In recent months the number of companies looking to establish a presence in the metaverse have increased exponentially. Companies such as Nike and Disney are conducting recruitment drives to hire metaverse experts. JPMorgan predicts that the annual revenue potential from metaverse advertising, social commerce, and live events could surpass $1 trillion.
SandStorm, the world’s largest weekly metaverse event, is determined to capitalize on this trend by paving the way for brands to establish a presence in virtual reality. A new platform for connecting established and emerging brands with top metaverse builders has been created by the project.
These are the Brands
Having recently closed a $2.5m seed round, SandStorm will debut the beta version of its live platform and NFT marketplace at next week’s South by Southwest (SXSW) festival in Austin, Texas.
This platform, built on Ethereum and Polygon Blockchains, allows brands who have not yet made their mark in the metaverse to do so through an online directory that contains hundreds of Web3 builders. SandStorm offers white-glove services to help brands enter the metaverse, and create experiences in popular open-world environments like The Sandbox.
“As a growing number of brands are entering the metaverse through The Sandbox, we’re seeing an increased need for a platform to connect them to Builders, Agencies, Architects, Designers, Community Managers and thousands of providers in this open ecosystem,” says the game’s co-founder and COO Sebastian Borget, who invested in SandStorm’s recent seed round alongside a swathe of VC funds.
“SandStorm offers a decentralised solution for matching these needs and providing visibility to projects through meet-ups and social events in the metaverse.”
Many brands have successfully placed a flag in metaverse. However, they are often intimidated by the difficult learning curve. SandStorm aims to assist such businesses by helping them overcome their fears and explore revenue-raising possibilities via virtual experiences and NFTs.
One of the most successful stories in emerging metaverse space is the Sandbox. The primary sale of land parcels within the virtual world generated $12 million, while secondary sales volumes grew 1,685% in quarter four of 2021. Several major brands have already purchased land in The Sandbox, including luxury fashion house Gucci which is developing what it calls an interactive fashion experience “inspired by childhood memories of the search for beauty.”
Reflecting on SandStorm’s vast creators’ community, CEO Steve McGarry said, “We’ve seen metaverse builders mint everything from skyscrapers and avatars to custom headphones on the platform already. We’re hyper focused on the one-of-one NFTs that take creators weeks to construct. We’re not interested in the 1,000+ collections.”
Metaverse Marketing
The arrival of SandStorm’s platform comes at a time when consumer brands are reinventing marketing in the metaverse. Decentraland, a rival of The Sandbox, is currently gearing up to host a virtual fashion week featuring designers such as Dolce & Gabbana, Tommy Hilfiger, Dundas and Etro. McDonald’s, meanwhile, has filed no fewer than 10 trademark applications including one for a virtual restaurant that delivers to customers’ homes.
McGarry says SandStorm reaches more than 3 million people each month. It has also attracted 500 builders and 50 brands before its launch. The latter have been onboarding since the platform’s Builders Program launched last October.
There are many ways brands can use the metaverse to their advantage. These include releasing digital collectibles in limited editions, advertising on billboards viewed by gamers and offering rewards and virtual experiences. Many commentators believe that brands who ignore the metaverse risk being left behind, invoking the cautionary tale of Blockbuster Video – a company that once turned down the chance to buy Netflix for $50 million.