Worldline simplifies payments.

Gambling is serious business in Russia; even its roadmap for new Internet communication technologies, recently approved, set in December 2022 for Esports and game development courses be part of education programs at some national universities.

Russia has the eighth largest gaming industry in the world, with a gaming penetration of 80.2%, and is estimated at US $ 3.6 billion in 2025, according to Statista. The domestic cloud gaming market alone was worth around US $ 4.6 million in 2020, and its compound annual growth rate is expected to reach reach 94% in 2024, PwC and GFN.RU reported in May based on the results of their joint investigation. That’s a lot of potential to unlock, but the Russian payment card system and various tax laws can be tricky to navigate. In addition, Russia has a unique corporate culture and continues to develop a digital and e-commerce ecosystem.

“The strengths of the Russian market place are not denied: the large population, their taste for increasingly qualitative consumer goods, the lack of significant currency controls on cross-border remittances and the growth of trade electronics that overtakes the rest of Europe, “Roman Tazetdinov, Head of Geographic Expansion at Worldline, wrote in a recent blog post.” That’s why we’ve spent years study the market and hire many native Russians, like me, to give an overview. However, to be successful in Russia, you need to understand the uniqueness of the payment infrastructure, legislative environment, and technology.

The European leader in payments and transactional services certainly knows the market. Its Russian payment solution has exceeded all expectations in reaches $ 1 billion in transactions in the first 18 months after its debut. It was initially deployed under the Ingenico brand, but now operates under the Worldline name after a recent acquisition. The company has more than 20,000 employees in more than 50 countries, generating a proforma turnover of 4.8 billion euros last year.

The ents she dealt with Russian customers purchasing products overseas during the period testified to her ability to overcome the complexities of the market. With his experience, he knew identify four key challenges facing global traders seeking to explore the potential of the Russian market.

First, Russian consumers are divided between global and local payment providers. It’s not just about the language. Merchants need to prepare for a localized customer experience, from payment to customer support, while ensuring the convenience and security of global transactions.

Worldline’s solution works with major acquiring banks such as Sberbank and Alfa-Bank, Russian domestic card system, Mir and local e-wallets to offer a range of local options in addition to more internationally recognized payment methods. In addition, several currencies are available for the basis of any transaction: rubles, euros and US dollars.

Second, a cross-border transaction structure will impact authorization rates. In many cases, using a hybrid national and cross-border configuration can reduce total credit card costs by up to 50% of what they could be if a “traditional” cross-border model were used.

Worldline can process payments for over 80% of the local acquisition market as it partners with local acquiring banks and can route transactions to card issuing banks.

Third, the Russian ruble is a very volatile currency. The unpredictable currency market could have a significant impact on a trader’s bottom line given that the ruble has a colorful history, dropping 7% in a single day – not just once but twice (in 2018 and 2020). Thus, it is crucial to mitigate the currency risk by quickly converting the local support from the rubles to another currency.

Worldline accepts ruble payments from Russian customers in order to reduce possible risks and exchange costs through its local banking facilities. It can then send the funds to merchants anywhere on behalf of the customer.

Fourth, operating in Russia requires compliance with local rules and regulations. There are strong measures that protect the data and information security of Russian users and the digital sovereignty of the country, so traders need to keep up to date and understand the legal requirements.

Worldline ensures compliance with local regulations by working with a local integrator gateway. This allows it to dynamically route traffic and store data in full compliance with defined requirements. As a result, traders can rest easy knowing that the legal aspects, as well as Russian VAT or sales tax, are taken care of by its built-in functionality.

“Worldline’s long-standing association and strong reputation within the Russian financial system and its banks has given us a deep understanding of the Russian ecosystem,” Tazetdinov told The Green Sheet last month.

“Year after year, we have exceeded all of our targets, particularly in terms of payment volumes and customer adoption. As a result, international businesses benefit from what is now one of our fastest growing payment offerings, ”he added.

Worldline’s total convenience and full compliance make it an ideal payment solution for accessing the booming Russian gaming market. Mobile games created $ 1.5 billion in revenue in 2020, and video games recorded $ 1.8 billion in sales. In addition, most local gamers (81%) also spent money to buy in-game items or virtual goods.

With a government encouraging the development of the gaming industry and a population with a growing appetite for gambling, payment is no longer a barrier blocking access for and to Russian gamers. So dive into a world of expanding opportunities with Worldline, the digital payments provider for a world of trust.