A Deep Dive into Gucci’s Metaverse Practice
Metaverse: Our Future or Just a Marketing Gimmick?
In the Covid-19 era and the upcoming post-Covid era, it will be possible for scenarios that were once considered digital games to be highly integrated with our reality. In this context, experts from various industries are highly interested in a new concept called ‘Metaverse.’ Stylianos Mystakidis defined ‘Metaverse’ as a multi-user environment that blends physical reality and digital virtuality, representing a post-reality universe in his article. Is the Metaverse a future trend or a commercial gimmick? At least today, the concept has become a sought-after marketing tool for many brands. Metaverse marketing extends the potential for commercial brand development. Brands can step out of the physical world and into the digital realm, where they will access a new economy, currency, consumer environment, and user behavior.
Currently, quite a few brands have embarked on engaging in metaverse marketing. Gucci is one example of an effort to dominate meta-universe marketing in the fashion industry. Schott introduced Gucci’s case that it has created a metaverse experience by purchasing land in the Sandbox, an Ethereum game platform, and released virtual fashion clothing items for virtual users. Through the collaboration of the Sandbox platform, Gucci explores a ‘virtual fashion’ and is convinced that it is an inevitable trend for the future.
As early as May 2021, Gucci built the Gucci Garden, a virtual art installation for Gen Z consumers, powered by Robolox’s VR technology. The marketing project featured a French garden where players could walk through the French garden and try on and buy Gucci virtual fashion items to dress up their blank avatars. Gucci Garden is not a product of the Metaverse, as it is a separate virtual system. In contrast, Gucci’s land purchase in the Sandbox in 2022 is a direct marketing move into the Metaverse. The Sandbox uses a highly relevant cryptocurrency to the real-world economic system, and players in the platform need to use the SAND token circulating in the Ethereum network to buy virtual items.
Gucci as a Pioneer in Practicing Metaverse Marketing
Gucci was the pioneer in the fashion industry, active in the digital innovation space, from establishing its own ‘Good Game ' ecosystem, a virtual sneaker gallery sneaker garage, to the launch of Gucci Arcade retro gaming lounge section in its official app. The brand has never stopped exploring the virtual world.
Gucci’s breakthroughs do not stop at discovering fashion aesthetics itself but have a full grasp of the entire world’s digital trends and dare to challenge cross-border experiments and innovations. The brand might not consider the exploration targeting profitability directly but a critical part of a long-term marketing strategy. Although it has not yet developed to a mature stage, the Metaverse has excellent potential. Therefore, it is not a direct profit model but contributes more to creating an intangible brand culture and an emotional connection with consumers or potential customers.
What’s Next on Metaverse Marketing
What exactly can the Metaverse bring to a brand’s digital marketing? First, brands will achieve a higher level of freedom within the metaverse virtual space. They would have the freedom to deliver customized experiences and purchasing opportunities, respond to dynamic trends and fast-changing customer needs in real-time, and revolutionize brand culture.
Secondly, the freedom in Metaverse allows brands to execute a more flexible marketing approach. Any test that is not possible in other channels can be conducted in the virtual game platform and communicate with players (their customers) in many ways.
Finally, Metaverse would realize relationships converging towards and potentially replacing reality. The shift in consumer relationships also creates new revenue channels for brands, such as Gucci’s ability to sell virtual items, as trust, money, and identity are embedded in the virtual world of the Metaverse.
