Metaverse for E-Commerce in 2023

Picture this: You’re scrolling through your favorite e-commerce site, looking for the perfect pair of sneakers. You find a pair that catches your eye, but you hesitate before hitting the purchase button.

Will they fit right? Will the color look the same in person? It’s a risk you don’t want to take.

But what if you could try on those sneakers before you buy them? What if you could walk around in them, see how they feel, and make sure they’re the right fit for you? Sounds impossible, right? Not in the metaverse.

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The metaverse is the future of e-commerce, and it’s here!!

It’s a virtual world where you can experience products in a whole new way. You can see them, touch them, and try them on, all without leaving your living room. And the best part? You can do it instantly.

No more waiting, no more uncertainty. Just pure shopping bliss.

In this blog, we will explore how the metaverse is reshaping e-commerce businesses as a whole, how brands are enacting new strategies to expand their businesses in the metaverse, and finally, what lies in the future for e-commerce in the metaverse.

“The Global Metaverse’s E-commerce market is set to grow by $85885.22mn (CAGR 39.65%) from 2023-2027.”

– Statista

What is the Metaverse?

The Metaverse is like a whole new world, a virtual space where people can interact with each other and digital content in real-time. 

It is a bridge between the physical and digital worlds, a place where ideas merge to emerge as newer, better, innovative concepts. In Metaverse, we can explore and experiment with new technologies and break the boundaries of previously what we thought was impossible.

This is the best way the Metaverse can be defined. Or, you can explain it as simply the future of the internet.

What is E-Commerce in the Metaverse?

E-Commerce in the Metaverse is nothing as we have ever seen before. It is a way to shop immersively, interactively, and downright fun.

Imagine walking through virtual stores, browsing products, and trying clothes and products without ever leaving your house. It was like having your very own personal shopping experience tailored just for you.

In the Metaverse, you could see products in 3D, zoom in to see the details, and even get a feel for the texture. You could try on clothes, and newer merchandise, change the colors and see how they looked on your avatar. 

It also is a platform for creators and entrepreneurs to showcase their products in a whole new way. People can build their own virtual storefronts and connect with customers from around the world.

And the best part? There’s no wait time for delivery. Your purchased products can be tried on instantly. It’s simply magic, but it is all made possible through the power of technology.

Organizations delving into Metaverse E-Commerce

Many big brands and names started noticing the new emerging frontiers of taking their business to the Metaverse. Nike, Addidas, Hulu, Tencent, Sandbox, and Decentraland — these organizations saw the potential of the Metaverse as a new channel for business. They saw the opportunity to create a new type of customer experience, one that was immersive, interactive, and engaging.

Nike created Nikeland in association with Roblox, allowing players to purchase virtual items and real-world products. During the NBA All-Star Week, even king James appeared at Nikeland to motivate the Roblox community to incorporate physical activity into their gameplay. To date, nearly 7 million people have visited Nikeland and reviewed having a world-class immersive experience. Besides this, Nike also launched. Swoosh is its own e-commerce marketplace for people to collect and trade virtual products.

Similar to Nike, Gucci associated with Sandbox and debuted their concept store Gucci Vault Land on the verge of educating the Sandbox Web3 community about their ideas and heritage via eccentric play-to-know narrative gamification.

Following the tangent, we also saw Adidas debut their “Virtual Gear” product category, a collection of interoperable 16-piece Adidas originals curated specifically for trying on virtual avatars. And it wasn’t just the big players who were getting involved.

Hulu, Lululemon, and likewise lesser-known global brands began investing in the technology and talent needed to create their own Metaverse storefronts. Small businesses and entrepreneurs saw the potential of Metaverse e-commerce as a new ecosystem of business where regardless of scale and size, businesses could connect with customers in a whole new way.

Customer Behaviour in the Metaverse

Gartner predicts that by 2026, 25% of people will spend at least one hour a day in the Metaverse for work, shopping, education, social media, and entertainment. 

Google Survey results have shown that 66% of people are interested in using AR for shopping. E-commerce platform Shopify has found that interactions with products featuring 3D content have a 94% higher conversion rate.

In fact, Microsoft launched its own enterprise Metaverse in 2022, where users can access business tools like MS Excel and PowerPoint – so you can meet with your boss and then catch up with your friend for a virtual coffee chat in the same digital world.

With such rapid enactments in the space, it’s highly likely that people will also want to do their shopping in the Metaverse. And if the domain is simply an iteration of the physical world, it’s only natural that customer behavior will be similar too. 

Therefore, e-commerce and retail giants must adapt to this new reality if they want to stay relevant.

Why E-Commerce in the Metaverse is the next big thing?

If you’re tired of the limitations of traditional e-commerce, shopping, and commerce in the Metaverse is undoubtedly the next big thing.

In the Metaverse, the customer journey will be all about creating a unique brand experience together with your customers. You can “walk” around a store, enjoy 3D-rendered displays, and complete purchases from the comfort of your home without moving an inch. 

Additionally, the Metaverse will provide you with the following:

Real-life like experiences

In this digital realm, brands can create real-life-like experiences, unlike the 2D interface of traditional e-commerce. Customers can interact with products and get a better understanding of their suitability, leading to more informed purchasing decisions. Studies show that customers are willing to pay as much as 40% more for a product that can be tested in 3D, leading to higher brand profit margins.

Better Community Engagements

But it’s not just about the sales. The Metaverse also allows brands to build stronger community engagements by empowering their customers to participate actively in brand activities. Exclusive product launches can be dropped in the Metaverse, only available to the brand’s most passionate fans who pay for special access.

Enhanced Customer Insights

Through the Metaverse, brands can also gain better customer insights. By testing product penetration without manufacturing, brands can gauge customer interest and make more informed production decisions. This leads to fewer returns and less waste, benefiting both the brand and the environment.

Better Global Reach and Reduced Return Rates

One of the most exciting things about the Metaverse is its global reach. Customers from all over the world can access virtual stores, leading to a greater potential for growth and profitability. And for merchants selling traditionally difficult-to-buy products such as home furnishings, cosmetics, footwear, and fashion, building virtual experiences will become essential to reduce return rates.

An All-encompassed Immersive Experience

The Metaverse has the potential to bridge the gap between e-commerce and in-store shopping experiences. It’s no wonder that 70% of consumers rate the ability to try on, touch, and see physical products as their favorite part of the in-store experience. So, get ready to step into a world of endless possibilities where the only limits are your imagination.

Reasons to Use Metaverse for E-Commerce & Marketing

Traditional marketing strategies are not the only ways to market your products and brand. Brands now have a greater opportunity to reach new audiences, generate more revenue, and boost consumer confidence through the metaverse. Here are some of the top benefits of investing in metaverse marketing.

i) Technological Upperhand

Using augmented reality (AR) technology, brands can showcase and sell their products online. Customers can try on clothes or see how the furniture fits in their homes, making them more confident in their purchases. For example, using AR, customers can try on shoes, dresses, pants, and other clothing items to see how they look and feel.

ii) Seamless Transactions

Transactions become easier when using e-wallets and cryptocurrency. Digital money and cryptocurrency make it easier for buyers and sellers to do business online, with the added benefit of transaction transparency. This will allow businesses to have proof of their purchases in the virtual world.

iii) Immersive Experiences, Gamification, Engagements

The metaverse provides a new way to engage audiences with immersive and entertaining experiences. This can lead to more attention and more income for businesses. Utilizing virtual goods, branded gaming adventures, and AR/VR showrooms, businesses can attract and engage both existing and potential customers.

iv) Virtual Events

Virtual events have become more popular, and businesses can take advantage of them in the metaverse. Organizing an event, such as a concert, in a virtual universe with a full VR experience can expand businesses’ audience and provide networking and participation opportunities for their customers.

v) Augmented Storytelling

The metaverse also allows for more innovative advertising. The importance of storytelling in building brand identity and awareness has become more evident than ever. The metaverse provides the perfect platform for storytelling, allowing businesses to fully immerse their audience and turn them into active participants who can “live” the story.

The future of retail is not just e-commerce. It’s about harmonizing the best of both digital and physical experiences to create a new kind of shopping journey.

– Angela Ahrendts

Essential Features to Have in Your Metaverse E-Commerce Store

If you’re thinking of setting up your own Metaverse e-commerce store, there are some essential features you should have to ensure a successful business. Here are the top must-haves:

Product Visualization Technology

One of the best things about e-commerce is the ability to see and experience the products before you buy them. In the metaverse, this can be taken to the next level with product visualization technology. By incorporating 3d, virtual, and augmented reality, customers can try on clothes, see how furniture would look in their homes, and even interact with products before purchasing.

Custom Avatars

Your customers want to feel like they’re part of the metaverse experience. Custom avatars allow them to express their personalities and connect with your brand more personally. Consider offering avatar customization options that fit with your brand aesthetic.

Engaging Virtual Environments

In the metaverse, customers want to feel like they’re part of something special.

By creating engaging virtual environments, you can immerse your customers in your brand and make them feel like they’re part of the community. Consider incorporating interactive elements, such as branded games and social spaces, to keep customers engaged.

Gamification

The metaverse is all about fun and games, so why not bring that into your store? 

Consider adding gamification elements to your store, such as challenges or rewards for completing specific actions, to keep customers engaged and coming back for more.

Social Integration

In the metaverse, customers want to connect with others and share their experiences. Integrating social features into your store can help customers engage with each other and your brand. Consider adding features like social media sharing buttons, a chat room, or a community forum.

Inventory Management

Inventory management can be a headache in any retail business. In the Metaverse, it’s important to have a system that seamlessly manages your inventory and delivers purchases to your customers’ digital inventories. Ensure you have a reliable system to avoid any issues with order fulfillment.

Easy & Secure Payment Options

No one likes a complicated checkout process, especially in a virtual world. Ensure your metaverse store has easy payment options, such as digital wallets and cryptocurrency. It’s also essential to secure the payment process to protect your customers’ information. Integrate robust security features to protect your customers’ personal and financial information.

Customer Service

Just because your store is in the metaverse doesn’t mean you can neglect customer service. Offer a variety of ways for customers to get in touch with you, such as by email or chat, and make sure to respond promptly to any inquiries or issues.

Bottom Line

Innovation has always been the key to success in the world of business. As customers increasingly shift to online activities, investing in a metaverse e-commerce store could be the key to unlocking new revenue streams and ushering your brand’s reach.  

At Idea Usher, we can help you create your own personalized feature-rich metaverse e-commerce store. Our team of experts can guide you through the entire process, from conceptualization to implementation, ensuring that your metaverse store meets your unique business needs and goals. Make the most of this exciting new frontier in e-commerce.

Get in touch with us now!

Contact Idea Usher at [email protected]

Or reach out at: (+1)732 962 4560, (+91)859 140 7140

FAQs

Q: What is metaverse in e-commerce?

A: Metaverse in e-commerce is a virtual world that allows users to experience shopping in a new, immersive digital universe. It provides an online space where users can engage with brands and products in a more interactive and personalized way, creating unique and memorable shopping experiences.

Q: How does the metaverse impact e-commerce?

A: Metaverse impacts e-commerce by providing a new platform for brands to engage with their customers in a more immersive and interactive way, creating a more personalized and engaging shopping experience.

Q: What are the advantages of a metaverse in e-commerce?

A: Metaverse in e-commerce offers advantages such as providing a more interactive and immersive shopping experience, creating new revenue streams for brands, and providing a way to collect data and insights about customers.

Q: Why do brands need metaverse?

A: Brands need metaverse as it offers a unique way to engage with customers and stand out in a crowded e-commerce marketplace, provides opportunities for new revenue streams, and allows brands to collect valuable customer data and insights.