Africa is the second largest continent in the world, with diverse gaming culture.
Payment plays a critical role in the gaming industry, different modes of payment have been introduced. Players have the freedom to select their preferred mode of payment to pay and play.
Apart from cash, players can pay by debit/credit card, wallet, bitcoin, airtime in cellular phone etc. Cashless mode of payment has been a revelation and innovation taking over the African market.
Let’s understand the different modes of payment dominating in the African market.
East Africa: Telcos have played a crucial role in introducing cashless modes of payment. Mpesa is the first mobile payment solution owned by Safaricom. It has set up a brilliant example of how a mobile payment solution can be successful. The Mpesa wallet accounts for over 50% of all transaction in Kenya via their mobile wallet.
East Africa is progressive in terms of cashless modes of payment. Visa and Mastercard are also key forms of payment. Bitcoin is slowly becoming part of the market.
West Africa: West African market is slowly progressing towards cashless payment. The key forms of payment in the region include USSD, Visa, and Mastercard. A number of operators are also experimenting with Bitcoin.
North Africa: North Africa has largely been influenced by Arabic and French culture. Majority of cashless payment solution is controlled by Arabic and French companies. Mobile and Internet penetration rate is high as compared to other parts of Africa, hence the number of cashless transaction is more and done via mobile.Southern Africa: In this region, South Africa is a key player because it is the most developed country. The banks here provide a various number of payment solutions. Visa and Mastercard are already established in the country. Mobile payment is also a strong part of money transactions in and out of the country. With over $10bn been transacted between the region via mobile money every year to the payment of goods and gaming services. Gaming companies can significantly benefit from the penetration of cashless payment system in Southern Africa.