Manila, Philippines – A new study by Omnicom Media Group (OMG) has found that Filipino gamers have the lowest propensity to spend PHP 620 and above in a month on in-game purchases compared to their APAC counterparts. Gamers in China, for example, spend at least three times more and those in Hong Kong spend two times more.
According to the report, the concept of creating value for Filipino gamers is crucial because when they do spend on microtransactions, the reasons are value-specific, e.g. when there is a sale (50%), in-game power-ups (36%), gifts (31%), a treat for oneself or someone else (31%), and limited-time release (29%).
In general, 50% bought an in-game skin, character, or accessory in the last three months. Other items purchased during the period included battle/season pass (38%), gears/weapons (33%), extra lives, hints, or boosters (29%), and gaming currency (28%).
The report notes that while gaming is a popular activity in the Philippines, oly around 61% of Filipino gamers identify with the label ‘gamer’, on par with the APAC average and sharing similar sentiments as counterparts in Singapore, Vietnam, Malaysia, and Indonesia.
Meanwhile, around 28% do not consider themselves gamers and 10% are unsure. Across all generations, those do not associate with the term ‘gamer’ share two common themes for its definition: time spent playing and device played on.
The top reason was respondents only gaming on their smartphone (44%), like those in Malaysia, Indonesia, and Thailand. Some also said gaming is not their only hobby (35%) and that they do not play enough (33%).
According to the report, while these items offer brands a variety of opportunities to create in-game collaborations, companies might see lower than expected conversions due to low average monthly spend. Also, these branded collaborations might only work if there is high brand affinity and if they offer value to gamers. In turn, branded microtransactions require a variety of exciting, urgent, and emotional messaging to persuade gamers to purchase.
Mary Buenaventura, CEO at OMG Philippines, said, “While Filipino gamers might experience Internet challenges such as penetration and speed, one should never underestimate the opportunities in gaming. This research indicates that most gamers can no longer be stereotyped as hermits in their dark rooms. Instead, they are highly mobile and are playing during breaks or during their daily commute, thereby democratising the gaming experience.”
She added, To succeed in this space, brands are encouraged to invest on game development or in-store gaming experiences that meet the high expectations of Filipino gamers’ and offer them original, real-world moments.”
