Marketers are notorious for being the first to jump on new technology before it proves to be truly transformative or just a flash of light. (Remember the clubhouse?)
The Metaverse, which has been a hot topic among advertising executives throughout 2022, looks like the latter.
The metaverse has been a hot topic in tech and marketing circles throughout 2021. That year, however, the Metaverse craze reached its hype peak in Adland when Facebook rebranded it to Meta in October.
Every day, my inbox is flooded with offers that brands are launching virtual stores, creating NFT collections, or offering new skins on Decentraland. Fortnite.
More specifically, Meta has invested billions of dollars to bring the Metaverse to life. harm one’s advertising business, launching a flood of VC investments in Metaverse-focused startups. At the peak of the hype, McKinsey estimated that the Metaverse would make him worth over $3 trillion by 2030.
campaign usa We also leaned on the marketers’ excitement about this new space, Six-part video series Delve into the impact of the metaverse on brands, businesses and consumers.
Fast forward to today, and as the economy continues to deteriorate and new innovations with more tangible implications emerge, enthusiasm for the Metaverse seems to have quickly died down. AI, etc.has attracted the attention of the industry.
Other companies that were once bullish in the Metaverse are pulling back as the economic outlook becomes more uncertain. promised to cut costs and stabilize its slowing advertising business.
The domino toppling ensues as brands get smarter about the fact that not many people actually use the platforms they mention when they mention the “Metaverse.”
For example, in Meta’s Horizon Worlds, 200,000 monthly users — just a fraction of the billions of users on other platforms. DappRadar pegs Decentraland’s daily active user base at his staggering 650. Plunging from a peak of 50,000 one year ago.
Brands are also beginning to realize that the majority of Metaverse users are too young to legally advertise. Walmart shut down his Roblox “Universe of Play” this week. stealth marketing for kids.
Putting it all together, as our UK sister journal reported today, the Metaverse is “Irrelevant” for most brands.
Blame it on the collapse of the crypto market, or the chill of investment and mass layoffs across tech companies. But the Metaverse hype collapsed almost as fast as it rose.
Big players like Meta and Disney will be able to withstand the blow, but will the metaverse marketing agencies, the digital agencies that bet their business on the metaverse, withstand the sudden snub?Several already hitand more casualties.
Good news? There’s always the next big new thing to pivot on.
Deploy an AI chatbot.