Virtual reality analytics will have a strong presence in the future of VR apps, movies, games, and retail experiences. From online shopping to video game microtransactions, e-commerce will becoming an immersive, interactive experience rather than the flat 2d plane that we currently have.
There are two massive markets that will be heavily impacted by VR (and eventually AR). The first is something that had only recently come to fruition: digital goods.
Digital goods are an amazing revenue stream. Massive margins lead to crazy levels of profit for companies that can pull off mass market penetration.
Two champions in this space are Valve, makers of the Steam video game platform, and Riot Games, makers of popular multiplayer game League of Legends. While both Riot and Steam are privately held and do not disclose their financial documents, it is estimated that both companies have annual digital goods revenues of around $1b. In both cases, the companies enjoy fantastic profit margins.
In the case of League of Legends, the game itself is free but has a cosmetic item store that allows users to “dress up” their in-game character.
League of Legends store
In Steam’s case, the platform sells massive amounts of digital video games and takes transaction fees off the top of their in-game item market transactions. Both revenue centres have remained extremely popular for years and, with the rise of VR, show no signs of slowing down.
A cosmetic weapon “skin” for sale on the Steam Community Market
Both companies have proven the mass market viability of digital goods. The obvious conclusion is that this concept will transfer into virtual reality business platforms as well. Instead of simply selling cosmetic items for a game represented on a 2D screen, content creators will be able to sell fully immersive aesthetic customizations for emerging VR hits. This represents an extreme market opportunity for companies looking to try different business models for the VR experiences – especially if they are multiplayer.
What if you could track what people really loved in a game? What if you could put on special deals to certain users based on what they really loved? That’s all entirely possible with VR analytics. The future of microtransactions isn’t in hustling more goods or mindlessly producing new content, it’s in building immersive experiences for your users based around what they actually want!
cognitiveVR aggregates user gaze data to provide important analytics for developers
The rise of virtual reality will take some time, but eventually VR will be mainstream. Gaming as we know it will be all around us instead of a few feet in front of our eyes in a glowing rectangle. With this rise, we need a powerful VR analytics tool that will help developers gather information and make data driven decisions about the future of their content. With a platform like cognitiveVR, it will be entirely possible for even a novice developer to gain deep insights into what their users actually want.
Both League of Legends and the Steam platform already provide millions of people with great gaming experiences. This is proven by the tremendous amount of money spent on customizations and items on their respective stores. The business model is viable already, imagine how great it will be in virtual reality and supported by a powerful analytics solution.← Back to the blog.