Since Meta reinvigorated discussions about the Metaverse, there has been wild speculation about, and even wilder investments in, Metaverse technologies. Predicted spending on the Metaverse has, in under a year, worked its way from millions to billions and now trillions of dollars.
In a report released this month, Value creation in the metaverse, McKinsey & Company, the highly-respected management consultancy, has endeavored to put a definitive price tag on the amount that consumers and companies will spend on the Metaverse in the future.
After interviewing 3,104 consumers across 11 countries and polling C-suite from 448 companies, McKinsey predicts that by 2030, annual spending on Metaverse initiatives will top $5 trillion.
You could download the report to discover how they have come to this astronomical figure.
How Do the Figures Break Down?
Researchers concluded that as much as:
- $2.6 trillion would be spent through e-commerce.
- Advertising revenue will likely account for up to $206 billion.
- $270 billion will fall under the remit of the academic virtual learning market.
- Metaverse gaming could account to $125 billion of the total.
Already, in 2022, almost double has been spent on Metaverse activities than was spent in 2021, upwards of $120 billion.
What Will the Metaverse Be Used For?
McKinsey predicts that Metaverse daily engagement will fall under one of five distinct categories, although it’s important to note that this is from a consumer-first perspective. They include:
- Remote learning
How to Capture Value From the Metaverse
McKinsey outline three critical steps for capturing value in the Metaverse:
- Develop a value-focused strategy: Define your goals and the role you want to play that will generate value.
- Test, learn, and adopt: Launch initial activities, monitor results, and refine.
- Prepare to scale: Align talent and tech capabilities, and embed in your business strategy and operating model.
- 95% of the executives polled believe the Metaverse will have a positive impact on their industry.
- 25% of the executives expected the Metaverse to drive 15% of total margin growth by 2030.
- Close to 33% believed that the Metaverse would significantly influence how their industry operates.
- 79% of users interviewed had already made purchases from existing Metaverse platforms.
- 47% of users that qualified had made in-game purchases.
- 37% had purchased virtual cosmetic items.
- 33% had bought a physical item via a Metverse distributor.
Although the McKinsey report’s findings can’t wholeheartedly predict the future, they are the most significant yet. Why? Because as well as coming from a very reputable source, the report is one of the most comprehensive yet, and crucially, comes at a time when many Metaverse projects have had months to grow and develop.
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