"This is what 2021 will look like!" That's what every person who walked out of the movie theater after watching "Back to the Future" for the first time thought. But while we are still a long way from flying cars and hoverboards today, a completely different facet is rapidly becoming the defining feature of the modern world: digital space.

As no one could have guessed in 1985, digitalization has turned everything upside down. Today, social media is the place where everyone hangs out and largely leads their social lives. With many billions of users, Facebook, Instagram, TikTok and co. are not only gigantic platforms, but also pioneers in the development of the next quantum leaps.

Facebook, which was renamed "Meta" on October 28, 2021, may now have the next one up its sleeve. At the internal Connect 2021 conference , CEO Mark Zuckerberg also presented the so-called "Metaverse" along with the new company name. Augmented reality and virtual reality in particular play key roles here.

In this article, I will shed some light on what this is all about in detail, why it can be such a disruptive innovation and what applications it could have for online marketing.

What are Metaverse and Web 3.0?

In order to understand what the metaverse is and why Facebook decided to take this step, the concepts of Web 2.0 and Web 3.0 need to be understood.

Web 2.0

Web 2.0 refers to an evolutionary stage of the World Wide Web. The focus here is no longer on the provision of content by website operators and the like. Instead, users are intended to play a decisive role in the generation of content.

According to software pioneer Tim O'Reilly, "The web as a platform", "Rich user experience" and "The use of collective intelligence" are the hallmarks of Web 2.0.

Even here, the intensive participation of users was the fundamental feature. The internet was no longer just an information portal. Platform character and user participation are the be-all and end-all.

Metaverse

While social platforms such as Instagram and Facebook can be categorized as Web 2.0, the Metaverse will take the social experience to a new level, the so-called Web 3.0.

It is quite difficult to define the metaverse, as many internet personalities, entrepreneurs and corporations have their own ideas and plans.

Meta itself describes the concept as follows on its website (translated from English):

"3D spaces in the Metaverse will let you socialize, learn, collaborate and play in ways beyond our imagination."

Simply put, the metaverse is an expansive digital space in which users can interact with each other in real time and have experiences similar to those in the real world. In most plans of companies like Meta, there are even more and more intense possibilities. This definition of the metaverse emphasizes a crucial point: the fact that it is an expansive digital space that serves as an extension of the real physical world.

The metaverse therefore contains a shared virtual space. The users are represented there by virtual avatars. These virtual worlds evolve and grow based on user decisions and interactions within the space. In this sense, it mirrors the real world, as it has no end. It is simply a new universe that continues to expand as more and more users join.

However, it is important to know that this is not a virtual theme park whose design is centrally planned. Nor is it just an ordinary game that is only fun for children. Nor is it a simple application that can be downloaded from the app store and played at will. The Metaverse is a virtual universe where reality and the virtual world merge.

How does the Metaverse work?

At first glance, this all sounds very abstract and - admittedly - crazy. How is such a meta-universe supposed to become established, what technology is needed for it and, above all, why is it likely to become established?

Facebook is planning something very similar to what these gaming products offer. The idea is to transport users into a virtual world where meetings with friends, business meetings and other meetings can be held using virtual reality headsets (VR) in a selected avatar and against a specific background.

However, the virtual world planned by Facebook will not be limited to games, but will be more comprehensive and offer facilities ranging from the office to entertainment. The concept aims to create an online world in which people can interact, collaborate and communicate without having to be physically present in the same room. 

In the recent past, Facebook has made building the metaverse one of its major priorities. To this end, the company has invested heavily in VR with its Oculus headsets.

Facebook has gone one step further and created a VR world with the launch of Facebook Horizon in 2019. For the time being, it is an immersive environment that can only be entered by invitation if users have an Oculus headset.

The company also introduced Horizon Workrooms in August this year. This feature allows employees wearing VR headsets to hold meetings in a virtual room in which they all appear as cartoon-like 3D versions of themselves.

As we can see, Mark Zuckerberg's company has already taken major steps towards mapping key areas of life in the virtual world.

Why the metaverse is relevant for you

For many people, the metaverse sounds like a concept normally only seen in science fiction films such as The Matrix or Ready Player One. Since it is such a drastic change, it is quite normal for people to react skeptically.

However, the Metaverse should offer numerous advantages over traditional social media platforms, which should make life more pleasant and multifaceted. Here is an overview of the most important points: 

• Be more productive

Although most people worry about the addictive potential the Metaverse would have, it offers some interesting applications for work. Users will be able to create their own customized environment. This means you can design the workspace of your dreams.

You could take a virtual vacation in Rome or Bali and work while enjoying the exotic view of blue water and white beaches. Or you could create a completely virtual, fictional world where fish fly and snails jump or where there are no animals at all. You could even recreate your office space from reality and add your favorite items from your real workspace if you want.

The possibilities are almost endless. Depending on what boosts your productivity, working in nature, working with a view of the sea or working in your dream office, you can make it happen in the Metaverse.

• Entertainment on a new level

Meta promises "an embodied Internet where you are right in the middle of it, not just part of it". That sounds like a gaming paradise. Players will be able to enjoy a more interactive, immersive experience and play games that feel real.

Streaming video content will also become an even more lifelike experience thanks to the fusion of augmented reality and virtual reality.

Meta also wants to integrate the option of sharing activities that are far away with people. For example, you could attend concerts with friends on the other side of the world. Again, the technical details of this concept are a mystery. In Meta's announcement video, the "virtual concertgoer" appears as a hologram of her real self, while the friend physically present can see and talk to her.

Similarly, Meta envisions possibilities where, for example, physical and virtual users meet to play a game of basketball. These allusions to a mixed reality are still rather vague at the moment, but fascinating thoughts nonetheless.

• New learning opportunities

Meta will allow users to get information and gain knowledge about topics in a more visual, interactive way than before. For example, if you're interested in history and geography, you could travel to any place and any time period, whether it's industrial change, the Weimar Classics, ancient Rome or whatever.

These different situations could be generated on the basis of gigantic amounts of data. With the help of VR technology, users can immerse themselves in them.

Anyone who wants to see how America built the White House could experience this from the ground up. And those interested in astrology could learn about the intricate details that make up each individual celestial body through 3D rendered images of constellations and planets.

If Meta can realize its plans according to the company's own plans, this could be a big leap for educational technology and visual learning.

• Higher data protection standards

Many experts have interpreted the meta-move as an attempt by Zuckerberg to polish up his image after the Facebook data protection scandals.

Although most big tech companies like Amazon and Google collect user data, Meta stands out for the type of data it collects. Following the acquisitions of WhatsApp and Instagram, the company now has one of the world's largest databases of personal data.

According to Mark Zuckerberg, Meta is all about a sense of responsibility. With all the new capabilities and features promised by Meta, the focus is on interoperability, open standards, privacy and security. Given the fact that Meta is still a rebranding of the Facebook company and has access to tons of user data, it is unclear how the improved data protection will actually be implemented and guaranteed in the end.

Marketing in the metaverse

The metaverse not only sounds exciting for consumers, but also offers completely new opportunities for marketers. Thanks to VR and AR technology, products and brands can be brought to consumers in the metaverse in an unprecedented way.

What specific use cases does the metaverse offer for digital marketing?

• Positioning in the metaverse

The new marketing ecosystem that will emerge in the metaverse is a big step up from the current social media world. It is a shift from storytelling to giving users the opportunity to develop their own stories. It's also a shift from simple experiences to massive interactive live events, from traditional fashion to virtual fashion and from loyalty programs to blockchain-powered benefits.

It is important for brands to rethink their virtual brand role. Building a brand in the virtual world is very different from building a brand in the physical world.

Brands can fulfill other, new roles in the metaverse. A brand can be an enabler that provides unique virtual experiences, a participant that creates new experiences as a cultural curator or a rewarder that offers gamified rewards and virtual goods to its customers.

• Metaverse gaming and branding 

Marketers have several options for marketing in the metaverse. This includes advertising in games and events. Already, big names like Gucci or Nike are working with virtual fashion for avatars that consumers can buy. Real estate in games is another way for brands to get involved in the gaming experience. For example, virtual items can be purchased for the interior design of virtual houses or the interior of a car.

Many international brands have already found their way into the meta-space. They are integrated into games such as Fortnite or League of Legends in the form of avatars or virtual real estate and thus become part of a comprehensive user experience. The American mobile operator Verizon, for example, brought the Super Bowl stadium into Fortnite and enabled players to meet avatars of NFL players. In this way, the company promoted the benefits of 5G technology.

Fashion giant Louis Vuitton and game developer Riot Games also collaborated on several fronts for the League of Legends World Championships 2019. Collections in League of Legends style and exclusive skins were designed for players to use in the game.

• Non-fungible tokens (NFTs)

The metaverse is a universe in which users can collect, invest, buy, sell and own at will - just like "in real life". For this reason, brands have jumped on the bandwagon and capitalized on this to create non-fungible tokens (NFTs). They are making the concept of collectibles a constant of marketing in the metaverse.

NFTs are non-replaceable digital assets that exist on the blockchain and consist of blocks of information (code). An NFT can be an image, video, sound recording, text message or anything else. Art in particular has recently enjoyed enormous popularity in the NFT space.

As a result, brands are creating assets and limited edition tokens worth millions of dollars that can be purchased. In July 2021, for example, Coca-Cola sold an NFT collection for the price of 575,000 dollars.

Another example is the Gucci Garden, where the latest clothing and merchandise collection was presented. You can also collect limited edition Gucci products there. The brand earned 286,000,000 Robux (cryptocurrency from the gaming platform Roblox) with the first sale of collectibles. The key was to interact with the existing communities to create new products and immersive experiences for the audience.

But it's not just digital art that is popular among NFT fans: in December 2021, the popular French art house Aguttes announced that it would be auctioning off the world's first text message as an NFT. The price range for the almost 30-year-old text message with the content "Merry Christmas" is between 100,000 and 200,000 euros. The hype surrounding prestigious objects in the virtual world is therefore real.

Marketers have the opportunity to gain a foothold in the metaverse with NFTs. The unique virtual goods are an ideal way to engage in community building and redefine yourself as a brand.

When is the Metaverse coming?

The general metaverse, which numerous manufacturers are working on in their own way, will emerge from the technology world as soon as it is ready. There is no specific time frame for this yet.

With the Facebook Metaverse, however, more precise statements can already be made. Although it is still in the early stages of development, CEO Mark Zuckerberg is confident that the Facebook Metaverse will be "mainstream" in 5-10 years. He predicted this at the Meta Connect conference in 2021.

Conclusion: Metaverse - The next digital revolution?

There is no doubt that the concepts of Metaverse and Web 3.0 are drastically changing the (online) world. The way we interact with each other, work and lead our social lives will change fundamentally.

The good news is that we can already see that there are many positive aspects to look forward to, such as new entertainment and new opportunities for working and learning.

All online marketers should keep a close eye on this development, as the metaverse will also turn digital marketing on its head. From positioning and branding to products such as NFTs, the VR world offers a wide range of marketing applications.

What do you think of the Metaverse concept - do you think it will really work as many experts have predicted? I look forward to your comment!