Thought Piece | Thought Piece
Metaverse marketing: the importance of strategy for brands
by Liam Springate-Jones
It’s always difficult to make predictions, particularly with the likes of the metaverse, which is still in its infancy. However, it’s important to understand the trajectory of different technologies and digital platforms because they evolve at such a fast rate. The future of the metaverse will likely depend on its ability to keep consumers engaged in its virtual worlds. Over the next few years, the metaverse could transform online experiences across all industries, as well as drive brand loyalty and provide genuine business opportunities that can lead to growth. But what does the long-term future hold for the metaverse and how will it shape brands?
According to research, 54% of technology experts said they anticipate that the metaverse will be a much more immersive and refined aspect of everyday life by 2040. Over the next decade, it’s expected that augmented reality, user interfaces and VR hardware will evolve significantly and be more broadly accepted by wider society.
When fully realised, the metaverse could provide more visually engaging virtual tours of different travel locations and attractions like museums, concerts, and hotels, as well as entertainment opportunities. In 2022, Decentraland hosted the first metaverse fashion week and more than 60 brands attended the event. Even this early in the metaverse’s lifespan, it continues to create new opportunities for brands, allowing them to push the boundaries and open a new realm of experiences for their audience.
As the metaverse evolves, blockchain-based cryptocurrencies could pave the way for digital currency and more peer-to-peer transactions over the internet, or otherwise drive mass adoption of the crypto industry. More broadly, the metaverse could eventually enable people to apply for jobs, and connect with others, and businesses will be able to use virtual reality to share valuable information, collaborate and provide services. The metaverse of today is only a small fragment of its potential. In the future, brands will have the opportunity to take advantage of more powerful virtual worlds that feature improved spatial awareness and advanced simulated reality.
The metaverse creates an unlimited marketing potential. Companies can be more creative when it comes to how they advertise their products. While the process of creating a branded world is a large financial investment, the metaverse can help companies expand their audiences. For example, Shopify, an e-commerce platform, hosted its 2022 summit in the metaverse. It served as a virtual convention where users could purchase merchandise and listen to music inside the experience, all of which show the power of the metaverse and its potential to become a major marketing funnel for brands.
The fusion of physical products, gaming and customer activities has been made possible by the metaverse. In the future, as technology evolves, more brands will start creating their own metaverse experiences, especially as they enter web3 to engage customers in innovative ways. Therefore, the future of the metaverse could become increasingly brand-driven, with sales, marketing and decentralised finance all being utilised more frequently.
The metaverse has the potential to reshape e-commerce and retail experiences by allowing brands to offer shoppers a highly personalised digital experience. According to research, the metaverse e-commerce market is estimated to grow at a CAGR of 39% between 2022 and 2027. Moving forward, the metaverse could be much more commerce-driven with advanced shopping experiences, product discovery and experiential retail. Therefore, businesses must optimise their platforms for the best customer experience even in uncharted terrain like the metaverse. Many brands like Nike and Walmart have already created engaging and immersive customer experiences through the metaverse.
However, the potential of the metaverse isn’t just limited to e-commerce. Purchasing products and services directly on social media platforms has become increasingly popular, so moving forward, more companies will be able to monetize their content more easily and build meaningful relationships. Social commerce in the metaverse is likely to evolve massively over the next few years and just like across branded social content, it’s important to stand out with human-first content. This can be achieved through Human Understanding, which measures human response and behaviour, and how we interact with others – and it will continue to play a key role in the success of the metaverse. The metaverse has always been driven by its community spirit, so it offers an avenue to continue creating an engaged, social experience around brands’ products and services.
At Splendid UNLIMITED, we have a specialist team of digital experience designers.We create bespoke online experiences for brands to help them grow and drive more conversions. We do this by developing brand identities and product designs to achieve your business’ goals. In addition, we deliver workshops to give brands an introduction to the metaverse. Do you want to find out more? Register your interest today.