Sharechat Logo

Sam Morgan leads $2.5m investment round for SmallWorlds

Monday 16th May 2011

Text too small?

Trade Me founder Sam Morgan led a $2.5 million investment round for Auckland-based social game SmallWorlds.

The investment is to be used to fund the expansion of the company, which said it aimed to be earning $100 million in exports by 2013.

In the game, players can choose to buy virtual goods to personalise their character and spaces.

SmallWorlds said the model of selling virtual goods for micro-transactions to a large online audience was increasingly popular.

"The game is free to play but the scale we can achieve with social networking audiences means that only a small percentage of players need to purchase premium content and virtual goods in order to create significant revenues," SmallWorlds co-founder Mitch Olson said.

The site's audience was already growing by about 200,000 players each month, predominately made up of teenagers, as well as women in their 40s, with 80% of players coming from the United States.

SmallWorlds said it now had 6.5m registered players and 35 staff, with plans for another 20 jobs this year.

Morgan said online businesses, such as SmallWorlds, could grow quickly while maintaining high margins.

Gaming was a huge export opportunity for this country, he said.

"Our next wave of multi-million dollar exporters may well be trading virtual goods, which is a real and significant global market."

 

NZPA



  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comment:
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

Scott Technology Limited (NZX: SCT) Announces FY21 Results
21st October 2021 Morning Report
Greenfern Industries Limited (NZX: GFI) L&Q Notice
TruScreen Group Limited (NZX: TRU) Clinical Trial Results Highlight Efficacy of TRU Technology
20th October 2021 Morning Report
Freightways Limited (NZX: FRE) Acquisition of ProducePronto
19th October 2021 Morning Report
PGG Wrightson Limited (NZX: PGW) Guidance Update
Vital Limited (NZX: VTL) Provides Update on PSN LMR
18th October 2021 Morning Report