobile games. More than half (51%) of Brazilian gamers spend over 20 hours a week playing, according to Pesquisa Games Brasil (PGB).
Read more: Brazil in 2022 – An Overview of the Market
Another study shows that 63% of gamers in Brazil spend money on online games – they mainly focus on enhancing their performance but are also willing to invest in things like avatar customization.
“Our data shows that the Brazilian player is willing to pay, and the games that are now available on the market are developing more advanced monetization strategies,” explained Rodrigo Russano Dias, the head of PR and Social Media at Nimo TV Brasil.
Speaking of the demographics and habits of the Brazilian gamer, a study conducted by Newzoo says that 51% of them are female (32% between 10-35 years old) and 49% male (also 32% in the same age range).
Read more: PagBrasil in a 2021 Retrospective
The sharp revenue increase contributes to giant games, such as Fortnite and Apex Legends, both from Xsolla. These two registered a 36% increase in two years – from US$16.8 billion in 2019 to US$22.9 billion in 2021. In the next four years, this number could reach US$30 billion.
Aleksandr Agapitov, CEO of Xsolla, said that providing a fluid and easy payment experience to gamers is paramount:
“At Xsolla, we believe that a user’s payment experience is integral to the success of competitive gaming. At every stage of a game’s lifecycle — from initial concept and development to year-over-year operations and support — payments are equally important.”
Xsolla, the world’s leading video game commerce company, is one of our cross-border partners. They registered a spike in their payment conversion rates when processing with PagBrasil. In one year, their revenue tripled, with conversions doubled, using our exclusive solution Boleto Flash® — a mobile-responsive solution with the quickest payment confirmation on the market.
Challenges of the Brazilian Gaming Market
Brazilians have their own ways to pay for their online purchases, including traditional payment methods, which mostly exist only in Brazil. Boleto bancário, for instance, is one of the most popular ones.
The challenge is its limitations. The traditional boleto bancário is not responsive to mobile screens, and the payment confirmation can take up to three business days.
Read more: The importance of local payments for the gaming industry in Brazil
Another issue lies with unbanked gamers or those who don’t own a credit card. They still wish to play, so they oftentimes resort to friends or family members to lend them a card to complete an in-game purchase.
A Unique Payment Experience
PagBrasil helps gaming companies take payment experience to the next level. Our payment solutions are designed for the Brazilian market: Boleto Flash®, the next generation of the traditional boleto bancário, Débito Flash™ that provides inclusion in the e-commerce realm for 160 million Brazilian debit cardholders, Pix, which is the country’s and the world’s fastest-adopted instant payment system, PagStream®, an exclusive solution that handles all of the subscription payment systems and other services that use payment processing.
If you wish to learn more about our payment solutions, get in touch with our sales team!