Facebook is shifting its payment mechanism away from Facebook Credits to local currency payments. The company has begun previewing local currency payments for game developers and will soon launch the local currency API for all developers. Facebook Credits will not be supported September 12 onwards. In short, the company is giving developers 90 days to make the shift to local currency.
The company first announced the move a year ago, but has now informed its developers as well so as to give them the time needed to prep their apps. Facebook will convert all existing Credit balance that users may have to local currency. Facebook launched Credits in India in 2011.
Currently, Facebook Credits is the company’s way of allowing users to pay for games or digital goods. However, the problem here was all transactions were made in US dollars. While the service itself was sound in principle, it seems like Facebook wants to give users the option to pay in their local currencies.
Facebook is now phasing out Credits in favour of local currency payments
The social network will be focusing more on Payer Promotions for local currency than on Payer Promotions for Credits. It is also aiming to reduce the sponsored support for TrialPay offers, which are essentially interactive ways with which users can earn in-app currency by completing advertiser offers.
The shift to local currency seems to be a good move for both Facebook and developers. Pricing can now be customised for the market and country that Facebook has users in. Additionally, the company has said that this shift will help “realise additional reduced latency as a result of fewer server requests for payment completion, like the second server request to confirm order fulfillment and real-time updates to confirm the transaction.”
A post by Facebook’s Prashant Fuloria explains the move: “By supporting pricing in local currency, we hope to simplify the purchase experience, give you more flexibility, and make it easier to reach a global audience of Facebook users who want a way to pay for your apps and games in their local currency. With local pricing, you will be able to set more granular and consistent prices for non-US users and price the same item differently on a market-by-market basis.”