TIGA, the association representing developers and digital publishers, urged games businesses to provide evidence to the Office of Fair Trading about in-game marketing to children. TIGA made the comments following an announcement by the Office of Fair Trading that it would be investigating whether apps that can be freely downloaded from Apple or Google owned online stores have “unfairly pressured” children, to pay for additional content. The OFT is not intending to ban in-game purchases but it aims to ensure that the games industry adheres to relevant regulations that protect children.
The OFT investigation will explore whether these games are misleading, commercially aggressive or otherwise unfair. In particular, the OFT is looking into whether these games include 'direct exhortations' to children – a strong encouragement to make a purchase, or to do something that will necessitate making a purchase, or to persuade their parents or other adults to make a purchase for them. This is unlawful under the Consumer Protection (from Unfair Trading) Regulations 2008.
The OFT will also consider whether the full cost of games is made clear when they are downloaded or accessed, potentially leading to children and parents to make decisions they may not have made if prices were more transparently advertised at the start of the purchasing process.
The OFT is asking for information from games developers and games hosting services, as well as consumer and parenting groups. The information will be used to understand business practices used in this sector, to establish whether consumer protection regulations are being breached and if so what the consumer harm is. To contact the OFT with information, please see the details on the project page. The deadline for submissions of evidence is Friday 28 June 2013. The OFT will publish its next steps by October 2013.
Dr Richard Wilson, TIGA CEO, said:
“’Freemium games’ with in app purchases are an important commercial model for many games businesses in the UK. Freemium games give consumers the opportunity to try out games, initially at no financial cost, and then if they like the experience they can make in-app purchases that enhance their enjoyment.
“Game developers and digital publishers must provide evidence for the OFT to enable it to understand business practices in the sector. It is imperative that consumer protection regulations are adhered to at all times.”
Chris Kingsley, CTO at Rebellion Studios in Oxford, said:
“In the meantime, it is always prudent for parents and guardians of children to monitor their children’s playing of games and to use safeguards that are built into handsets to prevent a child from accidentally or intentionally buying in-app purchases.”
Interested parties can contact the OFT with information at:
Marie Southgate, Team Leader
Office of Fair Trading
Fleetbank House
2-6 Salisbury Square
London
EC4Y 8JX
childrensonlinegames@oft.gov.uk
About TIGA:
TIGA is the trade association representing the UK’s games industry. The majority of our members are either independent games developers or in-house publisher owned developers. We also have games publishers, outsourcing companies, technology businesses and universities amongst our membership. Since 2010, TIGA has won 14 business awards and has been nominated a finalist for 16 other awards.
TIGA's vision is to make the UK the best place in the world to do games business. We focus on three sets of activities: political representation, generating media coverage and developing services that enhance the competitiveness of our members. This means that TIGA members are effectively represented in the corridors of power, their voice is heard in the media and they receive benefits that make a material difference to their businesses, including a reduction in costs and improved commercial opportunities.
For further information, please contact Dr Richard Wilson, TIGA CEO on: 07875 939 643, or email: richard.wilson@tiga.org.