2022 will not be the year of the metaverse

Until now, the hype around the metaverse has been just a buzzword and a place mostly reserved for games. However, understanding why and what will likely result is something the savviest small and medium business owners will want to know. While its time has clearly not come, the day will come when the metaverse matters more to everyone, business owners and employees alike.

One thing is clear about the metaverse: everyone is talking about it, despite the fact that few people know exactly what it is. It's seen as the next frontier, the next gold rush, the next big thing. It is a term used to describe a common and united virtual world, the next generation of the Internet, Web 3.0. In terms of generational importance, Millennials and Gen Z view the metaverse and virtual worlds interchangeably as big business, with 67% of the combined group, according to YPulse, an expert on all things Millennials and Z. , agreeing that the metaverse is the next big thing, and 73% of all young people say the same about virtual worlds. It's also a place that many young people, as part of their social life, already know, because many of them have been playing version 2.0 there for quite a long time.

Young people who have played games like Roblox, Fortnite, Minecraft and Animal Crossing are already spending time in this 2.0 version of the metaverse. In fact, according to YPulse, 75% of them (88% of Gen-Zers and 70% of Millennials) have played a game that took them into a virtual world. And during Covid, they started using those spaces and that time in those games as much for hanging out as for playing.

Young people learned that the Metaverse was a place to socialize in a time when the rest of the world was closed to them. According to YPulse, while 61% and 48% of Gen-Zers and Millennials, respectively, prioritize virtual spaces for gaming, 48% and 39% choose them to hang out with friends. Still others say it's about buying things they can't in real life (31%/24%), trying hobbies they can't in real life life (30%/25%) and meeting people they can't in real life (29%/25%) that makes virtual spaces fun for them. Almost all, 92%, say their life in the virtual world influences their life in the physical world – their hobbies, their style, the music they listen to and even their friendships, relationships and mental health. Eighty percent of young people believe it is possible to spend meaningful time with others in a virtual world. Additionally, 72% agree that it's easier to talk to others in a virtual world than in real life (IRL). And 41% of Gen-Zers and 34% of Millennials say that browsing the virtual world with their avatar helps them express their creativity, with 32% of Zs and 30% of Millennials believing their avatar represents a perfected version of themselves . Young people can attend art exhibitions, film festivals and concerts in these new idealized virtual worlds, usually with the idealized avatar representation of themselves.

Similarly, young people are blurring their buying behaviors between the real world and the virtual world as brands become increasingly important in all aspects of virtual life. Brands like Gucci, Balenciaga, D&G and others now offer wearables and other products for avatars in the virtual world. Even today, 56% of young people surveyed by YPulse say they have purchased clothing or accessories for their avatar in a virtual world. Additionally, 69% said they were open to seeing ads from brands in the virtual world, and 61% agreed with the statement: "When brands interact with the virtual worlds of which I am a part, it makes me more likely to buy from them." Additionally, 84% said they would be interested in attending a branded event in their virtual world. Predictably, more and more brands are planting a space of trust in the metaverse, with brands like McDonald's, Miller Lite, Adidas and others taking over virtual real estate as part of a land grab that topped $500 million in 2021.

When it comes to the future, the vast majority of young people (73%) want to see just one virtu...