No, this isn’t a blog about Jamiroquai’s smash-hit from 1996 that was accompanied by one of the best music videos all time, that's for next week. Right now we’re talking about Virtual Reality. First, a few definitions for the cavemen in the crowd; Virtual Reality is slipping on a headset to simulate a virtual environment and escape the cold, brutal reality of real-life. The Metaverse is a pretty undefined term that generally means any virtual space accessed by VR.
If this photo doesn’t scare you, then your name is probably Mark Zuckerberg. Mark has gone all-in on The Metaverse saying its “the next chapter of the internet”, as he fully expects many parts of our life to take place from behind a headset.
It’s hard to judge the current popularity of VR and The Metaverse, the hardware alone is estimated to generate $10 billion revenue this year, in October 2021 the market cap of metaverse companies was $14.8 trillion, and these numbers are growing fast. And when things are getting popular you can guarantee retailers will try to squeeze it for every penny its worth. Lets take a look…
Metaverse Retail
Where there’s a trend there’s a Nike, and in a recent funky #collab with LeBron James and Roblox (an online game platform and game creation system) they created Nikeland, a micro-metaverse where avatars can play games like dodgeball, tag and try on virtual Nike products. The trio also released a collection of LeBron “skins” into this game. Digital products could be shaping to be a major revenue stream for Nike who have recently released their first NFTs after their acquisition of RTFKT, which means you too can be the proud owner of on virtual shoe for just $1,300!
NFTs have started generating traction throughout retail, and though not always accessible in VR-form, they are sure to make up a large part of the future of digital retail. NFTs are particularly popular with luxury brands, because if you’re mad enough to drop a grand on a scarf you might be mad enough to buy an NFT...
This relationship between retail, NFTs and VR is perhaps best seen in Decentraland, an online universe so web3 it hurts. In Decentraland you can buy a virtual plot of land and fill it with virtual furniture while your virtual avatar is dressed to the nines in virtual clothes that you bought from a virtual shop from brands such as Adidas or Dolce and Gabbana. You can even go to Metaverse Fashion Week, or spend a wild night at Miller Lites’ virtual bar. This is getting out of hand.
The Metaverse is too new and changing too quickly to cover it all in one of my rambling blogs, but watch this virtual-space, because retailers definitely are. The VR experience is still in its infancy, but can provide brands with an entire new channel to connect with their shoppers; whether that be virtual clothing, digital experiences or online spaces. So buckle up, slip on your headset and get ready for the future…
