In 30 seconds:
- The Metaverse: it’s coming soon, and it’s already popular. But what even is the Metaverse, and what would it look like?
- Gen Z will be the primary audience for the Metaverse. We’ve given insights on what your brand can learn about targeting them there.
- LHead stuck in the physical world? We’re going through all you need to know about this new virtual space, with illuminating examples too.
It seems everyone’s talking about the Metaverse. But there aren’t many who can fully explain what it is and what it would look like. All this talk of alternate realities and teleporting to digital worlds sounds far-fetched, right?
Well, the truth is, we aren’t too far off a reality like this. So we want to take you through what it might be like for brands entering the Metaverse, and how your brand can use it with examples of technology that already exist. Ready to dive in? We thought so.
What exactly is the Metaverse?
Could it be the new internet? Tech gurus everywhere talk about the Metaverse as the new age of online interactions. It will be a 3D network of worlds built through virtual and augmented reality and based around social interactions.
The term “Metaverse” was first coined by Neal Stephenson in his 1992 science-fiction novel “Snow Crash”. It depicted a virtual world that people escaped to from their dystopian reality. It seems he may have been predicting the future. The Metaverse looks to be well on its way to being the “next big thing” (luckily, under less bleak real-world circumstances than the book).
If you’re wondering what on earth it all means and how your brand should take note, we wrote about what the news about the Facebook Metaverse – and the rebrand to ‘Meta’ – means for brands in our article here.
Who will use the Metaverse?
The prime candidate for this new age technology is (you guessed it) Gen Z.
Nearly all of Gen Z (98%) own a smartphone. They are the first generation to grow up with cutting edge technology, and they will continue to harness it throughout their lives.
Virtual reality is this generation’s playground. 65% of Gen Zers have spent money on virtual items within a game. During the pandemic, sales of virtual reality goggles such as Oculus rose by 350%. That makes Gen Z the most experienced market for the Metaverse offering. If you’re looking to tap into the buying power of this young but mighty generation, your brand should be preparing for the Metaverse.
TikTok and the Metaverse
Gen Z’s favourite video-streaming app has cottoned on to the rise in virtual reality and is now a key part of it. TikTok’s owner Bytedance just bought virtual gaming company Pico to join the Metaverse building game.
But we want to let you in on a little social media marketing secret…
Meta (i.e. the company owning social media platforms Facebook and Instagram) has struggled to promote their new vision for the Metaverse through their own influencers, and so have found TikTok stars to do the talking. Yup – they’re looking to social media competitor TikTok instead.
Khaby Lame (@khaby.lame), Emily Zugay (@emilyzugay) and Oneya Johnson (@angryreactions) were all brought on board to promote Mark Zuckerberg‘s announcement with funny reactions and a branded meme.
What does this tell us? TikTok is the dominant social media platform to target Gen Z, and when thinking about your own brand’s ideas for the Metaverse, it’s essential to use it.
The top companies building the Metaverse
If you’re looking to invest in Metaverse stock, you might want to take note of these brands. Each of these tech giants has decided to help build the Metaverse in various ways. Some are closer than others, but they will all be significant contributors:
Obvious? Yes. Predictable? No.
Meta (the new “face” of Facebook) was the first company to put the Metaverse in most of our minds. They’ve already released details on how they are building it and how it will develop in the next 2-5 years, but some of their techniques and visions are still hush-hush.
Ted Sweeney-owned company, Epic Games is one of the top virtual reality gaming companies. If they don’t have the arsenal to significantly advance the Metaverse, who does?
The creators of Pokemon Go are experienced in augmented reality. They see the Metaverse as an opportunity to enhance real-life rather than replace it.
Nvidia has already collaborated with Meta to create the world’s 5th fastest AI computer to help build the Metaverse. They have launched free software to help creators make worlds and release their engine (called “Omniverse”) to access the Metaverse soon.
Before Facebook’s ‘meta‘ reveal, gaming company Roblox was already pitching itself as “shepherds of the Metaverse.” The company is already creating virtual environments and digital assets, so is well placed to form part of the fabric of the Metaverse.
Heard of Sandbox? Amicoa Brands’ blockchain-based 3D open world game for mobile phones and Microsoft Windows is a community-driven platform, where players can monetise digital assets and gaming experiences. Gamers can purchase digital real estate using NFTs and ‘SAND’ as cryptocurrency. Think video game Minecraft, but with an advanced digital economy.
7 Metaverse Examples (and why your brand should be inspired)
So now you know what it is and who’s building it, let’s look at what it might look like. Although the Metaverse is set to be an entirely new phenomenon, you’ll have likely seen games, worlds and social channels that have similarities to this new sensation.
Looking at these examples will give you an idea of how your brand can utilise the Metaverse in the future.
1. Second Life
Perhaps the very first example of a virtual world with avatars, this game created a space for people to customise their look and talk to individuals across the globe. There are 70+ million accounts on the platform, which is lower than most, but this original company paved the way to virtual reality worlds.
The brand take-away:
Using Tilia, Second Life created an entire online working economy. It still takes $650 million a year in transactions, so it’s time to think of creative ways to monetise your brand virtually.
2. Ready Player 1
This film is a must-see if you want to visualise how the Metaverse might look. The story is based in a dystopian future where you can enter “Oasis”, a virtual reality world where you can practically do anything you want – except eat, sleep or use the bathroom.
The brand take-away:
This is the most realistic (if a little dark) vision of what a Metaverse could look like. But there is something that Ready Player One has that we don’t yet: hardware. The touch-sensitive gloves used in the film might be a glimpse into the future of the Metaverse. Meta are already developing new headsets and other types of gear to help with this advancement. This technology will make interactions with brands (and products) more realistic than ever. So think about this when envisioning what your brand will look like in the Metaverse.
3. Fortnite
One of Gen Z’s favourite games, Fortnite, has come up the ranks as one of the most popular online gaming worlds ever. More than six in 10 teenagers (61%) say they have played Fortnite. Its online economy is ever-evolving, and in 2020, it generated $5.1 billion in revenue (a 37% increase year on year).
The brand take-away:
Fortnite’s in-game “emotes” are legendary. The “floss dance” originated from this game, which just shows the influence of what specific gaming character actions can have. The Metaverse will likely have similar concepts with buyable movements, activities and dances. Brands can get on board with their own versions, using specific motions that immediately remind people of their products.
4. Roblox
Over half of all American children (That’s Gen Z and their successors Gen Alpha) use Roblox, which counts nearly 50 million daily users. Like Fortnite, it’s a free-to-play game based on an immersive world created through existing gaming tech (rather than nascent tech like AR and VR). It currently has over 24 million ‘digital experiences’ for players, making it a key gateway for fully immersive Metaverse experiences.
The brand take-away:
Roblox chief business officer Craig Donato says Roblox is developing a Metaverse that is both “immersive and social”. This social side is where he sees the most need for innovation. There’s a huge opportunity for brands looking to establish how users form identities and interact in the Metaverse.
5. IMVU
More 13-17 year olds use IMVU than any other age group. It’s a virtual world where you can meet millions of people around the globe, and the key to its success? Customisation. Rooms, avatars and even worlds are fully customisable, meaning there is a lot of creative freedom. And that is a glimpse of what the Metaverse will be like too.
The brand take-away:
Imagine creating your own virtual shop floor. This online platform allows anyone to create a room with many different styles and products. Soon, brands will do the same when utilising the Metaverse.
6. Pokemon Go
This might seem like an unexpected example of a Metaverse, but this worldwide phenomenon was one of the first apps to utilise augmented reality. This will be key in creating the Metaverse.
The brand take-away:
Augmented reality will be a game-changer for showing off products. Your brand would be able to place products in someone’s house to see how they would look in real-time.
7. Horizon
Meta’s platform for the Metaverse is already in testing. It uses avatars, customisable outfits and interactive games. They are still developing it, so who knows how advanced it might get in the near future.
The brand take-away:
Non-Fungible Tokens (NFTs) will be a big part of Horizon. Mark Zuckerberg is trying to make a world where creators can put up all sorts of content. So think about iconic products that your brand should be turning into NFT’s now. Nike and Adidas are amongst the brands who have already made some of their products virtual, so that shows you it’s time to start.
To the Metaverse and beyond
If, like us, you’re now finding it a bit easier to visualise what the Metaverse will look like, how do you feel? Daunted? Excited? Not bothered?
Well, we’re here to say that your brand should be bothered. The Metaverse will happen, and brands should be looking to access it in the most creative ways possible. That means getting ready to make your own experiences, NFTs, emotes and merchandise fit for a virtual world.
And if you’re looking to target Gen Z, the Metaverse is the right place to be.
Generation Z are utterly unique in how they think and feel about brands. Fortunately, we know what makes them tick.
If you’re looking to win them over, virtually or otherwise, we’ve got the expertise and creativity to do so. Get in touch with us to find out how we can help you win the hearts of this future-ready generation.
Fancy a glimpse into the future? Check out our other article on the Metaverse and our commentary on what Gen Z marketing trends will look like in 2022. And if you’re not sure where to start with this younger age group, we’ve also got an info-packed article on how to build a Gen Z brand from scratch:
