The idea of blending realities – physical with virtual. It has some excited and some confused, but undoubtedly it has sparked curiosity among many. This new era of technology is going to bring with it a series of changes that will culminate in brands and consumers interacting in unique ways. There will be a rise in hybrid experiences with immersion, connectivity and personalization becoming the key selling points for brands. 

Metaverse is currently valued at over $50 billion and is estimated to reach around $5 trillion by 2030. From data collected on people participating in the metaverse (chart on the left), it’s safe to assume that convenience is key for this audience. Around 60% of global consumers prefer shopping online to in-store but this figure rises to over 66% when we’re connecting with audiences in the metaverse. The activities in the chart did give brands some insights that they could focus on to resonate with their audiences in the virtual world.

Presently, Metaverse is a playground for brands to run experiments and unleash their creativity while trying to get a clearer sense of what is it that will resonate with their consumers in this space. With rapid adoption of 5G, accessing these larger VR enabled platforms with lower latency has become easier. This has led to gaming becoming mainstream in the Metaverse.

Gaming enterprises, amongst the first to leverage Metaverse, led the way in exploring immersive experiences that can be created for gamers. Fortnite successfully managed hosting a virtual experience with 48.5 million people attending the Travis Scott Astronomical concert during COVID-19. We saw other brands follow suit.  Gucci celebrated their 100th anniversary virtually when they opened Gucci garden on Roblox.  The brand made it possible for users to purchase NFT collectibles at the event.  

It is safe to assume that we will continue to see brands reinventing themselves to align with new behavioral patterns that will emerge as more users adopt the Metaverse. But, on a platform where ‘virtually’ anything is possible, how does a brand even start to plan for advertising in the Metaverse?  

You start by redefining your marketing rules from the very beginning. We have listed some thought starters to initiate brainstorming for your brands. 

• Is your marketing goal to generate awareness among younger audiences, build engagement, or simply to reignite your creative/marketing team’s imagination? Setting a descriptive marketing goal will help the brand explore the right advertising opportunities available within the Metaverse.  

Balenciaga entered the Metaverse with the goal of engaging young minds in an intuitive way.  

• Experimenting with different platforms within the Metaverse should be part of the plan. There are over 22+ well established platforms (Roblox, Fortnite, Horizon Worlds, Sandbox being the popular options) that have a substantial user base. This means there’s ample of room to experiment, some platforms will resonate with your brand better than the rest. Early experimentation will be key to finding which platform is a better fit for your brand’s investment. 

Gucci has conducted multiple activations across different platforms. When it launched Gucci garden on Roblox, the brand also announced it’s plans to partner with Zepeto a virtual social media platform.  

• Start with AR if VR is too big an investment. Virtual reality advertising requires more complex data and leaves you dependent on adoption of VR headsets. In comparison, augmented reality advertising options will be easier to explore and deploy and is also accessible to more consumers. Additionally, some AR marketing strategies can also be deployed on other social networks like Instagram and Snapchat. 

New Balance tapped Snap Inc.’s tech to recommend the right accessories, apparel, and footwear as gifts during the 2022 Holiday Shopping Season. The brand can use similar technology and concept to host a larger event within platforms in the Metaverse as an inevitable next step. 

While still in its early days, Metaverse has given us marketers much to think about. One thing we know for sure is that these platforms are already giving plenty of advertising opportunities that are highly engaging. This is a chance for brands to reinvent themselves to a whole new generation.  What could be more exciting?