The VR Metaverse Handbook for Branding
The article is all about the advantages and the need for metaverse for businesses followed by a detailed discussion on creating a powerful brand identity in metaverse.
What is a VR Metaverse?
The virtual reality (VR) metaverse is a virtual world that is created by the convergence of augmented reality (AR) and VR technologies. It gives users the experience of being in an alternate reality where they can interact with other people and objects in 3D space. The VR metaverse has many potential use cases, such as tourism, education, entertainment, gaming, advertising, marketing, etc.
The VR metaverse is essentially a collection of three-dimensional (3D) immersive worlds that allow for inter-person virtual communication. People can engage in real-world activities including learning, creating, socializing, and buying in a metaverse.
A successful branding strategy in VR metaverse will take into account the three-dimensional nature of this new medium and how people will interact with your brand in VR. It should also consider how to create an immersive experience that fosters a connection between your customers and your brand.
How It Will Change Your Brand’s Marketing?
VR is a new medium that will change the way we interact with brands. It has the potential to be more immersive, engaging, and interactive than any other marketing medium to date. VR Metaverse will allow people to experience a brand’s products in an interactive and immersive manner, which will create an emotional connection with the brand. This means that VR Metaverse can be leveraged for storytelling as well as for addressing customer complaints and concerns.
VR has the power to transform the way we experience content. It can be used for storytelling and entertainment purposes, as well as for education and training. VR technology is still in its early stages, but it has already shown a lot of potential in various industries.
Why does VR matter for businesses or Brands?
Although the metaverse is still in its infancy, it would be commercial suicide for any company to ignore it. There are other significant brands that have entered the metaverse besides digital behemoths like Microsoft and Facebook. For instance, the venerable fashion house Gucci recently debuted a virtual gallery, while JP Morgan recently unveiled a structure in Decentraland.
1) To make profit from Virtual Products:
The online market is expanding. Digital goods of millions of dollars’ worth are sold on online marketplaces like Decentraland, Fortnite, Roblox, and the Sandbox, creating a lucrative business opportunity. Brands can open up new revenue streams by designing digital replicas of their physical products for use by residents of the metaverse.
There are several businesses that already have products available in the metaverse. Ralph Lauren introduced a line of wearables earlier this year, and it has already sold over 100,000 items. Gucci and Dolce & Gabbana are two more high-end fashion brands that have begun to develop virtual apparel lines.
Even manufacturers of athletic clothing are joining the fray. American sportswear giant Nike purchased RTKFT, a company known for developing virtual goods, and it has applied for patents that will enable it to sell only Nike-themed items in the metaverse, such as Air Jordan sneakers.
This tendency might also be beneficial for smaller enterprises. For instance, a producer of eyeglasses might encourage customers to purchase the actual item while offering them a pair as an NFT. There will be a market for any product that can be depicted in virtual reality.
2) Has rich Customer Experiences:
The advent of eCommerce altered how consumers made purchases. Customers are fast outgrowing stuffy online retailers, though. They like a hands-on shopping experience where they can examine, feel, and touch things before making a purchase.
Companies can use AR and VR technologies to offer consumers new ways to interact with goods and services. Customers can use things and evaluate the experience rather than glancing at static photographs. A person is more likely to purchase a genuine item if they feel comfortable trying on virtual spectacles.
A few companies have already created online stores/virtual malls where customers can browse branded goods. These developments will significantly shorten the buyer’s journey, lower acquisition expenses, and boost total revenues
3) Global reach:
Just as the internet broke geographical boundaries, metaverse is all set to do that too but in a better manner. Anybody can visit and engage with a brand in the metaverse, regardless of their location. By doing this, metaverse makes it easier for brands to design experiences that are available to customers everywhere.
Global businesses frequently start distinct marketing in multiple nations to make up for distance. However, in the metaverse reality, a brand might put all of its advertising in one location that users from many locations may view at any time. It’s an inexpensive international expansion!
4) Better Collaboration and Employee engagement:
How virtual worlds can change today’s workplaces was demonstrated by Facebook’s Horizons Workspaces. The metaverse can significantly improve inter-employee collaboration in a post-COVID world where remote working is becoming the norm.
Individuals can work together, come up with ideas, and communicate in a shared, virtual office rather than spending hours staring at a Zoom screen. No matter where they are in the world, everyone will be able to engage with one another and share ideas. Thanks to the metaverse.
This way the usage of the metaverse in corporate communications can facilitate cooperation, employee training, and meeting planning for organizations.
5) Product Development Enhancement:
Due to poor product-market fit, many products struggle to get meaningful usage. Product testing can fix this, but the present approaches are expensive and time-consuming.
Through the deployment of “digital twins,” the metaverse can assist businesses in finding a solution to this issue and simplify product testing. A complicated, extraordinarily realistic virtual depiction of a physical object is what IBM refers to as a “digital twin.”
The ability to recreate real-life experiences in the metaverse has been made possible by advancements in VR and AR technologies. This implies that businesses can ask customers to test out new items and provide insightful feedback.
The concept of conducting product testing using VR has received support from a number of well-known figures, including NVIDIA CEO Jensen Huang. Many prominent businesses have already entered the space, and one such name is Hyundai Motors.
Hyundai Mobility Adventure is a shared virtual environment that the South Korean automaker developed using Roblox, enabling individuals to test out its most recent products. Visitors can test-drive new Hyundai models, robotic cars, and other modes of transportation while being represented by avatars.
Utilizing VR-powered testing, businesses may gain a deeper understanding of how customers interact with their products. Businesses can learn more about customer behaviour and use the knowledge to design new products by studying body language records gathered from VR simulations.
6) Opportunities for Advertising:
Every new technological advancement brings with it brand-new methods for getting goods in front of clients. While outdoor displays introduced interactive billboards, drones, and other technologies, the internet delivered targeted advertising.
Businesses must, however, refrain from destroying the user experience with adverts. As evidenced by the public backlash against targeted advertising, intrusive promotions have the potential to quickly deteriorate customer opinion.
Instead, businesses must make investments in developing richer experiences and motivating users to engage. Coca-Cola’s Friendship Day campaign is a great illustration of customer-centric marketing in the metaverse.
On OpenSea, the beverage firm put up for sale a “Friendship Box” that included numerous NFTs. A Friendship Card NFT with vintage artwork, a themed bubble jacket the owner could wear in Decentraland, and a sound visualizer that reproduced the sound of a Coke flowing were some of the items included. Additionally, an actual refrigerator filled with Coca-Cola beverages was given to the successful bidder.
How to create a strong brand identity in the VR Metaverse?
The year 2021 saw an upsurge in the adoption of Metaverse. The global metaverse market size was valued at USD 63.83 billion in 2021 and is expected to grow by USD 1,527.55 billion by 2029. From brands like Coca-Cola and Pringles to educational institutions like Harvard University and The British Council, we’re seeing an increasing number of organizations turning to digital branding on Metaverse (Source:-Litmus). More businesses are utilizing digital branding on Metaverse, from household names like Coca-Cola and Pringles to prestigious universities like Harvard and The British Council.
Below are some pointers that can help you develop a fruitful digital branding plan for the Metaverse and prove to be the VR Metaverse Handbook that you have been on a lookout for sometime now!
1) Enter the Metaverse as a native member:
Being a native of the digital world is the first and most crucial stage in branding on the Metaverse. This entails integrating naturally into the Metaverse.
Making an avatar that truly portrays your brand is one method to achieve this. As the first point of interaction between you and your consumers, this is undeniably a crucial step. Avatars should be instantly recognisable and associated with your brand.
Making a digital space that properly represents your company is another approach to join the Metaverse. A store, office, or any other type of facility that you believe best symbolizes your business can serve as this.
Make sure that your brand’s values and identity are reflected in your digital environment. This will enable you to differentiate yourself from the competition and establish a powerful online presence. For instance, Nike’s metaverse marketing strategies have been brought up a few times since they are noteworthy. Nike created its metaverse, NikeLand on Roblox, and Nike fans from all around the world were invited to create an avatar and play sports games to receive rewards in this metaverse.
RTFKT claims that a collaboration with teenage artist FEWOCiOUS to sell real sneakers paired with virtual ones managed to sell some 600 pairs/NFTs in just six minutes, netting over $3.1 million at the time. This was around the same early spring period when most of us were hearing about NFTs for the first time, as Grimes sold some $6 million worth of digital artwork (Source:- TheVerge).
2) Engage with your target audience:
Metaverse provides businesses a unique way to engage their target audiences in a more personal way by creating different avatars that can interact with each other on a personal level. This can be accomplished through organizing events, taking part in online discussions, and providing special discounts and promotions.
Here are some suggestions:
- Plan events that would be of interest to your target audience, such as concerts, shows, or other digital occasions.
- Make sure you have strategies to motivate your audiences to participate. People who interact with your brand on Metaverse should receive discounts and promotions.
Always keep in mind that you want to build a solid relationship with your target market so they will continue to support and interact with your business. As an instance, audiences participating in the storytelling process could lead to enormous growth. Rival Peak from Genvid Holdings is a prime illustration. The live event asked participants to decide the destinies of 12 AI characters in a hybrid game/TV programme format. It received 200 million engagements and more than 100 million minutes of viewing while streaming 24/7 throughout the world.
3) Giveaways from hosts in the Metaverse:
Hosting giveaways in the Metaverse is another excellent approach to interact with your target audience. Limited edition product launches, special access to tokens, one-of-a-kind avatar collections, and other things are examples of this.
This is a fantastic approach to interact with your target market and advertise your company online. It’s crucial to keep in mind that you should make sure the giveaway’s reward represents your business. You can bundle your product with some exclusive benefits because customers purchase items or services for the benefits they provide. Your collection would become more popular and profitable with a special offer.
4) Help in providing digital experiences:
Businesses have a one-of-a-kind chance to provide their customers with distinct digital experiences. It might take the shape of interactive product demos, virtual reality event experiences, or even online tours.
This is a fantastic method for reaching out to your target market and giving them a taste of what your brand has to offer. Keep in mind that the objective is to make sure that your digital experiences represent the identity and values of your brand.
5) Partner with other brands:
Businesses have the chance to work with other brands in the Metaverse. This is a fantastic approach to broaden your target market and raise brand awareness. Co-hosting digital events, taking part in digital marketing initiatives, and providing joint promotions are a few examples of ways to collaborate.
Make sure that the brands you cooperate with are compatible with your own and you can follow this to expand your target market without sacrificing the integrity of your brand.
In Conclusion:
One of the most exciting aspects of the Metaverse is its open-ended structure. You can design any kind of digital area you desire because there are no time or space restrictions. This is why giving thought to your brand’s visibility in the Metaverse is crucial.
Without any doubt, it is important to have a strong brand identity and interact with your target market if you want to ascertain that your brand stands out from the competition.
