At the beginning of 2022, Facebook (now known as Meta) has given us a strong pitch about its latest updates on developing a new concept they called the Metaverse. It is a virtual world where end-users and online businesses can interact and experience things as they would in the real world.
But let’s look at this from a business perspective. How much exposure your startup can have if you were to purchase land in the metaverse and display your products and services in a virtual world?
What is the Metaverse?
As mentioned above, the Metaverse is a virtual reality that builds on a better user experience through immersion Using current AR and VR tech, they can immerse into this world and interact with overlapping objects and people in the visual projected in front of them.
How Can the Metaverse Benefit Startups?
The idea of the Metaverse is simple. Turning a business completely virtual.
While in the past this meant creating a website and taking all operations online and building up various automated systems, in the Metaverse this will play out differently.
The main takeaway from startups is to implement their business ideas into a digital world and play their branding and growth the same way they would do in the real world.
Except that instead of meeting people face-to-face, they will encounter avatars and game characters who’d be real-life customers as computerized programs using a desktop or VR headset.
Strange as it may sound now, tech-driven startups can really reap the benefits of going virtual in the Metaverse. Easier said than done, of course. So how can companies reach the next levels in a virtual world and win over customers?
Implementing Digital Platforms Into Your Startup
Just like with the real world, you need a place to sell and advertise. While land and real estate prices are sky-high in most crowded cities and touristy towns, the virtual world is far cheaper and may increase the number of users.
To tap into this market, startups are advised to purchase virtual land and start building.
Using a graphic designer or a digital architect, the building blocks of an online store are not as difficult as they may sound at first.
Once a platform or virtual establishment is set up, it’s time to connect the dots between your different platforms, namely:
- your websites,
- online webshop,
- social media channels
- Product or service page
- Features and updates
- Deals and offers
Imagine a big exhibition in the virtual world that people can visit online. In this display, you can be a host to thousands of people daily if the land you’ve purchased is properly set up and in a high-traffic virtual world. Of course, it’s all easier said than done.
The Risks Within the Metaverse
There is some resounding risk attached to this that all startups have to be aware of. While the idea of having a virtual property that is cheaper than real estate, there are certain digital lands that are still ridiculously priced.
There are three main risks involved with doing business on the Metaverse.
- There is a case of cryptocurrencies that are used for purchasing land and selling NFT’s that experience high fluctuations periodically.
- There is a risk of virtual properties losing their value due to a lack of visitors or simply because people will be alienated by the concept of going digital after the pandemic.
- The issue of data and property. Each Metaverse like Decentraland or the Sandbox has data that belongs to them, not the end-user. But does the data generated by our activities in these Metaverses belong to us? Once again, it is partially owned, which might question the platform’s trust and security in the long run.
Final Remarks
The Metaverse has opened doors to virtual opportunities in a time when lockdowns and curfews have taken the world by storm, restricting our physical access in most countries. However, this is no guarantee that it is here to stay.
Nevertheless, the concept is groundbreaking on its own and will host big events in the near future, which startups can utilize to their advantage.
___________________________________________________
Some other articles you might find of interest:
Make your business rock with these business plan writing skills:
Startup’s Guide to Write a Business Plan
Would you like to know how investors value a startup?
How Do Investors Value a Startup?
