IDEAS home Printed from https://ideas.repec.org/a/eee/tefoso/v209y2024ics0040162524006309.html
   My bibliography  Save this article

Advertising in the metaverse and its implications for brands and society: A multi-stakeholder perspective

Author

Listed:
  • Doligalski, Tymoteusz
  • Sarna, Nikodem
  • Koles, Bernadett
  • Siejka, Aneta
  • Kozielski, Robert

Abstract

The aim of this paper is to identify the characteristics of advertising in the metaverse and its implications for brands and society. A group of 35 experts representing advertising agencies and brands from Central and Eastern Europe were interviewed. The findings are presented in the form of a conceptual model that provides a cartography for the landscape of metaverse advertising. Our results demonstrate that metaverse advertising uses existing formats (e.g. billboards, product placement), while also developing new ones (e.g. automated avatars, virtual products, and branded spaces). In addition, metaverse advertising is more focused on brand building than on direct, measurable impact. Advertising in the metaverse is not as precisely targeted as it is on the internet. Given their high up-front costs, these activities are currently more suitable for multinationals and well-known global brands. Metaverse advertising is not perceived to be associated with elevated brand risk. However it is burdened with myopia, understood as a lack of long-term perspective. Our findings reveal three stakeholder personas representing different approaches to metaverse advertising; including Cautious Pioneers, Empathic Pragmatists, and Blockchain Enthusiasts. We conclude by documenting the social consequences, capturing shifts towards automated communication, digital ownership, and the metaverse's potential to replace social media.

Suggested Citation

  • Doligalski, Tymoteusz & Sarna, Nikodem & Koles, Bernadett & Siejka, Aneta & Kozielski, Robert, 2024. "Advertising in the metaverse and its implications for brands and society: A multi-stakeholder perspective," Technological Forecasting and Social Change, Elsevier, vol. 209(C).
    • Handle: RePEc:eee:tefoso:v:209:y:2024:i:c:s0040162524006309
    DOI: 10.1016/j.techfore.2024.123832
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0040162524006309
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.techfore.2024.123832?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Giang Barrera, Kevin & Shah, Denish, 2023. "Marketing in the Metaverse: Conceptual understanding, framework, and research agenda," Journal of Business Research, Elsevier, vol. 155(PA).
    2. David J Reibstein & Raghu Iyengar, 2023. "Metaverse—will it change the world or be a whole new world in and of itself?," AMS Review, Springer;Academy of Marketing Science, vol. 13(1), pages 144-150, June.
    3. Hajian, Ava & Daneshgar, Setareh & Sadeghi R., Kiarash & Ojha, Divesh & Katiyar, Gagan, 2024. "From theory to practice: Empirical perspectives on the metaverse's potential," Technological Forecasting and Social Change, Elsevier, vol. 201(C).
    4. Yoo, Kiwoong & Welden, Roman & Hewett, Kelly & Haenlein, Michael, 2023. "The merchants of meta: A research agenda to understand the future of retailing in the metaverse," Journal of Retailing, Elsevier, vol. 99(2), pages 173-192.
    5. Chakraborty, Debarun & Polisetty, Aruna & Rana, Nripendra P., 2024. "Consumers' continuance intention towards metaverse-based virtual stores: A multi-study perspective," Technological Forecasting and Social Change, Elsevier, vol. 203(C).
    6. Shuya Lu & Ofer Mintz, 2023. "Marketing on the metaverse: Research opportunities and challenges," AMS Review, Springer;Academy of Marketing Science, vol. 13(1), pages 151-166, June.
    7. Kim, Yunju & Lee, Heejun, 2024. "Consumers’ responses to metaverse ads: The roles of hedonic versus utilitarian appeal and the moderating role of need for touch," Journal of Business Research, Elsevier, vol. 179(C).
    8. Marie Haikel-Elsabeh, 2023. "Virtual influencers versus real influencers advertising in the metaverse, understanding the perceptions, and interactions with users," Post-Print hal-04171089, HAL.
    9. Isaac Cheah & Anwar Sadat Shimul, 2023. "Marketing in the metaverse: Moving forward – What’s next?," Journal of Global Scholars of Marketing Science, Taylor & Francis Journals, vol. 33(1), pages 1-10, January.
    10. Hoffman, Robert R. & Shadbolt, Nigel R. & Burton, A. Mike & Klein, Gary, 1995. "Eliciting Knowledge from Experts: A Methodological Analysis," Organizational Behavior and Human Decision Processes, Elsevier, vol. 62(2), pages 129-158, May.
    11. Liu, Min-Ling & Liu, Na-Ting & Ding, Cherng G. & Lin, Chieh-Peng, 2015. "Exploring team performance in high-tech industries: Future trends of building up teamwork," Technological Forecasting and Social Change, Elsevier, vol. 91(C), pages 295-310.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Gleim, Mark R. & McCullough, Heath & Gabler, Colin & Ferrell, Linda & Ferrell, O.C., 2025. "Examining the customer experience in the metaverse retail revolution," Journal of Business Research, Elsevier, vol. 186(C).
    2. Peschel, Anne O. & Frank, Darius-Aurel & Blumenkranz, Daniel & Steinmann, Sascha, 2024. "Visual fidelity in the metaverse matters for memory performance," Technological Forecasting and Social Change, Elsevier, vol. 205(C).
    3. Shuya Lu & Ofer Mintz, 2023. "Marketing on the metaverse: Research opportunities and challenges," AMS Review, Springer;Academy of Marketing Science, vol. 13(1), pages 151-166, June.
    4. Shahzad, Khuram & Ashfaq, Muhammad & Zafar, Abaid Ullah & Basahel, Sarah, 2024. "Is the future of the metaverse bleak or bright? Role of realism, facilitators, and inhibitors in metaverse adoption," Technological Forecasting and Social Change, Elsevier, vol. 209(C).
    5. Heidemann, Gerrit & Schmidt, Sascha L. & von der Gracht, Heiko A. & Beiderbeck, Daniel, 2024. "The impact of the metaverse on the future business of professional football clubs – A prospective study," Technological Forecasting and Social Change, Elsevier, vol. 208(C).
    6. Keegan, Brendan James & McCarthy, Ian P. & Kietzmann, Jan & Canhoto, Ana Isabel, 2024. "On your marks, headset, go! Understanding the building blocks of metaverse realms," Business Horizons, Elsevier, vol. 67(1), pages 107-119.
    7. Eggenschwiler, Matthias & Linzmajer, Marc & Roggeveen, Anne L. & Rudolph, Thomas, 2024. "Retailing in the metaverse: A framework of managerial considerations for success," Journal of Retailing and Consumer Services, Elsevier, vol. 79(C).
    8. Chakraborty, Debarun & Polisetty, Aruna & Rana, Nripendra P., 2024. "Consumers' continuance intention towards metaverse-based virtual stores: A multi-study perspective," Technological Forecasting and Social Change, Elsevier, vol. 203(C).
    9. Roberto Bruni & Annarita Colamatteo & Dušan Mladenović, 2024. "How the metaverse influences marketing and competitive advantage of retailers: predictions and key marketing research priorities," Electronic Commerce Research, Springer, vol. 24(2), pages 965-982, June.
    10. Mehrotra, Ankit & Agarwal, Reeti & Khalil, Ashraf & Alzeiby, Ebtesam Abdullah & Agarwal, Vaishali, 2024. "Nitty-gritties of customer experience in metaverse retailing," Journal of Retailing and Consumer Services, Elsevier, vol. 79(C).
    11. Gandhi, Mohina & Gaur, Aakanksha & Kar, Arpan Kumar & Dwivedi, Yogesh K., 2024. "Crafting user experiences in the metaverse: A design science study," Technological Forecasting and Social Change, Elsevier, vol. 209(C).
    12. Dwivedi, Yogesh K. & Balakrishnan, Janarthanan & Mishra, Anubhav & Bock, Koen W. De & Al-Busaidi, Adil S., 2024. "The role of embodiment, experience, and self-image expression in creating continuance intention in the metaverse," Technological Forecasting and Social Change, Elsevier, vol. 203(C).
    13. Mkedder, Nadjim & Das, Manish, 2024. "Metaverse integration challenges: An in-depth ISM and MICMAC analysis," Journal of Retailing and Consumer Services, Elsevier, vol. 77(C).
    14. Rabab Ali Abumalloh & Mehrbakhsh Nilashi & Keng Boon Ooi & Garry Wei-Han & Tat-Huei Cham & Yogesh K. Dwivedi & Laurie Hughes, 2024. "The adoption of metaverse in the retail industry and its impact on sustainable competitive advantage: moderating impact of sustainability commitment," Annals of Operations Research, Springer, vol. 342(1), pages 5-46, November.
    15. Kim, Yunju & Lee, Heejun, 2024. "Consumers’ responses to metaverse ads: The roles of hedonic versus utilitarian appeal and the moderating role of need for touch," Journal of Business Research, Elsevier, vol. 179(C).
    16. Mohammad (Behdad) Jamshidi & Arash Dehghaniyan Serej & Alireza Jamshidi & Omid Moztarzadeh, 2023. "The Meta-Metaverse: Ideation and Future Directions," Future Internet, MDPI, vol. 15(8), pages 1-31, July.
    17. Kim, Do Yuon & Lee, Ha Kyung & Chung, Kyunghwa, 2023. "Avatar-mediated experience in the metaverse: The impact of avatar realism on user-avatar relationship," Journal of Retailing and Consumer Services, Elsevier, vol. 73(C).
    18. You, Leping & Liu, Fanjue, 2024. "From virtual voices to real impact: Authenticity, altruism, and egoism in social advocacy by human and virtual influencers," Technological Forecasting and Social Change, Elsevier, vol. 207(C).
    19. Ghali, Zohra & Rather, Raouf Ahmad & Khan, Imran, 2024. "Investigating metaverse marketing-enabled consumers’ social presence, attachment, engagement and (re)visit intentions," Journal of Retailing and Consumer Services, Elsevier, vol. 77(C).
    20. Zhong, Ziqi & Zhao, Elena Yifei, 2024. "Collaborative driving mode of sustainable marketing and supply chain management supported by metaverse technology," LSE Research Online Documents on Economics 121160, London School of Economics and Political Science, LSE Library.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:tefoso:v:209:y:2024:i:c:s0040162524006309. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.sciencedirect.com/science/journal/00401625 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.