Despite reports of slow user adoption of Meta’s Horizon Worlds virtual reality platform, the metaverse holds tremendous promise as a space in which people and organizations will interact in the future.
As transformational as the metaverse sounds, it simply is the next evolution of the internet. And in the same way that human interactions, consumer behaviors, and organizational strategies and services have adapted to emerging technologies, so will they adapt and embrace the metaverse as it expands.
Those technologies include cloud computing, distributed networks, augmented and virtual reality, blockchain, edge computing, and more that can support shared metaverse experiences at scale.
For financial institutions, the metaverse is a new realm for developing innovative products and services with the potential for significant growth. JPMorgan Chase has estimated a market opportunity of $1 trillion annually in the coming years.
As the metaverse infrastructure and population development, and as people seek to engage in transactions such as buying and selling art, avatars, names and other assets, demand for banking and financial services will persist.
Major financial institutions are already developing a presence in the metaverse. Indeed, large banks can play a vital role in metaverse commerce through their expertise in cross-border payments, foreign exchange, and the creation, trading, and safekeeping of financial assets.
Credit unions and community banks also can prosper in the metaverse by leveraging what they do best in the physical world: Establishing trusted relationships with the community and differentiating themselves via personalized member experiences.
Here are several policies and actions that will help financial institutions prepare so they are well-positioned to build and retain a customer base in the metaverse:
As the metaverse expands, we need to be mindful of a potentially widening digital divide. One way for financial institutions to be inclusive is to offer access to virtual reality experiences in branches, particularly those in low-income communities or remote areas. While the metaverse can be accessed via smartphones, VR headsets typically provide a more dynamic experience that can improve the level of service.
Start experimenting now: Organizations can leverage virtual reality to simulate banking client situations when training customer support employees. In addition, immersive environments can serve as an excellent tool to onboard new remote employees that creates conditions to bring company values and culture to life. Bank of America has already adopted virtual reality to train employees in nearly 4,300 of its financial centers.
Prioritize privacy and identity authentication: To ensure safe interactions and transactions in the metaverse, user identification and privacy safeguards will be even more critical. Financial institutions that are continuously improving their security protocols and adopting emerging and innovative technologies, such as voice biometrics for more accurate identification, will be better prepared to adopt the new wave of security measures needed in the metaverse.
Tie your metaverse strategy to your CX strategy: Financial institutions have been evolving their customer experience strategies in response to changing client expectations of seamless communications across channels, more digital-first experiences, and smart self-service options. The metaverse will represent the next evolution in client needs and expectations, so organizations should build their metaverse strategy with CX at its core.