How beauty brands and retailers can take advantage of the metaverse

While the metaverse is seeing an influx of fashion brands enter its digital realm, the beauty sector is arguably a bit behind in adopting innovative, emerging technology, with only a few venturing into this relatively unknown space.

In an effort to ease some hesitancy around entering the metaverse, digital brand experience firm Revieve has released a detailed report that hopes to explain how companies can navigate this evolving world and what opportunities await those willing to explore it.

Entitled “The Complete Metaverse Playbook for Beauty Brands and Retailers,” Revieve’s report provides various insights to help brands prepare the foundation they need to build for the metaverse and its future.

It comes as well-known beauty conglomerates such as L’Oréal and Estée Lauder begin to make their mark on the space, with the latter participating in various metaverse fashion weeks, while the former has secured its position through trademark registrations. action is likely to be taken in the near future.

Nyx professional makeup is also among those involved in the virtual sphere. In May, the beauty company partnered with Metaverse platform The Sandbox to develop an inclusion hub alongside the launch of non-binary non-fungible tokens (NFTs), each aimed at displaying the brand’s message that makeup has no gender.

In its report, Revieve noted that much of the impetus behind this major digital shift is due to the importance Millennials and Gen Z have placed on building communities through online avenues.

Preparation, protection, production, installation

The company highlighted a “6P phase process” designed to help brands determine what groundwork needs to be laid before entering. The first, “Preparation,” revolves around developing a necessary action plan, including budget considerations and business models.

“Protect”, as noted by Revieve, is an important part of the reflection on this new landscape, with the report emphasizing the need for legality, patents and protection for a business. The third, “Product,” touches on what a company wants to produce digitally, followed by “Place,” in which a business must consider where it wants those products to be in the digital world. The last most self-explanatory steps are “Promote” and “Personalize”, both of which cover the message being portrayed.

In order for an offer to be attractive to consumers, Revieve proposed providing completely new forms of contact with them established after researching their needs.

The report highlighted a number of methods for creating new avenues of contact, all of which aim to be meaningful and long-lasting for a consumer-brand relationship. This could be using NFTs to build trust and loyalty, offering a cost-effective way to achieve member loyalty and a personalized experience.

“Metaverse and NFT present a new opportunity for beauty brands to redefine what data, engagement and community mean to their customers,” said Kim Oguilve, chief communications officer at Revieve, in the report. “Let’s face it? This goes beyond the actual asset at play – it’s about making their brand stand out to new consumer groups and consumer behaviors. But only time will tell what all the possibilities are, but we know they can be endless”.

Another form of communication could be the development of a virtual store strategy, a method already implemented with Nars Cosmetics and Clinique, which have launched in-game opportunities that allow consumers to purchase products for digital use.

Revieve noted that the extent of advancements and innovations present in the digital store concept incentivizes consumers to engage with brands and shows the potential of the metaverse for beauty.

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