Metaverse Can Build Access for Big Companies, Says Virtual Brand Group CEO
The metaverse provides big companies an opportunity to expand and leverage their position in the world of commerce, according to Justin Hochberg, CEO of metaverse building company Virtual Brand Group (VBG).
“In the metaverse you can reposition yourself to a totally new demographic, new revenue stream, new products and new style,” Hochberg said on CoinDesk TV’s “First Mover” from the Consumer Electronics Show (CES) in Las Vegas.
The Los Angeles, California-based company is a middleman for global companies looking to expand their endeavors in the metaverse. It has partnered with the likes of retailer Forever 21, "The Voice" program and even Mattel's Barbie.
Hochberg said the company focuses on building “a whole new set of ways” for brands to connect with consumers, while generating revenue. Though he did not disclose the amount of revenue the company has generated for its partners, he said VBG “makes multiple millions of dollars in virtual goods.”
Those virtual goods are divided into categories, according to Hochberg, and include token-based marketplaces, sponsorships with brands and rewards programs, which he said the company is planning to implement next on the popular entertainment program “The Voice.”
“Our expertise ranges across all of those things,” Hochberg said. He added that what the metaverse provides in value is elbow room for companies that may not have exceedingly large budgets.
Hochberg noted that Roblox, an online gaming platform, started developing and selling products in-person. In a partnership with VBG, Roblox revived Forever 21’s retail presence, helping the retailer salvage its business. VBG, too, has partnered with Barbie, he added.
“All of this will open up eventually,” Hochberg said. “From our strategy, we go to brands, we make it easy for them by finding something they feel familiar with, and then we extend it.”
Read more: Virtual Worlds, Real-Life Use Cases: How Web2 and Web3 Tackled the Metaverse at CES 2023