Africa’s gaming market is expected to top $1 billion in 2024
Marketplace Tech
Marketplace
4.5 • 1.3K Ratings
🗓️ 26 March 2024
⏱️ 5 minutes
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Summary
The number of gamers in Africa has doubled in recent years, but many gaming platforms require users to pay for subscriptions or make in-game purchases. That’s a problem for users who don’t have credit cards, but as the BBC’s Mo Allie reports, some fintech companies think they have a solution.
Transcript
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| 0:00.0 | Gaming growth has hit a slump, but not in Africa. |
| 0:05.0 | From American public media, this is Marketplace Tech. |
| 0:08.0 | I'm Megan McCarty Carino. Africa is one of the world's fastest growing video game markets. |
| 0:24.0 | It's bucking a global slowdown in sales and usage |
| 0:27.7 | that has led to layoffs across the industry. |
| 0:30.7 | The number of gamers in sub-Saharan Africa has more than doubled in recent years, largely on |
| 0:36.4 | mobile, but the lack of access to credit cards could be a limiting factor. Now, as the BBC's Mo Alley reports some FinTech |
| 0:45.2 | companies are jumping in to bridge the gap. |
| 0:48.6 | The Dutch research company New Zoo predicts Africa's gaming industry will generate more than a billion dollars for the first time ever this year. |
| 0:58.0 | Much of the growth, which is being led by Nigeria and South Africa |
| 1:03.2 | is down to the continent's young population, |
| 1:06.0 | increased internet access and cheaper smartphones. |
| 1:10.0 | But paying for subscriptions and making in-game purchases remain a challenge. |
| 1:15.2 | Lucy Hoffman is co-founder and chief operating officer of Carrie First, |
| 1:20.0 | a Cape Town-based video games publisher. |
| 1:22.6 | Credit card penetration in Africa is only 2.7%. |
| 1:26.6 | And so a lot of the traditional platforms, |
| 1:30.3 | like Google Play or Apple, on credit cards and therefore a lot of our players just can't buy the content they want. |
| 1:40.0 | Big focus for us has been sort of bridging the gap. |
| 1:43.0 | Hoffman says her company has already made inroads into finding payment solutions for gamers across Africa, like Pay First. |
| 1:52.0 | Essentially we integrate with payment methods that are available in Nigeria. |
| 1:57.0 | That may be O pay, which is a wallet, it may be bank transfer, |
... |
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