Brands in the Metaverse
Metaverse becomes the best option as brands were unable to hold their events during the pandemic.
Image Courtesy: Valentino
Italian luxury brand Valentino showcased its 2020 Spring & Summer Collection in Nintendo’s “Animal Crossing: New Horizons” game last year. Game characters became fashion models wearing custom-chosen runway-inspired designs in the virtual space.
Image Courtesy: Balenciaga
Balenciaga, a France-based luxury firm created its own video game “Afterworld: The Age of Tomorrow” and introduced its 2021 Fall & Winter Collection there. It used gaming as a platform to showcase new fashion items for one-time use.
Image Courtesy: Louis Vuitton
Louis Vuitton x League of legends LVMH collaborates with U.S. video game developer Riot Games’ “League of Legends” to launch its capsule collection two years ago. Its custom garments created for game characters sold out in "less than an hour" worldwide.
The biggest strength of the metaverse lies in its young users, who are mostly millennials and gen Z, who grew up with video games and social media and are comfortable on the internet.
Read more here about how these generations are creating an influence on the brands.
Marketing firms believe they will one day become big customers and are starting to adopt the metaverse as their promotional tool. Luxury brands are not only finding a use for the metaverse, but also blockchain technology. Louis Vuitton, Cartier, and Prada formed a blockchain platform Aura recently with the aim of fighting counterfeiting of their luxury goods. Louis Vuitton will soon assign a digital code to its products through Aura. Customers can learn which materials an item is made of, where it is produced and the whole process of retailing. It can also show previous owners of second-hand handbags or jewelry for sale.
Retailing in the Metaverse
When it comes to retail, we foresee the creation of shopping venues — stores, multistore complex, and more — in the Metaverse. The creation of the Metaverse will allow us to break free from the current industrial form and function of physical stores and move past beyond the current digital shopping experiences.
Roblox has built its own small economy, where content creators can monetize their game creations by building in virtual goods and game upgrades that can be purchased by players, with the proceeds being split between Roblox and the game’s creator.
Decentraland Virtual Gallery by Sotheby’s
Decentraland is a marketplace for digital assets, operates as a multiplayer role-playing game, and allows users to build an entire virtual world as an NFT.
“We see spaces like Decentraland as the next frontier for digital art where artists, collectors, and viewers alike can engage with one another from anywhere in the world and showcase art that is fundamentally scarce and unique, but accessible to anyone for viewing.”
-Michael Bouhanna, head of sales at Sotheby’s
Scuti is a start-up that focussed on “bringing to life the world’s first retail marketplace through games and allowing brands to sell and ship directly to game players.” Obsess, is another start-up building CGI environments and experiences for major fashion and beauty brands.
Smart brands might indeed buy a real virtual estate and/or promote their brand presence and experiences in the metaverse, where they will sell both digital and physical products to consumers who split their time between worlds.
Shriya Madan, an ardent learner, a digital enthusiast, aspires to make an impact in the real world with the power of technology
Pranjali Apurva, driven by curiosity, converging design principles with digital transformation