Roblox Introduces New Monetization Methods for Its Game Developers

• Roblox recently announced a bunch of updates to its revenue system.
• It will now allow developers to offer paid video games and deal with fiat currency instead of the platform's own virtual currency.
• It has also joined hands with Shopify (to allow developers to sell merchandise) and introduced a new affiliate program for them.

At its annual developers conference in San Francisco on September 6, Roblox announced a bunch of updates regarding its game developers and payment model.

The biggest announcement is that game developers will now be allowed to offer paid video games to other users on its platform. Plus, instead of relying on the platform's digital currency, Robux, they can charge users fiat currency like the USD.How Will the New Payment System Work?

The payout will depend on the price of the game. The details are yet to be discussed, but the crux is that games priced at $50 will retain 70% of their revenue, whereas those priced at $30 and $10 will only retain 60% and 50% of their revenue, respectively.

For now, the transactions will only happen in USD, but later this year, developers will also be able to use their local currency.

Other Monetization Features

Roblox has also announced three additional features that will help creators with monetization.

• The first one is a Price Optimization" tool that will help them determine the best price for in-experience purchases. This will ensure that developers don't underprice their products and can maximize their sales.
• The second announcement is that there will be a new affiliate link program, where creators can earn up to 50% from in-platform purchases made by new users who sign up through their unique link. However, the earnings here are capped at $100.
• Last but not least, Roblox has joined hands with Shopify so that creators can earn more money by selling merchandise within their experiences."

Why Is Roblox Making These Changes?

The reason is quite simple: it's looking for a way to increase its revenue and broaden its horizon. Roblox became popular as a free-to-play games service, where it mostly made money from in-game purchases of Robux (its virtual currency).

Here's how it works: the developers have an offering, the users buy Robux to pay for that product, and Roblox gets a cut and the developers get the rest.

However, as we can see, the monetization potential in this case is rather limited - and this had to change for Roblox to unlock new growth potential.

By offering our new revenue shares for paid access experience, we're giving our existing creators another way to earn on Roblox." - Enrico D'Angelo, Roblox VP of economy

Branching out in terms of monetization methods will also ensure that Roblox is more aligned with the traditional gaming companies.

Apart from the new monetization strategies for developers, Roblox is also partnering with Walmart and Elf Beauty so that users can purchase products directly from its platform. However, it's worth noting that the entire revenue in this case will go to the seller company.

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