‘Metaverse’ is no more a thing of the future. Companies in the retail, IT and technology sectors have been heavily invested in this particular space and going forward we can expect many more companies to join the bandwagon. Going forward we can only expect many more companies to join the bandwagon. 

This is particularly so in the case of the retail sector because it provides so many possibilities for showcasing one's products and even conducting transactions through the virtual space, which will cut down a lot of say logistics costs. Many experts believe that the metaverse in retail is akin to the period when e-commerce kicked off twenty years ago. 

If you track its journey, the interest in metaverse real estate massively skyrocketed ever since Facebook announced it would change its name to Meta and focus on building its digital world. Whereas for the retail industry, the metaverse was pioneered by fashion brands like Nike, Gucci, Louis Vuitton, Tommy Hilfiger, and Forever 21 who have all used Metaverse marketing in their campaigns. 

For instance, Nike has filed many patent applications, including one for a Metaverse Studio, one for opening Nikeland on Roblox, and one for purchasing RTFKT, a virtual fashion firm that makes virtual shoes and collectables. Gucci's latest metaverse partnership is with 10KTF, an NFT project that includes a virtual floating “New Tokyo” world, and fashion accessories for purchase. Similar initiatives are being taken by other retail brands. 

“As consumers explore the virt-real world, companies that do not actively begin incorporating new immersive experiences into their business strategy now, run the risk of being left behind. By embracing the Metaverse, businesses have the opportunity to reinvent consumer experiences and also transform how products and services are being created and offered,” said Anurag Gupta, Managing Director and Lead - Strategy & Consulting, Accenture in India.

Situation in India
In India, in the retail sector, mostly jewellery brands like Tanishq, Dishi, etc. and some fashion retailers like Gap have strongly ventured into the metaverse space. Several D2C players are experimenting with the same to understand the right strategy to make the best of this emergent technology. 

Dishi Somani, Founder of Dishi Designer Jewellery said, “Metaverse is a growing concept, and it seems like everyone is venturing into it for the possible growth aspects. At Dishis Designer Jewellery, even we have taken a new initiative for displaying our wide range of jewellery to potential customers through a metaverse. With this step into technology, customers can view all the jewellery on our website and try it on to see how it looks on them in a virtual model. This will help the potential customers select the right kind of jewellery as per their taste and liking. It is more interactive and relevant according to the requirements of the customers. This new step would encourage customers' trust in the brand and surety to buy the product for themselves or as a gift. It is the new way of ensuring how graceful one will look after wearing the jewellery.”

Also, jewellery brand Tanishq launched its wedding collection titled ‘Romance of Polki’ in the 3D display zones on the metaverse, where signature pieces from the collection were displayed. The audience could view the jewellery pieces in 3D and had a great visual experience. The guests were able to try on the showstopper piece by scanning a QR code.

In fact, this trend of metaverse adoption is not unique to any particular demographic and is expected to be equally popular in India as in other countries. In fact, according to a report by Accenture, 11,000 consumers in 16 countries including India found that while almost two-thirds (64 percent ) of consumers had already purchased a virtual good or taken part in a virtual experience or service in the past year, that figure is expected to rise, as 83 percent show interest in making purchases via the metaverse. 

Manish Gupta, Managing Director and lead - Products, Accenture in India said, “As an evolving continuum, Metaverse is expected to transform and impact every part of the business value chain – right from reinventing consumer engagement to solving R&D issues and enabling enterprise-wide data analysis to leadership decisions. Consumer-facing companies need to focus on skilling and investing in a robust technology foundation to benefit from the new opportunities that will come up in the future.”

Furthermore, 42 percent of survey respondents said they had visited a retailer in the virtual world to get advice, make a payment or browse a product range when shopping for a physical item, while 56 percent of respondents plan to in the next year. Among millennials, these figures increase to 51 percent and 61 percent respectively. 

The companies understand this demand and are adopting various means to cater to it. More than just being a trendy technology, adopting metaverse can build a lot of advantages for the brand going forward. 

“All efforts are being made to cater to a wide range of customers across the country and the globe. By venturing into the world of technology, the main objective is to have Dishis Designer Jewellery leave its footprints in the virtual world and then worldwide,” Somani further said. 

Vijeta Soni, Co-Founder and CEO, Sciative Solutions said, “To increase brand revenue, the Metaverse is now being used to provide faster product discovery, better personalization, and a more immersive experience than physical stores. Furthermore, Metaverse's distinct competence in enhancing engagement and visualization makes it a favorite among both global and domestic luxury retail brands. The adoption of the Metaverse has become an urgency for all of the stakeholders involved in the luxury retail ecosystem. The platform's adoption is leading to a tremendous rise in profitability and consumer engagement for companies, while it provides a more connected experience for customers to help them choose and buy better. Consumers can better explore multiple models and product features on the Metaverse than they can on any other commercially available model or format.”

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