Are you confused about the metaverse? We give the lowdown and outline its marketing potential.
There’s an increasingly loud buzz about the metaverse, in part driven by Facebook’s recent rebrand to Meta. But many people are still unsure what the metaverse is, and what it means for digital marketing.
The metaverse is already with us, but it’s still in its infancy. In essence it is a virtual online world fuelled by AI, 3D digital imaging and virtual reality – a world in which people can interact using avatars, buy digital assets such as non-fungible tokens (NFTs), try out products digitally before they buy, attend meetings in cyberspace and play games with other people online.
The future of the metaverse is expected to be more joined up: people will be able to take their avatars from one digital environment to another, visit digital stores to try on and buy digital goods for them, house them in VR houses, and interact with brands and businesses through a sophisticated array of virtual tools and digital experiences.
Brands are increasingly getting behind the concept. Online beauty brand Sephora, for example, enables shoppers to digitally try on its makeup before they buy – and big brands ranging from Coca Cola to Nike are starting to offer NFTs. If you’re hazy on what NFTS are, they’re best summed up as digital assets (for example, music, images or artwork) that are collectable and tradable. They exist on a blockchain and cannot be replicated, cutting down the chances of fraud. Nike has harnessed this as a way to combat the sale of counterfeit trainers: new pairs come with a digital NFT version which acts as proof of authenticity and can also be used to dress avatars in video games.
Selling NFTs has become a powerful marketing tool: last year Taco Bell’s $1 NFT tacos sold out within minutes, they have since been resold online for thousands of dollars, creating a buzz and raising brand awareness for very little initial outlay.
With Gen Zs embracing the metaverse, its digital marketing potential, especially for younger generations, must not be ignored. Increasingly brands will place ads in the metaverse – for example, on digital billboards in online video games – but they will also create their own digital products, and VR/AR environments and experiences in which customers can interact with the brand and discover its products. The sale of NFTs is set to increase, along with enhanced virtual customer service experiences; for example, instead of exchanging messages on chat, customers could interact with support avatars in cyberspace.
The metaverse is set to become another channel for digital marketing and it’s important for brands and businesses to keep pace. Start thinking about how you can harness it today.
Primedia Marketing is here to help you keep pace with changes in the digital marketing world. Get in touch today to discover how we can help with your digital marketing efforts.