The virtual goods economy has grown exponentially in the last several years and now surpasses the GDPs of countries such as Aruba and the Cayman Islands. Companies such as Zynga, who makes FarmVille and Mafia Wars has made billions of dollars selling virtual goods and others have been similarly successful.

However, the concept of virtual goods is still confusing to many brands who aren’t sure how to leverage items that aren’t essential to the gaming experience but which enhance gameplay.

There are several areas of gaming that companies should consider monetizing while preserving the free-to-play model.

Character Customization

Just as you spend money on clothes and accessories such as jewelry at stores, many games and platforms make it possible for users to buy clothing and other items for characters. Some of these virtual goods are means through which a player can increase the quality of gameplay, and others have aesthetic value. One company that has capitalized on this is Habbo Hotel, which has more than 75 million registered avatars in 29 countries and 90% of their $60 million+ yearly revenue is from virtual goods.

Leveling Up

In many games, there is the option of facing a series of levels in order to gain points or perks. But more recently, game companies are giving players the option of avoiding this time-intensive process in favor of buying in-game currency and advancing levels through this method. An example of this is the success League of Legends has seen with their introduction of “Riot Points,” which players can use to buy additional characters. Business Insider estimated that the company makes at least $250 million through the sale of these virtual goods.

Online Community

Another way that virtual goods are used in games is via the community that they promote. With subscriptions and add-on options, users can have access to forums, min-games, and multiplayer tournaments. It’s not necessary that you have a subscription, but it is a means of leveling up more quickly and also feeling that you’re helping to maintain and improve the community.

All of this is important, because the gaming industry continues to look for ways to make gameplay more enjoyable for players. Virtual goods offer users the means to customize characters, tailor gameplay to their unique needs and ultimately connect with other people in an expanding online community.

Imagine the possibilities if you could buy brand items within these virtual environments. This would allow you to customize your online persona with licensed branded items that are a reflection of your real world preferences and identity.

BLMP ©2018, Singapore

BLMP (Blockchain Licensing Marketplace) is a blockchain technology company working to remove obstacles and facilitate trust in the complex issues surrounding Supply Chain Management transactions in the virtual goods industry.

BLMP Network uses blockchain technology to connect digital platforms around the world with global brands to monetize officially licensed virtual goods across any digital platform; from games to streaming services & social media, allowing millions of users access to a whole new world of branded virtual products.

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BLMP ©2018, Singapore