Today the ad offer network Offerpal Media added new direct payment methods to its Managed Offer Platform. Users will be able to use these payment methods to obtain virtual currency in any game that has integrated Offerpal. The new payment methods include STi prepaid phone cards, paysafecard, Taiwanese prepaid card distributor Mycard, Rixty, BillMyParents, and Clickandbuy. The new options will allow Offerpal to accept payments from over 200 countries.
Along with the new payment methods, Offerpal Media is announcing the hire of Alex Brutin as Vice President of Business Development. Brutin's responsibilities will include forging new payment relationships between payment services providers and Offerpal Media. Brutin comes to Offerpal from a background in the payments industry, with prior service as Head of Channel Partnerships at Google Checkout and as part of Merchant Services Business Development at PayPal.
Offerpal Director of Marketing Matt McAllister says the new payment methods are part of a concerted effort to grow the direct payments half of Offerpal's business. He believes that as the online games and virtual world space grows more competitive, fewer developers will want to waste time and effort on payments integration that could instead be spent on developing their games. These developers can instead just partner with Offerpal and get access to a robust suite of alternative payment methods.
"There are a lot of people who want to buy virtual currency or virtual goods but who don't want to use their credit card. Our end goal is to help our partners monetize more of their users, and only about 1% to 3% of your users will monetize in a traditional way. If Offerpal can get that up to 5%, 6%, 7%, you're doubling your revenue," said McAllister.
McAllister points out that when developers partner with Offerpal for payment needs, Offerpal takes over responsibility for fraud and customer support. He cites these two aspects of payments as particularly difficult and time-consuming for game developers to manage on their own. McAllister says that the complexity of payments in the virtual goods space has reached a point where even very large developers lack the time and resources to integrate with every payment method individually.
Offerpal has announced prior relationships with Rixty and BillMyParents. Rixty CEO Ted Sorom commented on Rixty joining Offerpal Media as a direct payment option back in September. Offerpal's initial partnership with BillMyParents was more nebulous, announced as an initiative to develop new payment alternatives for teens and tweens. BillMyParents was also integrated into Offerpal's direct payments suite at that time.
Join us for App Conference – October 18-19, 2012 in Santa Clara