5 key trends of Gen Z and millennial behaviour towards metaverse HK marketers should know

The pandemic and physical social distancing rules in Hong Kong have catapulted the popularity of digital spheres such as the metaverse. However, who actually makes up the metaverse and what do marketers need to know about them? A new survey by Yahoo uncovered a unique insight into how the metaverse becomes the driver for GenZ and millennial behaviour in Hong Kong, while unveiling insights on what consumers in APAC want from the metaverse, with the coverage of 15,000 respondents across Australia, New Zealand, Japan, Taiwan, Hong Kong and Singapore.

Of the Hong Kong survey of 1,000 consumers aged 13 to 65 years old sampled between August to September 2022, a majority of HK consumers are aware of the metaverse, of which over half of them 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 two user groups have different expectations and views towards virtual social communities, avatars, immersive entertainment, creative freedom, individuality and commerce on the metaverse.

Let’s look at some of the trends outlined by Yahoo set to help Hong Kong marketers learn what Gen Z and millennial consumers are looking for in the metaverse.

1. GenZ and Millennials want different things from the metaverse

According to the survey, 87% of the Hong Kong respondents are aware of the metaverse, of which 75% are millennials and Gen Z, or the metaverse generation, which rank the highest in the APAC region. 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.

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

Therefore, marketers should refrain from a one-size-fits-all view when creating campaigns for the metaverse generation.

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 that, 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 .

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, according to Roger Li, senior director of ad creative, Yahoo Creative Studios, APAC.

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

5. A safer metaverse required

Same as 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.

Don't miss: Study: Metaverse impact on Asia's GDP to hit up to US$1.4 trillion by 2035

MARKETING-INTERACTIVE has reached out to Yahoo for additional information.

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