Xsolla Expands Payment Solutions in Southeast Asia, Boosting Game Developers' Reach
Cambodia, Friday, 25 October 2024.
Xsolla, a global video game commerce company, has significantly expanded its payment solutions in Cambodia and Indonesia. This strategic move aims to enhance market access for game developers in Southeast Asia, offering localized payment options and smoother transactions for both developers and gamers in the rapidly growing region.
Localized Payment Methods: A Game Changer
Xsolla’s recent expansion introduces eight new payment methods in Cambodia, effectively covering 90% of the payment market. This includes dominant players like Bakong KHQR and Acleda Bank, which hold 45% and 15% of the market share, respectively[1]. This strategic move is set to benefit nearly 2 million gamers in Cambodia, where digital payment transactions have already seen a 28.7% increase. In Indonesia, Xsolla’s strategy targets a market of over 185 million gamers—80% of whom have limited access to traditional banking services[2]. The introduction of alternative payment methods, such as e-wallets, bank transfers, and cards, aims to cover 90% of the Indonesian market, facilitating easier transactions for developers and gamers alike.
A Strategic Approach to Market Expansion
Xsolla’s Chief Strategy Officer, Chris Hewish, highlights the company’s commitment to empowering game developers to enter new markets as central to their mission. By providing localized payment methods, Xsolla addresses the unique challenges faced by game developers in Southeast Asia, particularly in regions with low banking penetration like Indonesia. This approach not only reduces transaction friction but also improves the success rates of digital transactions, a crucial factor in a region where digital transformation is rapidly progressing[3].
The Growing Southeast Asian Gaming Market
This expansion comes at a time when the Southeast Asian gaming market is experiencing significant growth. The market is projected to reach $7.1 billion by 2028, driven by increased gaming time and a growing interest in esports and emerging technologies like play-to-earn games[4]. In Cambodia, the gaming market is expected to reach $75.21 million by 2027, with mobile games accounting for 66% of revenues in 2023[1]. Such growth highlights the importance of providing robust and localized payment solutions that cater to the evolving needs of gamers in the region.
A Vision for the Future
Xsolla’s expansion is not just about introducing new payment methods but also about fostering a comprehensive ecosystem that supports game developers from start to finish. With tools for game financing, marketing, launching, and monetization, Xsolla has supported thousands of developers and publishers globally, partnering with industry giants like Valve, Twitch, Epic Games, and KRAFTON[2]. This expansion further solidifies Xsolla’s position as a key player in the global gaming commerce sector, particularly within the burgeoning Southeast Asian market.