Since we started hearing more and more about virtual reality worlds as potential supplements to our lives or extensions thereof, you may be asking if investing in this form of marketing would pay off.This post will introduce the "metaverse" and how to access various virtual worlds while showing where brand potential lies within this new space.
What Is The Metaverse?
A metaverse is any universe within an even greater universe wherein people meet new people, explore, create alternate realities or lifestyles and meet other like-minded individuals. Metaverse refers to any virtual reality environment but most commonly all virtual worlds owned by Meta's Horizon Worlds, as this term describes all their virtual realities environments under its banner.
What Is The Purpose And Nature Of The Metaverse?
Metaverse is an immersive virtual environment where users can engage with one another and perform all activities available to them in the physical world, plus more!Users of Roblox enable users to explore new worlds while shopping and trading; real estate can even be purchased within its metaverse worlds like Warner Music Group and Gucci have done.
Metaverse Statistics That Marketers Should Know
- By 2030, the value of the Metaverse is expected to be $678.8 Billion.
- Metaverse users are over 400 million, with Roblox accounting for 230 million, Minecraft for 165 million, and Fortnite accounting for 85 million.
- Metaverse is a popular option for 36% of adults online.
- By 2026, 25% of the population will spend at least one hour per day in the Metaverse.
- North America accounts for 32% of the market growth in the Metaverse.
- Metaverse is a reality extension for 67% of users.
- Of those who have visited a Metaverse, 67% own virtual items. 54% own virtual currencies and 44% possess land.
- Metaverse, according to 36% of consumers, is the future technology.
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Is Meta The Owner Of The Metaverse?
Facebook might appear to control the "metaverse", given their name change from Facebook to Meta and a successful virtual reality platform. However, this is only one potential example: reality and virtual reality present multiple metaverses for viewers to explore and experience.
Meta's VR world, known as Meta Horizon Worlds, can be accessed with their Meta VR (formerly Oculus) headsets; however, early adopters of virtual reality technology have long used other metaverses as alternative experiences.
What Happens In The Metaverse?
As part of our attempt to describe what happens in a metaverse, we'll cover several types and what companies and individuals can do within them.
Metaverse Terms You Should Know
- NFT: The much-buzzed-about non-fungible token is a finite or unique digital token, such as digital art, avatar clothing, or VR-based objects, that you can purchase ownership of or stake in. Deep in its blockchain-based coding, there's a certificate saying you own or have the right to the item. (And, yes. This is a complex issue that requires more than a simple definition.
- NFT real estate: A digital non-fungible house or land in the Metaverse that can be sold or rented. The buyer receives a digital certificate or deed stating that they own the real estate.
- Blockchain A digital ledger for transactions, certificates and contracts.
- Cryptocurrency: Digital currency you can buy, sell or use online to purchase goods or in Metaverse. Digital coinage comes in different forms. Bitcoin, Ether and Dogecoin are famous examples. Each cryptocurrency has its value. You'll want to check the price of Bitcoin, Ether and Dogecoin.
- Open source: Open for all users to edit and is not controlled by any brand or entity.
Developers creating open-source metaverses may be unable to identify which company owns them nor provide customer service should something go amiss.They allow more freedom for users.
Once we understand metaverses, let's look at some popular ones.
Three Popular Metaverses And What You Can Do In Each
This post is centered around three of the most popular metaverses. In the next section, I will show examples of brand opportunities in many metaverses.
Meta Horizon Worlds
Meta headsets (previously called Oculus) can access the Meta universe.Mark Zuckerberg, the CEO of Facebook, has discussed the possibility of expanding the experience to include contact lenses or even holographic experiences.This Metaverse may be the best known to marketers and late adopters, but it's one of the newer significant metaverses.
Horizon Worlds allows you to do everything previous metaverses have allowed you to do.
- Create your avatar or virtual likeness.
- Meta Horizons allows you to talk with other Meta Horizons users.
- Playing with other Meta Horizons members.
- Asking Meta support (also in the Metaverse) questions.
- Teleporting into different locations within the universe and experiencing new experiences.
- Horizons Marketplace allows you to purchase digital products such as virtual clothes.
Horizon Worlds is different in two critical ways from the other metaverses that we will discuss below:
- Horizon Worlds is a centralized site with one owner with specific use restrictions and rules users must abide by to use its platform. Horizon Worlds requires its players to accept its terms of service and follow any relevant policies; otherwise, they could risk being removed and kicked off the platform altogether.
- Decentralized metaverses tend to feature minimal regulations and management due to being developed by initial creators or developers; as a result, owners of such media step aside and allow the users to roam free within them.
- Virtual Meta staffers frequently attend each public space to monitor users and instruct them on utilizing Horizon Worlds' best.
- Horizon Worlds does not enable its users to purchase land or monetize their brand. However, a marketplace exists on Horizon Worlds; there are no obvious ways to make money. On other metaverses, we will cover below. However, users' primary goal should be purchasing, selling or leasing virtual real estate assets for profit.
Sandbox
The Sandbox is one of the oldest gaming metaverses. First created as a videogame in 2018, its development quickly evolved to the point that investors in both NFTs and metaverses showed keen interest.Once inside the Metaverse, users can purchase land using cryptocurrency known as SAND or Land and build upon it using Sandbox jobs to sell, rent or acquire land properties.
Sandbox is a desktop game reminiscent of LEGO extreme universe combined with Minecraft features. It provides a better idea of its appearance and feel. Here is a short preview to give an impression of its style and aesthetics.
Sandbox's long history and credibility within the Metaverse make it attractive to some wealthy early adopters who already own properties there, including Attari, Adidas, Snoop Dogg (among many others), and major gaming companies.Real estate prices in this Metaverse have seen dramatic appreciation over the years due to "finite" land plots and limited production of SAND tokens.
Decentraland
Decentraland is one of the metaverses early adopters are most drawn to and invested in, becoming early investors.Ari Meilich & Esteban Ordano's virtual land and NFT property created in Argentina are notable for the numerous cities worth millions of dollars each.
Decentraland lives up to its name as it allows anyone access to create on this virtual, open platform; however, unlike Horizon Worlds, which can only be reached using mobile phones, Decentraland remains accessible by desktop computers only.
Also Read: How Metaverse Can Enhance The Real Estate Industry
Metaverse: The New Future?
People in their 30s or 40s may find the Metaverse strange at first. These generations were raised in analogue environments and first experienced the Internet when it first launched; by the time smartphones became widely used, they were already adults.
The next generation is looking at things from an entirely different angle; Metaverse will become part of daily school life for children today; they'll experience physical and virtual worlds simultaneously in these cutting-edge virtual realities just like we are used to having 24/7 internet connectivity at their disposal.
The first businesses to enter will hold an incredible advantage; adapting big brands to whatever changes come their way will prove especially advantageous, while more companies will join as it expands and progresses.
What Does It Look Like To Run A Metaverse Business?
The Metaverse can be best defined as a virtualized version of physical reality. Businesses operate similarly in this space: for instance, meeting rooms allow companies to conduct meetings using avatars or customer holograms. At the same time, realtors show clients houses for sale.Construction contractors will build virtual properties. Virtual spaces will serve as sales pitches. Furthermore, virtual interactions should enhance human interaction rather than replace it.
Real estate will be required to facilitate meetings and business operations in the Metaverse, along with furniture, office supplies and decor that people want to buy for their virtual workspaces. Entrepreneurs may seek ways to sell these goods.All this will not happen soon as Metaverse technology may take at least 10 years to become widely available, and businesses begin using Metaverse strategies for success.
Here is a preview of the Metaverse.
- Roblox is a gaming platform that allows you to create and play virtual worlds. Robux is the digital currency that the platform uses to monetize its games.
- Fortnite is a multiplayer free-to-play game that quickly gained popularity due to its realistic gameplay. Over time, the game became more virtual and hosted a Travis Scott virtual concert.
- Facebook Horizons and Microsoft Mesh - Facebook has released Horizons Works. This virtual workspace is a competitor of Zoom and similar technologies. Oculus VR allows employees to collaborate and interact in a virtual environment. Microsoft's Mesh product creates a digital twin of a physical workspace for virtual interaction.
- Decentraland and The Sandbox: The virtual environment Decentraland allows anyone to construct and charge for buildings like theme parks or museums. Users can purchase digital assets using native tokens. Sandbox, another gaming Metaverse, allows users to sell digital assets in NFTs using the native currency.
- Second Life: Second Life is one of the oldest virtual worlds. It was launched in 2003. Users can create avatars that perform real-life tasks in a virtual environment, like shopping and socializing.
Metaverse: 5 Early Opportunities For Brands
Virtual worlds each provide their own experience and target audience. Yet, all provide brands looking for new marketing strategies some opportunities.
Below are several examples of how brands can utilize existing metaverses:
1. Virtual Events
Decentraland and Sandbox are virtual worlds where multiple landowners rent out space to host virtual parties or events, similar to renting your backyard.
Some companies and entrepreneurs have also developed land for events like NFT art exhibitions, conferences or meetups.Hosting or sponsoring part of an event can bring in cryptocurrency revenue while helping raise awareness about your product or service and build brand recognition.
Attend virtual events, purchase tickets, and speak at them if your budget does not allow you to organize or create one yourself.Use your VR event time wisely: network with peers in your field or meet potential customers who may buy even non-VR products from you.
2. Influencer Marketing And Community Marketing
Your goal is to have multiple conversations across any metaverse while casually mentioning what products or clothing with logos of NFT are being sold or worn by you.Pay someone familiar with the Metaverse to assist with spreading the message about you and the Metaverse.Influencer and community marketing do not end here.
Even with a limited budget and event-planning experience, large audiences in your Metaverse offer you an opportunity to connect with users interested in what your service or industry offers. This makes virtual events possible even without big budgets for organizing them.
Host a meetup on your brand's virtual space or free Metaverse where people can discuss relevant topics to your product or industry. This would create an informal discussion space.Start a casual conversation while there. Play a game together to break the ice and learn more about one another.Your network and credibility will increase significantly while creating an interest group focused on your niche, brand or similar topics.
3. Ownership Of Branded Locations And Shops, Avatar Fashion, Games, And Shops
Decentraland and The Sandbox offer many metaverses where brands with significant budgets can brand and purchase real estate, such as art galleries or stores where NFT products may be purchased.Meta Horizon Worlds does not yet support this feature, but it will eventually come online. Perhaps more structured compared to decentralized worlds with fewer restrictions.Meta Horizon Worlds' Walmart stores offer customers an experiential element.
Walmart demonstrated their Metaverse Store in 2021. This would enable people to order products via VR headsets and deliver them directly to their addresses.Horizon Worlds explores ways in which businesses can monetize their experiences.
Decentraland, Sandbox, and other metaverses have long featured digital shops (primarily to purchase non-fungible tokens (NFTs)), art galleries, cars and teleportation devices, paid brand experience locations, and paid brand experience locations.
4. Advertisement Or Sponsorship Of Metaverse Content
Brands may pay creators to feature their products, logos or NFTs; decentralized metaverses can be particularly complex and risky.
Start by searching out NFT landowners with an extensive advertising track record online and in VR; I discovered NFT Plazas while researching this article.The brand will claim that they own real property or plazas where avatars frequent, then project advertisements, QR codes or digital experiences onto these structures or signs.
Be wary of scams and always use contracts or paper trails that are easy to follow and understand.Decentralized worlds may not always offer legal or customer service representatives who can be called should your avatars go missing.
5. Inbound Sales And Networking
Today's market and sales reps are messaging, zooming, emailing and attending networking events to inform potential prospects about our product or services. They might even go directly into contact with people.Imagine doing all this digitally with avatars, talking and exploring worlds from almost any Metaverse for free.
Casually mention your product while networking, then provide information about where they can find more details.Reach more people than with email alone.Increase sales by selling non-technical items such as virtual art, real estate and cars.
Why Metaverse Is Important For Business
Businesses should keep tabs on the rapidly emerging metaverse concept for business opportunities that it presents - including:
Profits From Digital Products
Digital assets sold on platforms like Roblox, Fortnite and Decentraland generate millions of dollars annually, creating an unprecedented virtual economy where brands can leverage virtual counterparts as sources of new revenue streams.Nike and luxury fashion houses such as Gucci, Dolce & Gabbana (link to updated fashion NFTs) have begun selling virtual clothing and wearables online.
Small businesses can also leverage this trend, using virtual markets to sell products whose virtual counterparts generate greater demand in physical form while increasing revenue generation within the Metaverse.
Improved User Experience
Ecommerce has altered consumer and business expectations alike. Customers appreciate its convenience while hoping for something similar to an in-person shopping experience.
AR and VR provide consumers innovative ways to interact with products and services and shop. Before buying them in person, customers can test out various versions and try them before committing their money and time to something real.Some brands are taking advantage of this trend and creating virtual shopping malls where anyone can view their products.
International Reach
The Internet was an absolute revolution for global trade and commerce. Metaverse provides anyone, everywhere, an effortless, universally accessible way of engaging with brands around the globe and thus allows brands to provide seamless and accessible experiences to consumers globally.
Improve Employee Collaboration
Horizons Workspaces, Mesh and other virtual technologies provide solutions that address the gaps between remote and hybrid offices, enabling employees to collaborate more efficiently while increasing satisfaction and engagement levels among workers.
Employees can brainstorm and collaborate in an immersive virtual office environment rather than on screens alone. This immersive, collaborative setting, known as Metaverse, enables anyone to collaborate while sharing ideas as though working within an office setting itself.
Improved Product Development
Uninformed market selection can lead to product failure for businesses. While product testing offers some solutions, such testing is expensive and time-consuming for most organizations.Metaverse removes these barriers with its virtual world environment - it offers brands an easy and accurate way to test products using digital twins of their product with avatars in Metaverse.
VR testing offers companies new levels of insight. By simulating customer behavior and emotions through VR simulations, organizations can gain knowledge of customer habits by observing body language analysis - giving businesses valuable data that helps enhance product experiences for end customers.
Advertisement And Marketing Improvements
Marketing and advertising continue to explore innovative uses for technology in customer communications, using targeted ads, interactive billboards and other methods - none more so than Metaverse!
Note that this can be both effective and detrimental; brands in the Metaverse could overdo their advertising and marketing practices to an extreme degree, compromising customer experiences and harming the brand image.
Also Read: How Meta AR Engine Helps Build A Large-Scale AR Platform For Everyone
Should You Invest In The Metaverse?
Metaverse audiences continue to expand, yet some brands and audiences may only be able to afford virtual world investments shortly.Remember, social media, such as MySpace and Facebook, were treated with similar suspicion upon launch.Technology that may not yet be widely accessible may become widely accessible over time.
Suppose your enterprise brand can afford the risks of exploring virtual worlds and taking risks. In that case, these marketing strategies might be worth considering. A task force could help decide whether investing in the Metaverse will yield returns.
Before other brands can fully understand and evaluate metaverse opportunities, they need to become comfortable with them before investing time or energy in them. Just because other businesses may take longer does not mean you should ignore metaverse concepts completely!
Brands operating within VR could be affected by several key elements this year.
- New Meta Horizon Worlds features. Meta's priority after launching or purchasing any platform has always been figuring out ways to monetize content and develop brand tools - and Horizon Worlds is no different.
- Meta platforms have long been relied upon as reliable channels for advertising revenues and brand building; as more monetization tools become available, they will only become more reliable sources.
- Metaverse Competition: Like social media platforms, metaverses are constantly emerging online - their creators are working tirelessly towards improving them to attract more users.
- Metaverses may evolve to become increasingly competitive and offer innovative features designed to attract more users - which would increase monetization potential for all brands imaginable - like Meta. Large VR companies could build their worlds instead of using decentralized ones as another example of such change.
- Accessible technology: At present, VR requires an internet connection with high bandwidth speeds, a computer with sufficient storage, an Oculus headset (currently Oculus Rift only) and either Meta or Oculus headsets starting at $300 each for Horizon Worlds.
- Although most people now have internet access, few experience the high speeds necessary for VR experiences. As VR becomes increasingly popular and technology such as 5G and Web3 becomes available worldwide, VR experiences may become possible with less equipment at lower costs.
At its heart, the Metaverse is vast and complex - we do our best to inform our audiences. Still, each individual must do their research before making their judgment. Let us know if investing time, money or crypto seems worthwhile, and we can discuss further!
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Conclusion
Metaverse will soon become a reality and change our natural world in ways never seen before. Over time, virtual reality and Metaverse Marketing will take our experiences to new levels of immersiveness.
Like any emerging and developing technology, Metaverse faces various obstacles and hurdles to its successful expansion and advancement. Developers and innovators work round-the-clock to turn it into reality.
