Increasing Transparency for Consumers Showing Probabilities of Virtual Items in Loot Boxes in Digital Games

Abstract

This study aims to investigate the public acceptance of potential loot box regulation in digital games, focusing on the similarities between loot boxes and gambling, and the need for increased transparency. An online survey was conducted in July 2019, targeting participants from Germany, Hungary, South Africa, Thailand, the United Kingdom, and the United States of America. The survey collected data on consumer preferences regarding the mandatory disclosure of loot box probabilities. The survey results indicate a strong public agreement on the need for mandatory transparency in displaying loot box probabilities. Participants believe that showing these probabilities would lead to a decrease in spending on loot boxes, suggesting that game publishing companies currently avoid this practice due to potential revenue loss. The study concludes that there is significant public support for increased transparency in loot box mechanics, with participants from all surveyed countries agreeing on the necessity of such regulations. The findings suggest that regulatory bodies should consider implementing laws to mandate the disclosure of loot box probabilities. Further research is needed to explore consumer preferences in other countries and to determine effective regulations for digital games with loot boxes. This study contributes to the limited knowledge in this field and highlights the importance of understanding consumer preferences in game design and regulation.