A Retail Giant’s Entry in the Metaverse in Association with Roblox?
Walmart is entering the metaverse with two separate experiences. One is Walmart Land and the other is Walmart’s Universe of Play, which is a gaming platform using Roblox.
First it was the creation of metaverse. Then, it was the brands that entered the metaverse. Now, it is the experiences brands are indulging in on the platform to attract or pull more audience. For those who have heard the term ‘metaverse’ but need an explanation then here it is — In futurism and science fiction, the metaverse is a hypothetical iteration of the Internet as a single, universal and immersive virtual world that is facilitated by the use of virtual reality (VR) and augmented reality (AR) headsets. In simpler terms, a metaverse is a network of 3D virtual worlds focused on social connection. The metaverse is a parallel universe that only exists in cyberspace. It is a place where people can interact with each other and with brands in an immersive way. It is also called the ‘future of marketing’ for brand agencies and marketing firms alike.
Why are brands entering the Metaverse and how is it beneficial?
The metaverse is providing brands with an opportunity to build customer loyalty by creating a space that customers can return to again and again. In the metaverse, brands can offer customers exclusive deals, early access to new products, engaging or innovative content, special events that loyal customers can only access. It’s a brave new world that offers limitless possibilities for marketing and branding experiences.
What is Walmart and Roblox?
This september a retail giant Walmart Inc which is an American multinational retail corporation that operates a chain of hypermarkets (also called supercenters), discount department stores, and grocery stores from the United States entered the metaverse with the help of Roblox. Gaming platforms in the metaverse have become an essential part of younger generations’ daily digital lives as they offer a highly interactive way to connect and socialize virtually. Today, Roblox can be considered one of the largest metaverse platforms. Roblox is an online gaming platform and open game creation system that allows anyone to create games and play games created by others. The collection of gaming apps on it enables a highly creative and engaging virtual space where a core focus is shared experiences among friends. It entered the metaverse last year in April 2021. Many brands like Forever 21, Ralph Lauren, Kellogs, Gucci, Vans, Nike and many more have entered the metaverse with the help of Roblox.
What kind of games is Walmart Metaverse?
According to CNBC, Walmart is experimenting with new ways to reach shoppers to shake up their shopping habits after the pandemic. It is trying to fuel consumer’s engagement with social media, apps and gaming websites. Walmart entered the metaverse with two separate experiences on Roblox. One is Walmart Land and the other is Walmart’s Universe of Play. It is targeting Gen Z shoppers which are young, around 25 years of age or younger. Walmart already hosted shoppable livestreaming events on TikTok and You Tube. It has developed meal recipes through a partnership with Meredith. It is now focusing on how their consumers are engaging with social media, apps and gaming websites. Walmart also rolled out an augmented reality-powered tool on Pinterest that allows shoppers to see how furniture or décor would look in their own home before they buy it.
Why is Walmart Doubling their Efforts Towards Digital Experiences?
William White, the chief marketing officer for Walmart said, “Walmart will not make any money from the current immersive experiences.” The only way Walmart can make money from these experiences is by charging a brand for inclusion but it is too early to tell. The Chief of Marketing also stated that he expects the company to only learn from these partnerships. Walmart needs to focus towards growth that will sustain the business in the long-term, surviving ongoing inflationary pressures, a backlog of inventory, and shifting consumer demands, dynamics and the new shopping behavior after the pandemic.
Although Walmart is not the first giant retail to enter the space of metaverse, it will continue to remain present on the platform whether or not they are making money. Not very long ago brands were beginning to understand the potential of social media marketing and web development languages. Now they find themselves in this new world entirely — the metaverse. Personally, I am not inclined towards the metaverse. I would still like to go grocery shopping physically on a Sunday morning as it just makes me feel more connected to the world. With that said, I definately find it interesting how there is an alter universe which is growing so rapidly in front of our eyes. Reminds me of the show — Stranger Things.
