Potential Metaverse market valuation may surge to an impressive $5 trillion by 2030
In a groundbreaking report, McKinsey & Company predicts that the metaverse, a futuristic landscape where our day-to-day lives will intertwine with our virtual reality lives, could generate up to $5 trillion in economic value globally by 2030 [1]. This transformative impact is expected to span various sectors and business models as companies explore new ways to engage customers through immersive, blended virtual and physical experiences.
Key findings from the McKinsey report indicate that Fortune 500 companies are actively investing in metaverse marketing strategies, such as augmented reality (AR) activations, virtual venues in gaming platforms, non-fungible tokens (NFTs), AR filters, and branded virtual worlds. These approaches aim to create engaging, immersive brand experiences that surpass traditional advertising [1].
The trend of launching metaverse experiences is growing rapidly, with 80% of retailers planning to deploy AR/VR technologies by 2025 to enhance customer experiences [1]. The metaverse is evolving into a new marketing and engagement arena where brands can connect with the next generation of consumers through interactive 3D environments, potentially redefining how businesses interact with their audiences [1].
According to the report, the metaverse has the potential to fundamentally change the way industries operate, with 31% of business leaders predicting this transformation [1]. The metaverse's ultimate delivery will depend on what we do with the technology available to us, according to Eric Hazan, one of the report's lead authors [1].
The metaverse may have a major value escalation, with e-commerce being the largest value growth force ($2.6 trillion). Other significant contributors include virtual learning ($270 billion), gaming ($125 billion), and advertising ($206 billion) [1].
The metaverse is not considered a fad, but a new way of thinking and operating. It's neither inherently good nor bad; it will be what we make it, and we can learn from previous eras of technological change [1]. The metaverse is anticipated to bring positive gains to 99% of industries over the next five to ten years, according to the report [1].
Surveys show that consumers are eager to embrace the metaverse. 64% of consumers surveyed indicated they were excited or very excited about shopping in the metaverse, and 79% of respondents who already preferred one or more activities virtually versus physically preferred immersive world shopping [1].
However, businesses need to rethink their approaches to customer interaction in the metaverse, and additional training and reskilling may be necessary [1]. Only 15% of surveyed respondents felt they could explain the metaverse, according to a Wunderman Thompson Intelligence report [1].
A quarter of leaders believe the metaverse will account for more than 15% of their organization's total margin growth over the next five years [1]. The metaverse is not an app or a device, but an actual world where our day-to-day lives will be lived in tandem with our virtual reality lives.
In conclusion, the metaverse presents a significant opportunity for businesses to transform their operations, engage customers, and unlock trillions in economic value. Companies that experiment boldly and create authentic, compelling virtual experiences are positioned to benefit most from this shift. As we navigate this new frontier, it's crucial to remember that the metaverse will be what we make it, and we can learn from previous eras of technological change to ensure a positive and equitable future.
[1] McKinsey & Company. (2022). The metaverse: The next iteration of the internet? Retrieved from https://www.mckinsey.com/business-functions/mckinsey-digital/our-insights/the-metaverse-the-next-iteration-of-the-internet
- As the metaverse continues to evolve, businesses may find it necessary to reskill their employees to stay competitive in the technology-driven environment, with artificial intelligence and advanced gadgets playing crucial roles.
- To maintain a strong presence in the metaverse, companies might consider integrating technological innovations, such as reskilling programs, AI-powered customer interactions, and the use of cutting-edge gadgets, into their metaverse marketing strategies.
