Understanding the value of the metaverse for the TMT sector

As featured on BusinessMirror: Understanding the value of the metaverse for the TMT sector

How technology, media and telecommunication (TMT) companies can navigate the metaverse with confidence.

KPMG commissioned a survey of 767 TMT executives to understand their preparedness for the metaverse. The survey titled, Understanding the value of the metaverse, shows many are trying to balance investing in an unknown future to avoid being blindsided by a metaverse pioneer, while making sure they don’t invest in projects that later become redundant.

• Tech, media and telco leaders are excited about the opportunity of the metaverse, but few are taking action.
• 59% believe the metaverse will have a huge impact on business and consumers.
• 53% are investing in metaverse staffing and resources.
• Investing in the metaverse is expected to have a big impact on digital transformation, innovation and customer engagement.

• Leaders are looking to the metaverse to drive revenue and profit.
• 61% believe they would see an increase of over 55% in revenue and profit margins.
• 57% have plans to implement augmented reality tools.
• Top desired outcomes: improved customer experience, product innovation and revenue growth.

• The gap between action and capability is the main challenge for organizations in adopting the metaverse.
• Almost two-thirds of companies feel unprepared for designing metaverse experiences and processes.
• Proper technology and skill sets are the primary barriers to metaverse adoption and planning.
• 60% of tech, media and telco leaders believe metaverse success depends on increased customer demand.

• Only one-quarter of tech, media and telco businesses are highly prepared for the metaverse.
• At least two-thirds of respondents agree that hiring talent for the metaverse is a big priority.
• Setting and tracking KPI and metaverse pilot projects will help companies build on their early success.
• Highly prepared companies are investing more in the metaverse and are more likely to anticipate those investments having a big impact.

There’s plenty of excitement around the potential of the metaverse, including high hopes that successful implementation can boost bottom lines for TMT companies.

But where to start? Our report shares three approaches highly prepared organizations have taken.

There’s opportunity to pilot metaverse initiatives and develop capabilities for the long-term within your own organization. The benefits of this include lower costs, lower risk (less client exposure), improved efficiencies, knowledge growth and tapping into existing capabilities.

Closely monitor the progress of the metaverse and be nimble. Our survey showed highly prepared organizations have ambitious expectations for the metaverse, but also anticipate investing twice as much as their competitors. For the near term, investment can be channeled into innovation labs and centers of excellence for incremental learning rather than large-scale execution.

Let business value drive the conversation rather than the technology. Have a well-developed plan and clear, measurable expectations. This includes defining realistic KPIs early. Revenue, for instance, is more likely to be a 2028 KPI, not a 2023 target.

In the Philippines, embracing the metaverse can help companies modernize their operations, enhance customer experiences and drive innovation in a digital-first world.

Given the dynamic and rapidly evolving nature of the Philippine market, understanding the relevance and implications of the metaverse can be a strategic advantage for TMT companies in the country.

As the world continues to change, TMT organizations must be ready to explore future opportunities like the metaverse and adapt accordingly.

Drawing on our deep experience, we offer consulting and strategy services to help TMT organizations harness evolving technologies and develop innovative strategies which we support through to targeted results.