How metaverse tourism can drive up physical tourism dollars
Lately, the conversation of the metaverse has been hot. The new world has allowed for new space to be created letting us live both virtually and physically. This has seen brands from a range of industries such as Armani Beauty, Nike and SCMP enter the metaverse world to connect with their targeted consumers. In Singapore, we also saw a metaverse wedding when the CEO of Bandwagon partnered up with The Alkaff Mansion in Singapore to hold a virtual celebration.
The tourism industry, which probably was the hardest hit during the pandemic, is also now safeguarding themselves from another such major lockdown by trying to have a go at the metarverse. Certain tourism bodies such as South Korea and Indonesia have already begun their investment in the space.
The opportunities
Prakash Somosundram, co-founder and CEO of Enjinstarter, explained that beyond simply enabling the creation of a virtual Bali or Seoul, the metaverse is part of a larger shift towards community-first thinking. Through the metaverse and other Web3 components like NFTs, a tourism body can engage people across the world, regardless of whether they intend to travel to the country or not.
"The idea that a person must travel to a country to experience it is becoming more obsolete by the day," he said.
Somosundram explained that another reason for tourism to go into the metaverse is to speak authentically to younger audiences, who may not yet be able to travel on their own. Engaging these younger audiences sets the stage for a long-term tourism relationship.
The obvious opportunity that the metaverse tourism presents is access. Travel costs are rising and pandemic-related restrictions are still impacting travel plans. The metaverse offers a means to experience the best a country has to offer without needing to leave home.
"At the same time, metaverse travel can be gamified. Imagine a scenario in which a person wins physical prizes, such as discounted hotel stays by taking part in metaverse tourism activities in advance of a trip," shared Somosundram. Moreover, the metaverse is also an opportunity for community building. It can be difficult for a tourism body to engage with tourists before, during, and after their stay. Metaverse communities, on the contrary, can provide that conduit. This opens up new and exciting possibilities for promotion, feedback, and long-term loyalty building.
Kunal Robert, client services director and in-house metaverse expert of Construct Digital, shares a similar sentiment and adds that South Korea and Indonesia's tourism bodies recognise the value of investing in tourism and want to have a first mover advantage.
