There’s a buzz in the tech world right now about the metaverse.
The excitement and anticipation are genuine, and the buzz is, well, confusing. The enthusiasm has hit like a tsunami, similar to what we witnessed with NFTs, and many people are confused by it.
And just what is this thing called the “metaverse,” anyway? Do you mean to tell me this is a video game? Is it a collection of 100 video games? How does it function, and who owns it?
We’ll set the record straight and look at how brand-builders may make the most of this cutting-edge tech’s benefits.
However, a word of caution: you are entering the untested territory. You should know the difference between the virtual and the real before you set up shop in the brave new world of digital technology.
If the Metaverse is so unimportant, why should marketers care about it at all?
We’ll address some of the issues that have been raised below. But before we get too down on ourselves, let’s put on our optimistic glasses and look at all the nice things occurring in the metaverse recently.
Blockchain systems, the underlying technology underpinning bitcoin and NFTs, are intrinsically linked to the technology on which metaverse experiences are being constructed. These innovations allow the “ownership” of one-of-a-kind digital commodities to be protected.
This allows you to make digital products with a limited run that people are willing to pay for.
Users will crave rare digital products, and the “flex” of purchase will elevate the buyer’s social standing; thus, luxury brands are a natural match. If you can’t buy a Bugatti in the real world, you can always ride in one in the metaverse for a fraction of the cost, and if you’re one of just 500 owners, you’ll appreciate the ownership experience much more.
Cross-promotion between real-world and digital goods is also possible, as shown with Coca-debut Cola’s of a digital beverage in Fortnite Creative.
At the Metaverse Fashion Week, attendees could “buy digital & physical copies of clothing from chosen manufacturers; you may wear the digital in decentral and have the physical sent to your home.” This was an actual event, and it’s easy to see this happening in the future.
This is more than simply a store to buy and sell goods from. Whether via narrative material or interactive settings, you can design VR experiences that let users engage with your business on an emotional level.
If you own a food company, for instance, you might create a game-like simulation of the manufacturing process and offer it to customers as a virtual factory tour. To connect consumers with the people who cultivate their coffee, a company may include a 3D video in its packaging.
Or you might learn from Nike, which has its own branded minigame on Roblox (NIKELAND) that functions as a whole adventure playground.
“Visitors are encouraged to increase their physical activity thanks to NIKELAND’s emphasis on real-world motion. The accelerometers on guests’ mobile devices may be used to bring their offline movements into their NIKELAND experiences. To do impressive feats of gaming prowess like long leaps and speed runs, you can move your gadget and body in the real world.”
Virtual worlds are limited only by your imagination. Likewise, your marketing budget.
What are the steps to Metaverse Brand Building?
Given how new this phenomenon is, this is not an easy issue to address. The size and scope of your brand’s operation also play significant roles.
However, metaverse marketing may end up being nothing more than another campaign channel for your brand strategy to materialize.
Work with a development and marketing firm to enter the interactive technology industry. You may obtain assistance in deciding on a medium, organizing your content for maximum impact, and establishing a foothold in any number of metaverses.
There aren’t many agencies that focus on the metaverse at the moment, but that will change as the market develops.
You should also think about whether or not your brand can contribute to a digital setting.
In light of everything we’ve covered, here are some examples of brands that may do well in the metaverse:
- Fashion
- Luxury goods
- Art and entertainment
- Education
In the metaverse, some brands may not do so well:
- FMCG
- Finance
- Business Software
However, given the almost endless scope for innovation in a virtual setting, no possibility should be discounted.
However, the lack of preexisting playbooks for businesses that have previously made successful metaverse moves leaves much room for innovation. Brands that aren’t afraid to take chances may become the industry’s forerunners.
1. Some consumers may not be interested in spending time there
On paper, many proposals for expanding the metaverse seem fantastic. But sometimes, their ideals are too lofty, and they fail to consider the realities of production.
In the last few years, a proliferation of blockchain gaming initiatives have emerged, most of them being cryptocurrency-linked online games in which players stake claims on virtual land or items. The issue is that they put too much emphasis on the monetary value of their in-game stuff and not enough on the factors that will encourage players to keep coming back. To put it simply, blockchain games are terrible.
These games are often created by “Web3” evangelists who have no expertise in game creation and hence have no idea how to make games that are fun to play. Future metaverse enterprises may put profit above experience.
If your only options in a virtual reality environment are to communicate with others and put on clothes, you won’t last long in that setting. To keep people around, you need to give them a reason to.
Ask yourself whether the metaverse project you’re interested in will provide you the same satisfaction from completing a goal, making progress, facing a challenging game, and having fun as video games have for the last three decades. Or will it die out in a few weeks because people become bored and move on?
2. Participation costs extra for consumers
For the time being, virtual reality headsets are looking like the best way to dive into the metaverse.
But virtual reality gear is still specialized and somewhat expensive, with the cheapest Meta device costing $299. Although the future is uncertain, at this time, it seems unlikely that appearing in virtual reality headsets will be worth the investment in terms of marketing.
Worldwide sales of virtual reality and augmented reality headgear approached 10 million units in 2021. This is projected to almost quadruple by 2023, but does this indicate that your target demographic will be sufficiently online at that time?
3. There are a lot of platforms to choose from
Because “any corporation that constructs a virtual world does so with its access, membership, monetization rights, and modalities of creative expression,” the resources and technology required to run a virtual world may vary substantially.
You’ll need not only to figure out which MMOs your target demographic frequents but also to customize your digital assets to adhere to each space’s regulations. As a result, it may wind up costing quite a bit.
At some time in the future, maybe, technological answers will be available. Comparable to how you might hire a single firm to distribute your billboard ad over 200 locations in a single city, agencies may take care of dispersing your virtual property across various online communities. Careful deliberation is required, or else complications may arise.
Final Thoughts
Interesting possibilities have been discussed. We’ve taken some pretty big chances, too. Should you not delay your entry into the metaverse?
Spending money on creating a brand may be better spent on something that yields measurable results at the moment. Since the infrastructure supporting metaverse branding is still developing, quantifying its value is challenging.
However, much money is being invested in developing the technology and bringing it to the masses.
Epic Games, the company behind the viral hit “Fortnite,” has revealed that they had raised $2 billion to develop virtual worlds, or “metaverses.” Together with Lego, they want to create a metaverse platform aimed squarely at kids. If you’re looking to make your first purchase in the metaverse, consider a brand activation in Lego Fortnite World since Epic is more equipped than many to make things happen on a vast scale.
It’s wise to exercise caution, but the same was stated in 2013 regarding Bitcoin. Is missing out on the “next great thing” really what you want?
Why not explore putting your toes into this brave new digital world if your audience has shown an interest in novel experiences and technologies?
In the end, the future of branding holds high for those who understand the power of storytelling. The branding and marketing solutions at Cooperative Computing are designed in a way giving a 10X boost to your brand presence online.
