A strategy to approach that shiny new thing, the metaverse, shouldn't be dictated by FOMO (fear of missing out).
Global consultancy Forrester says companies are grappling with what to do, if anything, in their approach to the metaverse.
However, currently there is no strong consumer demand for metaverse precursor experiences.
“There is not a metaverse, nor will there be a near-term positive ROI beyond media attention. Businesses must take a methodical approach toward making investment and technology portfolio strategy decisions,” says Forrester principal analyst Martha Bennett.
Forrester has just released a study, Don’t Let FOMO Dictate Your Metaverse Strategy
Highlights:
- Consumer familiarity with the metaverse is nascent. Just 23% of US online adults are familiar with the metaverse (or what they think is the metaverse). Familiarity in Australia is even lower: Just 18% of online adults are familiar with it.
- Web3 virtual worlds and games are the realm of crypto asset enthusiasts. Web3 promoters like to equate Web3 with the metaverse, but Forrester disagrees. While there is overlap, in particular when it comes to NFTs, neither today’s precursors nor future metaverses depend on Web3.
- Today’s Metaverse precursors are novel but don’t hold consumers’ attention. Current Metaverse precursor experiences offer novelty, but they lack the key ingredients for mass-market success.
- Brands must take steps to drive consumers from awareness to comfort with experiences. Organizations must drive awareness, adoption, usage, comfort, and ultimately preference for the interface or medium. They must start by driving adoption of today’s virtual platforms.
The study says that for consumers to adopt metaverse experiences, these experiences must do new things for them:
"Consumers are typically in one of two modes when they go online. They are task-oriented, which means they want to get something done (e.g., schedule an appointment, buy a ticket). In this mode, they prioritise convenience. Or consumers are open to engagement (i.e., exploration, research, education, entertainment, socialising, etc.).
"Successful metaverse experiences will gravitate toward the latter. Just because consumers are open to engagement doesn’t mean they also won’t seek convenience where warranted. Today’s metaverse precursor experiences offer novelty, but they lack the key ingredients for mass-market success."
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