FROM DIGITAL MARKETING TO METAVERSE MARKETING
Metaverse is marketing’s next big thing. The market size is predicted to reach $800 billion by 2024. Blending the physical and virtual world, brands are exploring more and more marketing opportunities from this “future”.
What exactly is Metaverse?
Combining the words “meta” and “universe”, metaverse was introduced as the network of 3D virtual worlds with social connection as the focus. This term was first coined by Neal Stephenson in 1992 novel “Snow Crash,” and the concept became the “buzzword” after Facebook’s CEO Mark Zuckerberg changed his company name to “Meta” in November 2021.
However, Meta is not the only brand to build Metaverse. Giant companies like Apple, Microsoft, Google, Gucci, Zara, etc, have been joining the virtual boom for a long time. Obviously, the futuristic technological concept is something brands should take seriously in digital marketing.
Customers can join by the use of virtual and augmented reality technology. There are a variety of virtual worlds inside a metaverse. Unlike the current digital spaces where people’s experiences are limited through the screen, in a metaverse, customers can immerse themselves into the online experiences like shopping, meeting friends, or attending the events.
How does Metaverse shape the future of marketing?
Reimage the customer experience
Although we have already known about the importance of customer experience, in the metaverse, the companies have to reimage the customer experience concept in a new way. A new multidimensional layer is added regarding the AR, VR, and mixed reality in the customer journey. Starting from the customers entering the metaverse, thousands of problems that brands need to solve to create an immersive experience that engages the full attention of customers.
“Personalisation” is the core value for marketing in the metaverse. This new world offers customisation like never before. Customers can present themselves in their own way: age, social network, and interests. Personalisation in marketing strategy will help the brand have a customer-centric approach and enhance customer experience.
Reshape the customer journeys
Metaverse offers the chance to accelerate e-commerce. Clearly, this change impacts the customer journeys. Brands must analyse the journey again to understand the new behaviors of the customers, from Awareness, Consideration, Purchase, and Retention, to Advocacy. Every engagement the customers have with a service, brand, or product is transformed into virtual stores.
By 2025, nearly 75 percent of the world population on social apps will be using AR (Snap & Delloite survey). Not surprisingly, the youngest generations (Millennials and Gen Z) will be the good fit for this virtual experience. According to Harris’s survey, 48% of Gen Y and 38% of Gen Z think that the metaverse will be part of their daily lives in the next ten years. These digital native generations are familiar with VR, and AR and have no doubt about the future of the metaverse.
Create virtual stores
Brands are buying “land” on metaverse to open their virtual stores. In fact, retailers are investing in the metaverse. While e-commerce only allows customers to observe the products, customers can even try out products and integrate them into their homes before purchasing. For example, leading fashion brands such as Nike, Gucci, Louis Vuitton, Tommy Hilfiger, and Forever 21 all have had metaverse-based marketing campaigns. Nike built Nikeland l on Roblox and purchased a virtual fashion startup. Gucci sold a Roblox handbag from 4,000USA, and Samsung launched its own metaverse on Decentraland to showcase its products.
Be genuine and authentic
Whether it is digital marketing or metaverse marketing, customers demand authenticity from brands. Marketing is not merely selling. It’s about serving. When brands can connect with people by emotions, they will win customers’ loyalty.
How Industries are applying Metaverse in Marketing
Metaverse is not a brand-new concept. Many companies across industries already created metaverse-like experiences. Specific trends can be seen:
Corporate: Remote work is evolving with the metaverse, especially after the COVID-19 Pandemic. Online collaboration is made easy with virtual space. Microsoft is taking a giant step in introducing tools like Microsoft Mesh with Hololens. By providing an augmented reality overlay in the real world, users can have 3D interactions with others if they have a headset. Another example is Horizon Workrooms from Meta (Facebook).
At any distance, staff members can meet with each other for brainstorming or problem-solving. As a result, working from home is no longer isolating. Instead, human interactions are totally possible. It is possible to expect that more and more companies will have their own spaces on metaverse.
Minecraft is an open-world sandbox environment at allows an endless amount of gameplay. Especially, users don’t need the latest gadgets to play.
The common elements of these platforms are a strong social network and a decentralized economy.
Retailers: A growing number of retail brands are flocking to the metaverse. They consider it as a potential channel to level up their marketing and interact with customers. The benefits of metaverse for retailers include time-saving for consumers, expanding the customer base, assisting visualisation and engagement compared to physical stores, etc. Selling in metaverse becomes the target of giant names.
Luxury brand Balenciaga intends to launch a metaverse business unit. The brand presented a video game runway for the Fall 2021 collection. And in September 2021, the fashion house collaborated with Fortnite on virtual and physical apparel.
Gucci: A wide range of digital items are sold by this Italian fashion house in 2021. A unique Roblox handbag can be resold at $4,000 and a video NFT auctioned by Christie’s for $25,000.
Entertainment experiences in the metaverse will be the converged world of interoperable spaces, in which users can choose from entertainment venues, events, and services depending on their own preferences.
- In 2020, Travis Scott choose Fortnite’s immersive surroundings to hold a concert to an audience of 12.3 million concurrent players.
- K-pop group – BTS, also debut their new single in September 2020 via Fortnite.
- Walt Disney also announced in 2021 their plan to build a theme park metaverse.
- Facebook (Meta) at Connect 2021 introduced its vision to use both mixed reality and virtual reality to blur the lines between digital and physical.
- Sensorium Galaxy collaborated with some of the world’s famous artists like David Guetta, Steve Aoki to provide a vast number of musical products. In addition, Sensorium Galaxy provides content hubs for meditation and self-actualizations.
Real Estate: What if you sell properties in one country but the customers cannot come for inspection as they live at a far distance? Metaverse obviously solves that problem. People can not only see the properties but also immerse in the interior space before making decisions.
Metaverse in Real Estate simply is parcels of land in virtual worlds. There are many reasons to purchase metaverse: to play games and socialise, advertise services, organise virtual product launches, etc. Just like in real life, you can find not only land but also houses or yachts.
Metaverse is definitely coming and becoming a new normal for society. Having a marketing plan in advance will be a smart move for your brand to be there ready for the change.