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Kids and parents on in-game spending IAP

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Kids and parents on in-game spending IAP

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At Dubit we are constantly researching which games children are playing. We’ve been there from the beginning: we began with the rise of virtual worlds, witnessed the growth of iPads and Apps, and the gradual acceptance of paying for digital content.

So, from all this time in the industry - what have we learnt? This particular study looks at “in-game” purchases: how many kids buy, how much, and do their parents know? In this study of 500 children from the UK, aged between 6 and 12 years-of-age, we look at all types of games, from online micro payments through to in-app purchasing on mobile.

And we provide this data as a benchmark for anyone interested in monetising kids
digital entertainment, and for those concerned about kids spending online.

At Dubit we are constantly researching which games children are playing. We’ve been there from the beginning: we began with the rise of virtual worlds, witnessed the growth of iPads and Apps, and the gradual acceptance of paying for digital content.

So, from all this time in the industry - what have we learnt? This particular study looks at “in-game” purchases: how many kids buy, how much, and do their parents know? In this study of 500 children from the UK, aged between 6 and 12 years-of-age, we look at all types of games, from online micro payments through to in-app purchasing on mobile.

And we provide this data as a benchmark for anyone interested in monetising kids
digital entertainment, and for those concerned about kids spending online.

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Kids and parents on in-game spending IAP

  1. 1. Children’s In-Game Spending Dubit - Children’s In-Game Spending
  2. 2. In App Purchasing: The Study At Dubit we are constantly researching which games children are playing. We’ve been there from the beginning: we began with the rise of virtual worlds, witnessed the growth of iPads and Apps, and the gradual acceptance of paying for digital content. So, from all this time in the industry - what have we learnt? This particular study looks at “in-game” purchases: how many kids buy, how much, and do their parents know? In this study of 500 children from the UK, aged between 6 and 12 years-of-age, we look at all types of games, from online micro payments through to in-app purchasing on mobile. And we provide this data as a benchmark for anyone interested in monetising kids digital entertainment, and for those concerned about kids spending online. Dubit - Children’s In-Game Spending
  3. 3. Parents and Kids: Do you play mobile games? Mobile gaming is incredibly popular with 91% of parents and 71% of children playing games on mobile phones. The percentage of kids who play on mobile is consistent for all ages between 6 and 12 years old. 100% Yes 75% 50% 25% 0% Base Size: 500 Parents & Kids Dubit - Children’s In-Game Spending Parents Kids No
  4. 4. Parents: Have they bought in-game? But mobile games don’t grow on trees. They rely on people paying for them - either upfront, or paying for something in the game. In our survey, 25% of parents have paid for something “in-game”. 100% 75% 50% 25% 0% Yes Base Size: 500 Parents & Kids Dubit - Children’s In-Game Spending No Don’t Play
  5. 5. Parents: Do you let your kids make IAPs? However, parents are not as willing to allow their kids to buy in-game. Only 17% allow their children to make in-app purchases, with 83% of parents keeping a tight hold on the virtual purse strings. 100% 75% 50% 25% 0% Base Size: 500 Parents Dubit - Children’s In-Game Spending Yes No
  6. 6. Kids: Do you know your parent’s app store password? For those kids allowed to make such purchases, almost half (41%) know their parent’s app store password. That’s in spite of warnings that parents should keep their security information secret, to avoid kids spending willy-nilly. 100% 75% 50% 25% 0% Yes Base Size: 87 Kids who are allowed to purchase in-game Dubit - Children’s In-Game Spending No
  7. 7. Kids: Do you get permission before buying in-game? The good news is that kids seem to be pretty (well, very) trustworthy. Even though many children know their parent’s password, the vast majority still ask for permission, with only 1% going behind their parent’s backs. 100% 75% 50% 25% 0% Always Base Size: 87 Kids who are allowed to purchase in-game Dubit - Children’s In-Game Spending Usually Never If They’re Watching
  8. 8. Kids: What is the most you have paid for a single purchase in-game? There’s more good news. Despite fears of children breaking the bank, 73% (of the 17% given permission) spend less than £5 in one transaction: in fact the average purchase is £2.07. Not one had spent more than £20. Not one. 100% 75% 50% 25% 0% Under £1 £1 - £5 Base Size: 87 Kids who are allowed to purchase in-game Dubit - Children’s In-Game Spending £5 - £10 £10 - £20 Over £20
  9. 9. Kids: What do you like to pay for ingame? And what do they like to pay for? Children are more likely to choose to pay to unlock levels or buy cosmetic items such as clothes, than pay to speed up time (such as fertiliser in Farmville). Kids tend to have more time on their hands! 100% 75% 50% 25% 0% Unlock New Levels Cosmetic Base Size: 87 Kids who are allowed to purchase in-game Dubit - Children’s In-Game Spending Powers Speed up time None of These
  10. 10. Parents: How much would you pay to remove Ads in a kids game? Finally, we asked parents about the other revenue model for games: advertising. 62% of parents would be happier to have their kids exposed to ads, than pay for the app to be ad-free. Our qualitative research on this reflects the same sentiment: parents are not that bothered about advertising in kids apps. 100% 75% 50% 25% 0% No Base Size: 500 Parents Dubit - Children’s In-Game Spending Under £1 Under £3 More than £3
  11. 11. Dubit: Research, Build & Launch digital experiences for kids brands Kids Research Kids Game Development • Market analysis • Prototype and concept testing • Competitor analysis and market scoping • IP / trend spotting • Game design and ideation • Character and brand design • Game development • Virtual Worlds and Casual MMOs • Design & ideation Kids Apps • Monetization strategies • Ethical marketing • Transmedia modeling • iOS and Android games • Interactive storybooks Launch • Game promotion and player acquisition Dubit - Children’s In-Game Spending
  12. 12. Dubit: Just a few of our customers Dubit - Children’s In-Game Spending
  13. 13. Dubit: Get in touch! If you’d like to know more about what we do checkout our website dubitlimited.com or send Matthew an email: matthew@dubitlimited.com. We love to talk! Address The Half Roundhouse Wellington Road Leeds West Yorkshire LS12 1DR Phone (+44) 113 3947 920 Email matthew@dubitlimited.com Dubit - Children’s In-Game Spending

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