Is the metaverse revolution just hype, or could it genuinely reshape how we connect, learn, and do business?
While there’s been plenty of buzz around the metaverse transforming everything from ecommerce to entertainment, it’s still loosely understood and largely untapped.
In this piece, we’ll cut through the noise and look at what the metaverse could actually mean for your business. Whether you’re an elearning company or a brand looking to stay ahead of the curve, the opportunities are bigger—and closer—than many think.
Understanding the Metaverse and Its Impact
Let’s start with the most basic of questions, namely:
What Is the Metaverse?
The metaverse is a collective virtual space that merges physical and digital realities through metaverse technology. The term was first used over 30 years ago in Neal Stephenson’s futuristic novel, “Snow Crash.”
Stephenson wrote: “”The Metaverse is a fictional structure made out of code. And code is just a form of speech—the form that computers understand.”
He goes on to describe largely what we experience today, namely an artificial environment accessed by many people simultaneously, presenting as a shared three-dimensional alternate reality.
The Metaverse is made possible by innovations such as virtual reality (VR), augmented reality (AR), blockchain, and artificial intelligence (AI):
- Virtual Reality creates a 3D environment we can see and interact with by wearing VR headsets and using other sensor devices.
- Augmented Reality overlays an artificial environment over the real world. It can be used, for instance, to offer product information on objects a user looks at or touches.
- Blockchain is the immutable ledger of information that stores vital data and intellectual property, and records transactions and changed states in the metaverse.
- AI is a computer’s mimicry of human speech, writing, and behaviour, often used in chatbots and virtual assistants.
In essence, the Metaverse uses these technologies to build an immersive digital environment where users can interact, work, and socialise.
How the Metaverse Is Changing Digital Interaction
The metaverse revolution is transforming how individuals and businesses engage in online experiences.
With virtual offices in the metaverse, employees can collaborate remotely in fully immersive digital workspaces.
Retail, education, and entertainment industries are also exploring metaverse business opportunities to enhance user engagement and customer experiences.
There have even been product launches, all held in the virtual environment of the Metaverse.
When done well, a Metaverse experience can feel more engaging than other forms of online community, such as a group chat, Zoom call, or forum. When used badly, it can exclude those without access to the technology necessary to enter.
Key Technologies Driving the Metaverse Revolution
Let’s look a little more closely at the technologies shaping the Metaverse as a business environment.
Virtual Reality (VR) and Augmented Reality (AR)
Virtual reality in business is becoming increasingly prominent, allowing for interactive training, remote collaboration, and realistic simulations.
Meta, Facebook and Instagram’s parent company, has been at the forefront of promoting this technology as a next step in the development of the world wide web. “Metaverse isn’t a thing a company builds,” explained Meta’s Mark Zuckerberg in 2022. “It’s the next chapter of the internet overall.”
Meanwhile, augmented reality trends indicate growing adoption across industries, enhancing everything from marketing campaigns to product demonstrations.
IKEA, for instance, allows potential buyers to “try out” a product by overlaying its image over their home’s interior via its Place app. Sephora and L’Oréal have created sophisticated virtual makeup filters, allowing users to try out a look before committing to a purchase.
AR’s big benefit is that it can be used with a smartphone, overlaying information or imagery over a scene viewed through the device’s camera. It does not require the wearing of a full headset, which some can find uncomfortable or off-putting.
Blockchain and Decentralised Finance
Blockchain in the metaverse ensures secure transactions, digital asset ownership, and decentralised governance structures. Human avatars can now buy virtual clothing in Decentraland, one of the Metaverse’s virtual cities. User’s ownership of these unique virtual looks is registered on the Blockchain.
Cryptocurrencies and non-fungible tokens (NFTs) play a crucial role in facilitating commerce within virtual economies. Navigating the sometimes-complex world of cryptocurrencies can prove a significant challenge.
While Bitcoin has become the default cryptocurrency in many real-world transactions, in the metaverse, specific coins like Internet Computer (ICP), Stacks (STX), The Sandbox (SAND) and Decentraland’s own currency MANA, rule the roost.
Artificial Intelligence in the Metaverse
AI in the metaverse enhances virtual interactions by personalising experiences, automating tasks, and providing real-time analytics.
AI-driven avatars and chat bots aim to improve user engagement, while machine learning algorithms optimise business operations within virtual environments. It can be used to spot suspicious patterns of behaviour to prevent fraud, or for creative purposes, to generate more convincing avatars who can respond naturally to user conversations.
Business Opportunities in the Metaverse
Even in these early days of Metaverse development, there are numerous opportunities for businesses willing to innovate. Let’s turn to some of the sectors and industries most likely to benefit from this virtual new world.
How Companies Can Benefit from the Metaverse
Metaverse business opportunities range from virtual real estate and digital storefronts to immersive brand experiences.
The combination of remote online access and three-dimensionality offers furniture brands, car manufacturers, and games companies huge potential to draw upon large customer bases, while offering a truly immersive and practical environment.
From trying out new looks, to “test driving” a new vehicle, to finding out how a new wardrobe looks in your room, Metaverse experiences offer more information and validate purchase choices better than any standard ecommerce portal ever can.
Companies that embrace digital transformation and the metaverse can enhance customer engagement, streamline operations, and unlock new revenue streams. They might be add-ons, like those offered by IKEA or L’Oreal, or entirely new digital products like NFTs, games, or Metaverse-only concerts.
Industries Leading the Metaverse Adoption
Sectors that look set to benefit most are those in the lifestyle, hospitality, fashion, entertainment, SaaS, healthcare, and social media sectors.
Businesses in these industries are tapping into metaverse technology to create immersive virtual training programmes, virtual marketplaces, and digital therapy solutions.
Here are some more examples to ponder:
- The use of communal virtual dance experiences as a form of mental health, as discussed in a recent article in Frontiers in Computer Science.
- Renowned auction house Sotheby’s launched a virtual gallery in Decentraland as early as 2021.
- Travis Scott’s “Astronomical” concert, held on Fortnite, drew an estimated 12.3 million virtual attendees in 2020. Scott’s Metaverse gigs have since topped 45 million attendees.
- In 2022, over 2/3 of travellers told Statista Research they were interested in taking a virtual hotel tour in the Metaverse prior to booking.
How to Prepare for the Metaverse Revolution
Although it’s an exciting time for the Metaverse, and a good time to become an early adopter or innovator, there are certain barriers to entry that must be overcome.
Having a strategic plan, the right technology mix, and appropriate in-house skills are vital to seizing competitive advantage in this new realm.
Developing a Metaverse Strategy for Your Business
A strong metaverse strategy begins with understanding how the technology aligns with business objectives. There’s no point devising a clever new app if you haven’t established a need for these objectives to be met in the Metaverse, rather than on a legacy platform.
Organisations must assess their readiness, identify target audiences, and create scalable digital experiences.
Investing in the Right Technologies
To stay competitive, businesses should invest in metaverse-enabling technologies such as VR headsets, AI-driven analytics, and blockchain infrastructure.
Utilising eLearning content and online platforms can also support workforce training and adaptation to digital environments.
All of this takes time of course, so brands need to allow for a comparatively long lead-in time before launching their Metaverse presence. There are a lot of different components that need to be in place before go-live.
Building Digital Skills for the Future
Employees must develop new skills to navigate the metaverse effectively. These might include interactive UX/UI skills, design, copywriting, and specialist coding skills.
They might also include specialist sales and marketing courses tailored to virtual ecommerce spaces.
Companies can offer bespoke eLearning programs to upskill their workforce in areas such as virtual collaboration, cybersecurity, and digital asset management.
Challenges and Risks of the Metaverse
Along with the opportunities the Metaverse presents, there are attendant risks too. Let’s discuss the two most significant issues.
Privacy and Security Concerns
Metaverse security risks include data breaches, identity theft, and cyberattacks.
Businesses must implement robust cybersecurity measures and compliance frameworks to safeguard user information.
Scams may run rife in the Metaverse, particularly around the complex world of NFTs (non-fungible tokens) and cryptocurrencies.
Users need to be hypervigilant; brands need to employ automated anti-fraud measures including identity checking and multi-factor authentication (MFA) to prevent scammers from victimising unsuspecting visitors.
Ethical Considerations in Virtual Worlds
As the metaverse evolves, ethical concerns around digital identity, accessibility, and content moderation must be addressed. Companies should establish guidelines to ensure responsible engagement within virtual spaces.
The Metaverse may prove a significant energy draw since much of it relies on cryptocurrencies which are notoriously carbon emitting. Companies can find innovative ways to offset the carbon footprint of their Metaverse activities.
The Future of Work in the Metaverse
The Metaverse looks set to change the workplace of the future in two main ways: by enabling a higher proportion of remote work, and by enabling long-distance collaboration, including 3D project work.
Remote Work and Virtual Offices
Virtual offices in the metaverse provide businesses with cost-effective solutions for remote work.
Companies can create customised workspaces that promote collaboration and productivity in an immersive setting.
This may allow them to reduce their monthly outlay in real office space. Why run an office for five days per week if workers are only coming in twice a week?
Collaboration and Networking in a Virtual Space
The future of work in the metaverse enables professionals to network, attend virtual conferences, and engage in real-time collaboration.
Businesses that integrate metaverse solutions will benefit from enhanced global connectivity and knowledge sharing.
From 3D product demos and launches to large-scale virtual conferences, the ability to create revenue generating, brand-related events is greater than ever.
Key Takeaways for Businesses and Individuals
Staying ahead of such a rapidly evolving technology can be difficult. From renewing employee skill sets to hiring individuals with Metaverse vision or experience, there are numerous HR-related challenges to overcome.
Remaining competitive in the metaverse requires continuous learning, strategic investment, and adaptability.
Businesses should use eLearning content to train employees on emerging technologies and industry trends.
The metaverse revolution presents both opportunities and challenges. The good news is that the possibilities are limited only by the imagination of organisations stepping into this brave new world.
Companies that embrace digital transformation and metaverse adoption will thrive in the evolving digital landscape. Organisations should utilise eLearning platforms to prepare their teams for the future of work.
Now is the time to prepare for the metaverse revolution and position your organisation for long-term success.
