What is the Metaverse? Does It Impact Business Marketing?

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The Metaverse may sound straight from the pages of a sci-fi novel, but it’s quickly becoming a reality.

One huge indicator that the Metaverse is right in front of us was the social media giant Facebook rebranding itself as Meta.

But what exactly is the Metaverse? In this article, we dive deeper into what marketers should know about the Metaverse and how to best use it.

What is the Metaverse?

You may be familiar with the concept of the Metaverse, but it can be quite confusing at first.

Kristi Woolsey, the associate director at BCG Platinum, broke down the concept beautifully for Forbes. Simply put, the Metaverse is a combination of mixed and virtual realities that provide users with the ability to engage in real-time experiences over distance.

Currently, we have the foundational pieces for the Metaverse, but they are not yet connected. We already have multiple V.R. platforms, virtual currency, etc. but they all operate separately.

Now, you can own digital/ virtual objects, including cryptocurrency and NFTs. These recent advancements are driving the Metaverse and turning heads in its direction.

Metaverse Growth

The idea of a fully virtual world may have at one time seemed far-fetched. But the Metaverse is not a sci-fi dream or still hundreds of years away. On the contrary, the Metaverse is developing as we write.

Major brands are investing in the Metaverse and associated technologies. Meta CEO Mark Zuckerbuerg described Facebook’s rebranding as “(our) focus will be to bring the metaverse to life and help people connect, find communities and grow businesses.”

Microsoft acquired gaming company Activision and stated its motivation was to “accelerate the growth in Microsoft’s gaming business across mobile, PC, console and cloud — providing building blocks for the metaverse.”

Additionally, Roblox launched Nikeland — a place to go hang out and try on Nike products with your avatar.

Currently, over 400 million unique, active users access a Metaverse platform each month. According to Bloomberg analysts, the Metaverse market is predicted to grow to nearly $800 billion by 2024.

Factors of the Metaverse

As a virtual entity, the Metaverse is constantly changing and adapting. However, a few key characteristics distinguish it:

  • Self-contained
  • Virtual entities
  • Leverages human interface technology
  • Fully functional, including a fully functional digital economy (with crypto, NFTs, etc)
  • Decentralized, open, shred world

Why Does the Metaverse Matter for Marketing?

While this may sound pretty cool and fun, the connection with marketing isn’t as obvious. What does this virtual reality realm have to do with business marketing?

Well, a ton.

The Metaverse provides new places and strategies for marketing and advertising. At its core, marketing is about connecting the target buyer to the product, at the right price, in the right place, through promotion.

While “The Four P’s” of marketing have stood the test of time, it’s evolved immensely alongside technology. For example:

  • Web 1.0 — Having a website with contact information became vital and standard for businesses.
  • Web 2.0 — Added a more social aspect and started to gather user history to personalize experiences. Omnichannel marketing and personalization became essential.
  • Web 3.0 — The Metaverse focuses on immersive experiences. Marketing will need to follow suit to thrive there.

Tips for Marketing in the Metaverse

Leveraging the Metaverse offers many benefits for businesses. In that world, you can engage with customers in immersive ways. Additionally, it’s a key location for reaching younger generations of consumers.

Using the Metaverse, you can create a completely unique world for your brand, reaching customers in a way far deeper than any image or video could. You can design a fully unique world to interact with your audience.

Here are some tips that can help you unlock this new marketing:

Focus on Experience

Metaverse marketing is all about creating a memorable experience for your customers. Embrace the future of virtual reality and design a unique, compelling, and immersive experience for your audience.

Connect to Real-Life Experiences

Craft your virtual experiences in connection with your brand’s real-world products and experiences. This is the best way to bring your brand to life and boost brand awareness.

Engage with Communities

Don’t just show up in a Metaverse community and start pushing ads. It’s not how the space, or the users, work. Instead, interact with current communities. Foster user-generated content and naturally integrate yourself in the space.

Leverage Native Advertising

One interesting way to spread brand awareness in the Metaverse is with native ads. You could place ads on virtual billboards or with virtual product placements. Some major brands have already begun to do this, including Coca-Cola and Samsung.

Allow People to Try Your Product

Let people try out your product in augmented reality before they buy in person. Similarly to what Nike does with Nikeland, you can provide an experience for your customers that acts as a dry run for your products. Porsche and Hyundai have entered this arena with virtual viewing rooms and V.R. car tour events.

Start Small

Don’t dive head-first into the Metaverse just for the sake of being there. Take your time to craft a strong strategy that works for your brand. Start by testing your ideas with your audience, and examining the results. Implement what you learn before scaling.

Conclusion

Ultimately, the Metaverse is a form of new and immersive social media. It’s a new internet, and that means new marketing strategies. Now is the time to learn more about this developing technology and plan how your brand can best market in the space.

Leverage the strategies above to get your brand on the Metaverse early and efficiently. It will soon be a critical part of every successful marketing strategy.