Published - September 28, 2022 @ 04:04 PM (EET)
To target the next generation of shoppers, Walmart (NYSE:WMT) is opening a new superstore that comes with all the luxuries - from clothes, a roller skating rink, a Ferris wheel, and now - the metaverse.
Earlier this week, Walmart announced the launch of metaverse experiences - Walmart Land and Walmart's Universe of Play on the Roblox (NYSE:RBLX) gaming platform, becoming the latest retailer to dive headfirst into the emerging industry of virtual worlds.
The move marks Walmart's first foray into the metaverse, with the spaces offering interactive content and entertainment for customers, including a virtual room for Roblox avatars to try on clothes and accessories, virtual concerts, games, and competitions.
WHY IT MATTERS
Granting access to millions of loyal monthly active users, the partnership with Walmart strengthens the use case for Roblox being a top destination in the metaverse and gaming space.
Walmart US Chief Marketing Officer William White said,
"Roblox is one of the fastest growing and largest platforms in the metaverse, and we know our customers are spending lots of time there. So we're focusing on creating new and innovative experiences that excite them, something we're already doing in the communities where they live, and now, the virtual worlds where they play."
Though the pandemic saw a shift in consumer behavior, pushing Walmart to capitalize on the change by testing new ways to reach shoppers, the push toward virtual worlds may be premature to metaverse bears.
Analysts have pointed to Roblox's recent financial difficulties, outlining the company's wider-than-expected loss in the latest quarter and bookings the company said declined 4% year over year.
This month, Cowen analyst Doug Creutz initiated a Sell rating for Roblox stock, saying that a true metaverse "may not materialize within a 5- to 10- year horizon."
NOW WHAT
Roblox's market value is about $21.2 billion, but its shares are down 66% so far this year.
Elsewhere, Walmart quietly filed for metaverse-related trademarks earlier this year, with some indicating the making or selling of virtual goods as well as non-fungible tokens or NFTs.
