Metaverse Marketing Rationale Rests on Branding, Engagement

December 20, 2022

This article is included in these additional categories:

Brand Metrics | Brand-Related | Business of Marketing | Customer Engagement | Customer-Centric | Innovation

One in 5 US ad buyers is currently investing in metaverse advertising and/or marketing, according to a report from the IAB. With another more than one-third (36%) considering doing so, only a minority (44%) have no interest in this emerging form of marketing.

The results are broadly in line with other surveys on the topic. A recent piece of research found that close to one-third of B2C marketers in the US who are professionally aware of the metaverse say that they are using the metaverse as part of their current marketing program. A separate study of B2B marketers revealed that one-fifth were using the metaverse for their brand experiences.

So why invest in metaverse advertising/marketing? The IAB asked ad buyers who are currently investing or are considering investing why they might do so. The leading reason, as cited by 52% of respondents, is to build brand awareness/recognition, while close to half (46%) cited a boost in brand perception as a reason. Sandwiched in between those brand-related reasons is an interest in a new way of engaging existing customers, as cited by almost half (48%) of respondents.

This is supported by other research on B2C marketers, who, when presented with a list of challenges, were most likely to say they believe metaverse experiences can help them address brand awareness/visibility and customer engagement/loyalty.

Meanwhile, among the 44% of respondents who are not invested in metaverse advertising/marketing and aren’t considering doing so, the top reason for not investing is that metaverse advertising is simply too nascent (41%). Other reasons cited included metaverse advertising not being a good fit for the audience (37%), not being a good fit for the brand (35%), and a lack of room in the budget (35%).

All told, about one-quarter (26%) of ad buyers surveyed expect to increase their focus on Web3 (including metaverse, NFTs, etc.) in 2023, more than double the share (12%) that will focus less on this. The remainder will either maintain their level of focus on Web3 (26%) or don’t see this as applicable (36%).

About the Data: The results are based on a survey of 223 buy-side ad investment decision-makers, primarily at brands and agencies.


Explore More Articles.

Marketing Charts Logo

Stay on the cutting edge of marketing.

Sign up for our free newsletter.

You have Successfully Subscribed!

Pin It on Pinterest

Share This