Understanding In-Game Purchases in the Metaverse: The Role of Avatar Identification and Motivational Factors

The metaverse is a rapidly growing sector of the gaming industry, currently engaging more than 2 billion players worldwide. Due to a lack of metaverse gaming research, practitioners and academics are unaware what influences Consumer buying behavior. This study seeks to understand the psychological factors that motivate Metaverse game buying. Social Determination Theory explained in-game purchases. Since players know gamers, Snowball sampling is used to obtain data from 204 Metaverse gamers. An online survey collects reliable data. PLS-SEM is used for data analysis. Findings depicts In-game purchases are directly affected by avatar identification, and the mediation effect of hedonic, utilitarian, and social motivation is consistent with previous research. Limitations are sample diversity may limit the study’s applicability to other gaming environments and populations. Future research should include longitudinal data. Further research should support results with evidence from many different cultures. This study extends digital user behavior research by providing a better knowledge of avatar identification, in-game purchases, and Self-Determination Theory in AI-powered metaverse environments. Practically, it contributes to SDGs 9 and 8 by illustrating how immersive AR/VR technology and appealing avatar identity generate micro transactions, empowering digital entrepreneurs and promoting the expansion of the virtual game economy.