The metaverse is a new frontier in consumption. It is a digital place where people can buy and consume anything they want, whenever they want. It is an oasis of freedom and choice, and it has the potential to change the way we live and work. The future of the metaverse is placed where data and technology merge to create an experience that's both unique and engaging. With information overload becoming a weekly reality, it is crucial for businesses to understand how their consumers are engaging with their offerings. This chapter synthesised the current research and practice to answer the following questions: How is the metaverse changing the way we consume and communicate? How is Web 3.0 empowering and transforming the metaverse? What are the threats Web 3.0 is bringing to our privacy on the internet?
TopIntroduction
The digital landscape is changing rapidly, with more and more emerging technologies connecting us in ways that were not possible even a few years ago (Keikhosrokiani, 2022). We are on the brink of a revolutionary era in how we use the internet. Web 3.0, also known as the Metaverse, is a new version of the internet powered by blockchain technology and data. Web 3.0 is bringing about a change in how we interact with information online and, more importantly, a dramatic shift in the power dynamics between consumers and companies.
The Metaverse, an online world made up of data and technology, is the latest frontier in this digital revolution. Conceived in the minds of science-fiction novelists (The Economist, 2022), the Metaverse, or virtual worlds, has the potential to revolutionise marketing by providing brands with new ways to engage with consumers and deliver immersive experiences. In the Metaverse or the new market universe, as termed by Hollensen et al. (2022), brands can create virtual storefronts and product displays (Darbinyan, 2022), host virtual events and promotions (Chen, 2022), and even create virtual versions of their products for customers to try on or test drive (Lim et al., 2022). Additionally, the Metaverse can allow for more targeted and personalised marketing (Dwivedi et al., 2022), as brands can gather data on consumer behaviour and preferences in virtual environments (Hazan et al., 2022). A 2021 study (Netcore Cloud, 2021) comparing the conversion rates of U.S. e-commerce websites revealed that a greater proportion of sales were completed when the shopping experience was personalised to individual consumers. Though conversion rates increased in a number of e-commerce subsegments, marketplaces demonstrated the largest difference in conversion rates before and after personalisation (see Table 1). Overall, the Metaverse has the potential to create more engaging and interactive brand experiences that can build stronger connections with consumers who can use Web 3.0 to shop, pay bills, communicate with friends and family, and even participate in digital marketing activities. Therefore it is no wonder that the Metaverse is considered to be shaping the real-world ambitions of the leading brands worldwide (The Economist, 2022).
Table 1. Online shopping conversion rate in select verticals before and after offering personalised shopping experience in the United States in 2021
| Pre-personalisation | Post-personalisation |
| Marketplace | 1.2% | 1.75% |
| Brand | 1.04% | 1.5% |
| Fashion/Apparel | 1.32% | 1.78% |
| Groceries | 1.31% | 1.79% |
| Jewelry | 1.43% | 1.78% |
| Books | 1.22% | 1.66% |
| Cosmetics | 1.29% | 1.75% |