Greetings, Metaverse Generation – Yahoo unveils the largest consumer research in APAC and Hong Kong

Hong Kong (March 31, 2023) –The pandemic and physical social distancing rules in the city have catapulted the popularity of digital spheres, namely the Metaverse – a name we’ve heard associated with everything ranging from land rights and digital art collectables to live concerts as well as mega brands. But who actually makes up the metaverse and what do marketers need to know about them? A new survey by Yahoo uncovered crucial insights on what consumers in APAC want from the metaverse. The survey — the largest consumer study on the metaverse in APAC — covered 15,000 respondents across Australia, New Zealand, Japan, Taiwan, Hong Kong and Singapore.

Of the Hong Kong survey of 1000 consumers aged 13 to 65 years old sampled between August to September 2022, 87% of HK consumers are aware of the metaverse, of which 75% are millennials and GenZ, or the metaverse generation. Both statistics rank the highest in the APAC region.

An interesting finding of the survey shows that these 2 user groups have different expectations and views towards virtual social communities, avatars, immersive entertainment, creative freedom, individuality and commerce on the metaverse.

Many of Gen Z and millennials within the Hong Kong market have already experienced the metaverse in virtual gaming environments. More than half have played Minecraft, Sandbox, Roblox, Fortnite and other open-world games in the past month – a ratio that’s higher than the APAC average.

“While metaverse only gained widespread popularity over the pandemic, this large-scale study proves that this technology is far from nascent. It provides a unique insight into how it’s become the driver for GenZ and millennial behavior in Hong Kong, which ranked the highest in the region -- at 87% -- in terms of their awareness of the metaverse.  Moreover, 75% of Hong Kong’s digital natives are looking forward to the metaverse, implying they are not only ready for the metaverse, but they are increasingly eager for brands to bring them new experiences in this realm” says Roger Li, Senior Director of Ad Creative, Yahoo Creative Studios, APAC.

Roger adds, “Despite its ubiquity, navigating and optimising the metaverse to your brand is not an easy feat. This study shows the pace, expectations, adaptations people from different generations have for the metaverse. Such knowledge – paired with Yahoo’s immense know-how and expertise – will give brands a huge advantage.”

Some findings from the Hong Kong market include:

1. Social connection, avatars, immersive 3D world with realistic interactive experiences and virtual goods are essential ingredients to a quality metaverse experience.
2. Personalisation and customisation are important in for Gen Zs, while millennials prefer a variety of ready-made options
3. Almost half of Hong Kong’s metaverse generation have looked into or purchased NFTs.

5 key findings from the report offers vital cues to Hong Kong marketers:

#1: GenZ and Millennials want different things from the metaverse

Marketers must refrain from a one-size-fits-all view when creating campaigns for the metaverse generation.

Gen Z is looking to breaking rule, becoming rich, create equality and diversity and foster social connections through features like digital avatars and an immersive 3D world that is easy to shape.

Millennials, meanwhile, see the metaverse as an easier channel to establish meaningful connections. They also seek entertainment and enhanced experiences that the physical world cannot offer.

#2: Different realities for digital avatars

While real sensory experience and unconstrained creativity are expected in avatar creation for both generations, Gen Zs’ demand for creativity is much higher as they hope to explore their identities on the metaverse while millennials hope to adorn branded apparel and accessories they adore in real life.

#3: The allure of digital assets

The report shows that today’s youth has immense trust in the digital world: Gen Zs, in particular, will spend one-fifth of their “fun budget” on metaverse goods; and 48% of Hong Kong’s metaverse generation have looked into NFTs while 14% have already made a purchase – the highest amongst the surveyed APAC regions. Digital assets such as artwork, profile pictures, gaming goods, limited-edition cards, videos and music are top priority for the metaverse generation as they hold investment value and access into certain communities. 

#4: Brands in the metaverse

Consumers are adaptive and receptive to the metaverse, with 62% of APAC metaverse users already engaging with one or more branded virtual experiences. The survey also found that if a brand campaign features the metaverse in its advertising, marketing events, half of the respondents say they will pay it more attention and as high as 45% say they will have a more positive image towards the brand

Ergo, brands must catch up in terms of expertise, security and experience in crafting their metaverse consumer journey.

#5: A safer metaverse required

Just like in the real world, safety and security remain a top concern for consumers in the metaverse. In the study, more than 60% of the surveyed, fear fraud and difficulty in protecting privacy and personal information. As such, the industry must look at stronger policing, better regulations, and accountability when crafting their campaigns to ensure that users keep their peace of mind.

The report ties together these findings with analysis and views from experts in the region, to create a comprehensive picture for marketers.

For enquiries, please contact your Yahoo sales representative to email to [email protected]