- Understanding Metaverse in eCommerce
- How is Metaverse Redefining the eCommerce Shopping Experience?
- Key Metaverse Technologies That Can Enhance Your Business: Understanding the eCommerce Metaverse Use Cases
- Pioneering Virtual Commerce: Comprehending the Metaverse Advocates
- How Can Appinventiv Help Your Business Become the Future of eCommerce?
Even though barely scratching the surface, metaverse in Ecommerce has already revolutionized the industry. Industry giants such as Warby Parker have adopted AR technology in their business (one component of the metaverse), letting their customers try the frame before purchasing, as reported by Forbes.
Innovative eCommerce brands have taken the integration of digital and physical experiences to the next level. They have seamlessly blended the two worlds, allowing users to fully immerse themselves in digital environments. This has been made possible through the use of cutting-edge technologies and a focus on creating a seamless user experience. As a result, users can now interact with digital tools in a physical space, and vice versa, with ease.
Retailers are taking major steps to introduce innovation for their customers, all thanks to the rise of the eCommerce development in metaverse, further capable of redefining eCommerce as we know it. These new strategies to enhance the online shopping experience include personalized recommendations, improved delivery options, and much more.
As mentioned earlier, enterprises are increasingly adopting Augmented Reality and Virtual Reality (AR/VR) to offer immersive buying experiences to their customers. To continue on this trajectory, technological alignment is necessary for a futuristic eCommerce strategy. The next logical step to achieve this is the metaverse. By integrating AR/VR with the metaverse, enterprises can create a seamless online shopping experience that is both immersive and interactive.
The metaverse is where we find the promise of a personalized, immersive online shopping experience that is available 24/7. Research from Gartner indicates that more than 25% of consumers will be spending at least one hour per day in the metaverse for working, shopping, education, social networking, or for entertainment purposes.
Furthermore, as per Statista, the metaverse in the eCommerce market is estimated to reach a valuation of $201.80 billion by 2030 growing at a CAGR of 36.62%.
This article will help you understand everything related to the metaverse in eCommerce. In addition, we will also look at various ways in which metaverse eCommerce development will play a significant role in how we can virtually redefine the brand experience.
Understanding Metaverse in eCommerce
“The metaverse will remove most of the physical barriers that still exist for businesses.”- Vishal Shah, VP, Metaverse – Meta
To provide more context, the metaverse is an extension of technologies such as AR, VR, blockchain, cryptocurrency, and social commerce that come together to give rise to a virtual world that allows customers to shop, play games and interact with their peers without having to work around physical barriers.
Augmented reality (AR) and Virtual Reality (VR) are emerging technologies that have the potential to transform the way we interact with the world around us. AR technologies allow digital information to be superimposed over a real-world view, while VR systems replace the user’s sight with a synthetic virtual environment.
Now enters- Immersive metaverses, which enables personal digital avatars to engage in actions and interactions limited only by the metaverse 3D space developer’s imagination. As we continue to explore the possibilities of this new digital reality, we can expect to see even more use cases and applications emerge.
If you are looking to understand the concept of the metaverse in detail, our latest blog on What is Metaverse will help you get all the relevant information.
The current 2D eCommerce model limits brands from creating physical connections with users as it only allows for the consumption of information rather than an experience. Thus, metaverse development presents an opportunity for the digital commerce industry to capitalize on this technology.
Metaverse eCommerce or meta-commerce allows shoppers to fully immerse themselves in a company’s culture, design, and branding elements. This creates a significant brand differentiation beyond the limited impact of logos and banners. By experiencing a company’s unique identity, customers are more likely to develop a sense of loyalty and trust. This can ultimately increase sales and brand recognition for the eCommerce business on metaverse.
How is Metaverse Redefining the eCommerce Shopping Experience?
The role of eCommerce in the metaverse space and vice versa has exploded recently, thereby making way for users to preview products and services before making a purchase online. As a result, many eCommerce businesses have begun utilizing metaverse development services to keep their customers engaged. This technology has further proven effective in increasing customer satisfaction and sales.
Let us look at the various opportunities created by metaverse in the eCommerce industry:
1. Immersive online shopping experience
Customers are the primary focus of any business. With the Metaverse eCommerce approach, customers can interact with brands in real-time while shopping on eCommerce sites. Using a digital metaverse eCommerce store eliminates physical limitations and ensures an immersive shopping experience for users from start to finish. Spending more time in the Metaverse universe can inevitably change customers’ perceptions of physical stores.
2. Easy transactions
Metaverse in eCommerce has revolutionized how online transactions are conducted. For instance, the use of cryptocurrency and e-wallets has made it possible for sellers and buyers to conduct online businesses.
Another key benefit for an eCommerce business on the metaverse of engaging with digital currency is that there is no need to link the crypto account with the user’s real-world banking. Furthermore, the transparency offered by the metaverse when it comes to online transactions makes way for offering users proof of their purchases in the virtual world. Thus, this level of transparency is capable of enhancing overall engagement in online transactions.
[Also Read: How Much Does It Cost to Make A Crypto Wallet App on Blockchain?]
3. Increased personalization
Tailored customer experiences are essential in reducing cart abandonment rates. By providing a bespoke virtual experience, customers can personalize their search by exploring the consumer avatar. This allows them to try products that will boost their confidence and help them make informed decisions. Thus, for the eCommerce businesses on the metaverse, implementing this top-notch personalization technique increases the overall customer engagement and promotes loyalty.
4. Improved storytelling
The Metaverse platform is ideal for storytelling which is rather crucial in creating awareness and establishing brand identity. By utilizing artificial intelligence, virtual reality, and other cutting-edge technologies, you can fully immerse your audience and transform them from passive observers or listeners to active participants who can experience the story in real time. Furthermore, you can leverage virtual events by organizing concerts in a virtual universe that provides a complete VR experience.
5. Boost ROI
As per a Google survey, more than 66% of online shoppers make use of AR tools to effectively make their decision-making process easy. This leads to a higher user satisfaction rate as the process allows them to try and test the product in a 3D format. As eCommerce in the metaverse ecosystem keeps on expanding, customers will have even greater visualization capabilities and the ability to communicate with online shop assistants, thereby offering them an immersive shopping experience that will eventually lead to an increased ROI.
6. Gamification Capabilities
The metaverse has gained popularity in the gaming world and the eCommerce ecosystem. The play-to-earn concept is the main feature of metaverse games, where players earn game points in exchange for rewards. Collaborating with other players is also easy in the immersive eCommerce environment. eCommerce businesses on the metaverse are now implementing these techniques to keep users engaged and make purchases with the rewards they have earned.
Key Metaverse Technologies That Can Enhance Your Business: Understanding the eCommerce Metaverse Use Cases
There are three building blocks of the metaverse, namely blockchain, extended reality, and NFTs. Let’s review each of them individually in order to understand the context they fit for redefining metaverse eCommerce.
Blockchain is the fundamental building block of the metaverse, without which the eCommerce in the metaverse would fall short. Security is one of the most significant challenges associated with online shopping, and blockchain provides a transparent, decentralized system that eliminates all those security concerns with one stroke. Since the blockchain can offer a reliable and safe payment gateway to carry out transactions, it is now possible to eliminate security issues once and for all.
Facilitating the supply chain and improving overall efficiency is a crucial challenge that many companies face. Several organizations are now using blockchain technology to address these issues. For instance, blockchain is capable of connecting buyers, sellers, logistics providers, and other entities for a B2B trading platform, thereby making way for increased operational efficiency.
[Also Read: Blockchain: The Fundamentals of Decentralization]
Blockchain is also a fundamental aspect of web 3.0, which shares many similarities with the metaverse. Web 3.0 and metaverse are now coming together to bring a stronger digital economy and our latest blog post on the same will help you understand every aspect of changing market trends, if you are looking to align your workforce strategies as per them.
Another eCommerce metaverse use case is Extended reality or XR, which describes immersive experiences such as Virtual Reality (VR) and Augmented Reality (AR). The metaverse, a whole new level of virtual experiences, would not be possible without XR. These technologies take the immersive experiences of the virtual world to the next level by bringing them directly in front of our senses. For example, AR can provide 3D visuals, while VR can create a 3D surrounding sound experience. Without XR, the metaverse would remain a mere science fiction concept.
Non-fungible tokens (NFTs) are utilized by prominent fashion, gaming, sports, and music brands to demonstrate ownership of unique digital assets. For instance, on its metaverse eCommerce platform, Nike has linked a pair of physical sneakers to its digital counterpart. NFTs have various applications, including selling digital collectibles, pre-launching products, creating digital duplicates, and building stronger customer loyalty through fan tokens or blockchain-based loyalty cards.
Pioneering Virtual Commerce: Comprehending the Metaverse Advocates
The global metaverse ecosystem is presently gaining momentum, and several brands across the globe are taking a major proactive approach to develop a virtual commerce experience for their user base. These immersive experiences offered by eCommerce in the metaverse are capable of providing customers with a seamless shopping experience while, at the same time, offering those organizations a new avenue for increasing their overall revenue. Let us look at some of the most famous metaverse in eCommerce examples below:
Charlotte Tilbury Virtual Reality Store
Charlotte Tilbury is one of the most sought-after examples of a brand that is promoting metaverse eCommerce. The most famous beauty brand has recently introduced an immersive virtual store that is powered by the AR platform Obsess. The metaverse eCommerce store offers a unique feature called “Shop with Friends,” which allows the users to invite their friends to log in together in real-time while making way for shopping and interacting with each other.
The users can also give tips to their friends and interact with virtual stylists offered by the brand. The brand’s omnichannel functionality is a testament to its dedication to digital-first experiences.
Forever 21 Virtual Store
Roblox, the popular metaverse platform, offers fans the opportunity to explore the Forever 21 World. Within this virtual world, users can engage in a variety of activities, including shopping for virtual products for their avatars and socializing in one of the many plazas. The world is centered around the “Top Shop” game, where users can create and manage their own store, competing with others to become the “top shop.”
Starting with an empty glass shop, users can expand it and add options such as exteriors and architectural themes while performing tasks like stocking inventory and hiring employees. Forever 21 hopes that by gamifying fashion, users can express their individuality and deepen their relationship with the brand.
Nikeland Collection on Roblox
Another example of a brand promoting metaverse eCommerce is Nike. Nike has established itself as a prominent player in the metaverse by launching “NIKELAND” on Roblox in late 2021. The virtual environment allows users to explore, play games, socialize, and purchase digital goods in the showroom. The investment has been profitable, with nearly 7 million users worldwide visiting and making in-game purchases within four months of its launch. To further its commitment to the metaverse, Nike arranged for basketball legend LeBron James to offer virtual basketball lessons to fans in “NIKELAND” through a series of mini-games. The event was a clever marketing strategy to promote the sale of Nike’s new “Chosen 1” shoes.
Another one of the metaverse in eCommerce examples is the Spanish luxury brand Balenciaga. It has partnered with Fortnite to offer outfits and accessories for the game’s avatars. In addition, a “living logbook” has been introduced at Balenciaga’s retail store in Fortnite’s Hub to coincide with the launch of digital apparel. The logbook will display the fashion choices of the Fortnite community on billboards. Physical Fortnite apparel is also available for purchase online and in Balenciaga stores.
Gucci Garden Metaverse and Louis The Game
Gucci and Louis Vuitton have recently launched NFTs.These digital tokens allow the users to create and modify their own virtual apparel, providing a new level of freedom in the fashion industry, thereby redefining eCommerce in the metaverse.
How Can Appinventiv Help Your Business Become the Future of eCommerce?
The metaverse in the eCommerce ecosystem is now emerging as a promising technology that is capable of offering an immersive user experience while bridging the gap between the physical and the digital landscape. Thus, eCommerce businesses are now proactively using the metaverse in their branding decisions and offering a holistic experience to their customers.
It is worth noting that several globally recognized retailers, including Nike, Balenciaga, and Walmart, have embraced the metaverse technology and are currently reaping its benefits. With these new advancements, the lines between the physical and digital worlds will continue to blur, making the metaverse a crucial tool for businesses to stay relevant and competitive in the future.
For businesses looking to stay ahead of the curve, Appinventiv is a dedicated eCommerce app development company that offers expert guidance in exploring the metaverse. Our team can assist in identifying a niche within this emerging technology, providing access to a range of opportunities.
Contact us today to learn more about how we can help your eCommerce business thrive in the metaverse.
Q. What is the metaverse in eCommerce?
A. Metaverse in eCommerce is a virtual shopping experience that is capable of allowing users to browse, purchase and customize products, services, and experiences from a brand in a digital form. This type of eCommerce is made possible by the latest technological advancements in virtual reality (VR) and augmented reality (AR).
Q. How does metaverse impact eCommerce?
A. Metaverse is a decentralized platform that offers digital assets, digital identities, and smart contracts to users. Metaverse eCommerce development has the potential to revolutionize the eCommerce industry by offering a secure, efficient, and transparent environment for digital transactions that include cryptocurrencies and digital tokens. This makes it easy for users to pay for goods and services on the metaverse eCommerce platform.
Q. What are the advantages of a metaverse in eCommerce?
A. There are several advantages offered by eCommerce in the metaverse and vice versa, which includes:
- Enhanced customer experience
- Increased customer engagement
- Improved scalability
- Enhanced profits
- Improved security
- Community Engagement