Businesses need to do the right things in the Metaverse from the start

According to a KPMG report, Google searches for “metaverse” grew 7,200 percent globally last year, indicating immense interest in the concept. However, as companies explore this, the ethical implications of marketing initiatives in the metaverse must be carefully considered.

Although the concept of ethics is still in its early stages in the Metaverse, companies need to understand its importance and adjust their marketing strategies accordingly.

According to data experts, around 94 zettabytes of data were generated and consumed in 2022 alone. The Metaverse collects vast amounts of data about user behavior, preferences, and interactions, providing marketers with a valuable tool to leverage and create targeted campaigns.

However, with increased awareness of privacy, users expect brands to be transparent about how they collect and use their data. Businesses must disclose their data collection practices and strive to inform users of how that data is being used.

Additionally, compliance with data protection laws such as the EU’s General Data Protection Regulation (GDPR) – widely regarded as the regulatory standard for multinational companies – is critical to maintaining ethical behavior in the Metaverse.

Compliance would show that brands value the privacy of their users and take appropriate measures to protect the data. By adopting privacy-by-design principles, brands can build privacy considerations into their products and services from the start. This approach helps minimize privacy risks and ensures privacy is built into every aspect of their business operations.

The Metaverse has the potential to be an inclusive and accessible space where people of all abilities and backgrounds can connect and interact with each other. Brands should strive to create marketing experiences that are inclusive, diverse, and responsive to the needs of different user groups.

This includes designing accessible content, promoting a range of virtual events and experiences, and promoting a positive representation of diverse communities. According to a McKinsey survey conducted in April 2022, 95 percent of business leaders expect Metaverse to have a positive impact on their industry within the next 5-10 years.

One reason is that the attractiveness of the metaverse spans genders, regions, and generations. Promoting diversity and inclusion also includes ensuring equal opportunity within the company and fostering a culture that recognizes and celebrates differences.

While the Metaverse has the potential to reduce carbon emissions in some ways. For example, minimizing trips to and from physical stores and reliance on VR technologies and data storage centers can raise environmental concerns such as carbon emissions and resource consumption.

Research from the University of Massachusetts has shown that training a single AI model used in data centers can produce around 600,000 pounds of carbon dioxide. As companies continue to explore the Metaverse as a marketing channel, environmental impact must remain a priority in our collective consciousness.

This could include adopting technologies that use less energy, advocating sustainable development principles, and running marketing campaigns that emphasize environmental awareness.

Brands must also be aware of their social responsibility in the metaverse. This includes supporting initiatives that promote online safety, digital wellbeing and a healthy balance between the real and virtual worlds.

Brands must take an active stance against cyberbullying, harassment and other forms of online abuse by fostering a culture of empathy, compassion and respect in the virtual environments they create.

Partnership is vital to address ethical issues and encourage a responsible approach to marketing techniques as the Metaverse ecosystem grows. Brands should resolutely collaborate with other stakeholders, including technology companies, content producers, and users, to share information, solve common challenges, and create breakthrough solutions that will shape the future of the metaverse.

Businesses should support a resilient virtual environment that benefits everyone through collaborative efforts and a conscious, ethical approach to metaverse marketing.

It’s worth noting that a McKinsey global survey found that 71 percent of the world’s 79 largest consumer companies have already established a presence in the Metaverse, underscoring the growing importance of this virtual space.

By remaining aware of the ethical implications, brands can not only drive the growth and success of their business, but also contribute to a better, more inclusive and responsible digital world.