Facebook credits are “a net tax”, says Kabam

After Facebook forced developers to switch to Facebook Credits for microtransactions, and then began rolling out an internet wide API, many people expected conversion rates to improve in social games.

Kevin Chou, from Kabam Entertainment, says that’s not the case.

“We thought that conversions would go up and be around 15 or 20 percent. But it turned out to be around 5 to 10 percent, meaning that we’re taking a 20 percent net tax.”

John Spinale, from Disney Interactive, said mobile users are more likely to spend money on gaming and commented that Android was seeing “incredible revenue growth”.


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