Why Does Travel Industry Need to Invest in Metaverse Development?

Metaverse development in travel industry is anticipated to alter the meaning of travel altogether, taking customer experience to the next level.

Updated 17 October 2023

Sitaram
Sitaram

CTO at Appventurez

Metaverse refers to building virtual environments that are centered on social connections. It has the potential to take various forms, ranging from virtual reality (VR) experiences to augmented reality (AR) overlays of the real world. Metaverse development is frequently connected with the users having control over their digital avatar which is utilized to connect with other metaverse participants. 

According to research, the travel and tourism industry is growing at an annual rate of 4.41%. By 2026, the projected market value will be just under $1 billion. In current times, travel industries are exploring various options that the metaverse provides to reach consumers wherever they are, in addition to its social component. As a result, the metaverse is now considered one of the newest tourism trends. 

As more options for metaverse travel and tourism evolve, and the user base grows, it is likely to play a bigger part in the tourist industry. While virtual travel in the metaverse is not likely to replace the real experience, the metaverse certainly has the potential to improve the travel experience in various ways. In the blog below, let’s understand how the metaverse can transform and impact the travel industry. 

What is Metaverse?

Metaverse is an online, shared, 3D space where the users can interact with each other as well as with computer-generated avatars and objects. It is a virtual world that uses the internet for its underlying network. Metavseres are used for various purposes, including online gaming, social networking, education, and training. 

They can also be used to create virtual worlds that mirror the real world, or they can be used to create entirely new and imaginary worlds. As the metaverse has the potential of shaping the future of technology, it is important to understand how it will impact various industries, including travel, gaming, and healthcare, among others. 

What is the Travel Industry?

The travel industry facilitates services that are related to travel. It isn’t related to transportation services but is related to the act of travel from one place to another. The travel industry extends to basic services while also taking care of the customer’s needs. 

While the travel and tourism industries are interlinked, it is significant to understand that there are some notable differences between the two sectors. 

Essentially, the tourism industry relates to the industry centered on tourism. It is a specific act of traveling to a different location, either for pleasure or for business. On the other hand, the travel industry is related to a person’s travel from one place to another and the various services that they use in that process.

The introduction of a metaverse in tourism allows travelers to sample tourist destinations virtually before they visit the place. The creation of virtual attractions, including museums, theme parks, zoos, and other tourist destinations, is the primary reason for the growth of metaverse tourism. 

How Does Metaverse Development Impact the Travel Industry?

The metaverse creates a $13 billion opportunity for tourism, mostly driven by digital travel advertising. It has been estimated by 2030, virtual events could account for up to 20% of revenues. 

In the past few years, people have changed the way they travel. With COVID-19 and travel restrictions, people have been turning away from physical travel and looking for alternatives such as virtual reality travel. 

The change in perspective has naturally led to the rise of new travel trends. The growing influence of metaverse has also led to the development of advanced business travel apps making travel more convenient for users. The points below further explain how the metaverse is impacting the travel industry. 

  • For those who travel to experience the world, metaverse travel offers a less expensive and safer way to explore new locations. For businesses or for travelers with work, online meetings and classes have become increasingly popular. 
  • Metaverse development is increasingly seen as a catalyst rather than a substitute for existing technologies. As a result, businesses such as tour companies, hotel chains, travel agencies, and others publicize their services through a metaverse. 
  • The impact of the metaverse on the travel industry is such that it has the power to influence travel patterns. It is anticipated to have a greater impact on the tourism industry, enhancing user experience and communication as more metaverse and travel and tourism options emerge.

Metaverse travel experiences

Understanding the Difference Between Metaverse and Virtual Reality

At present, as the new age metaverse technology takes place at the center stage, people have been confusing it with the latest AR/VR market trends. Metaverse is a platform that enables people to interact digitally in the virtual world, however, there are remarkable discrepancies between metaverse and VR. 

Platform Interpretation

Metaverse delivers a cross-platform experience, enabling one to interact globally in the virtual world. On the other hand, virtual reality technology lets the user access various platforms such as SteamVR, Oculus, Quest, etc. 

Technological Constraints

There are a few technological limitations to VR. To experience a virtual space, the user needs to wear a VR-enabled hardware device like smart goggles or headsets. The metaverse industry, on the other hand, comes with no such restrictions. Under it, you can relish virtual life through digital avatars accessed through different technologies such as AR, VR, or MR.

User Convenience of Virtual Spaces

Metaverse and VR vary significantly when it comes to user experience. In the case of VR, the user can a VR headset or glasses to experience a virtual space. On the contrary, the metaverse is an open environment like the real world where everyone can move around anywhere in the virtual world. 

Possession of 3D entities

One of the key disparities between the metaverse and virtual reality is the ownership of 3D objects. With virtual reality, the user will have zero proprietorships on the technology. On the other hand, metaverse enables you to own virtual objects, including digital assets, items, or goods. Metaverse provides you with the complete proprietorship of virtual entities.

Augmented reality travel experiences

Devices to Access Metaverse Travel

As the metaverse becomes part of digital travel experiences, it becomes important to understand how it could be accessed. There are various devices through which the user can view and interact with metaverse travel. From VR headsets to mobile phones, you can experience and understand the role of the metaverse in the travel industry. 

VR Headsets

A virtual reality headset is a wearable device that resembles a heavy pair of goggles. Inside it are two small screens that cover the eyes, supplying stereoscopic images. Motion sensors in the headset pick up the wearer’s movements and headphones deliver audio. 

VR headsets are often used in gaming but also have a range of other applications. Headsets are used for training, rehabilitating various injuries, virtual meetings, and of course metaverse travel. 

Mobile phones and computers

While the concept of a metaverse in travel industry is connected with VR headsets, the typical way of accessing the metaverse is still mobile phones and computers. As metaverse applications are computationally attentive, they usually work better on a computer than on the phone. Computers are also more flexible and easier to configure.

MR Headsets

Mixed reality or MR is very similar to augmented reality as it combines a view of the real world with virtual elements. While AR typically consists of a passive visual overlay, the digital objects in MR are interactive. Because of this feature, mixed reality is much more difficult to achieve than AR or VR and requires more sophisticated equipment. 

AR Data Glasses

AR (Augmented Reality) data glasses work similarly to VR headsets as they allow the users to view a digital world by wearing them. While VR is completely immersive, AR overlays virtual elements onto what the user is seeing in real life. 

What are Some Benefits of Metaverse for Tourism?

Apart from understanding how metaverse development is affecting tourism, business owners must be aware of the advantages of metaverse applications in travel. Mentioned below are some of the instances of how this kind of technology trend can help businesses benefit from metaverse tourism.

Enhancing the Booking Experience

Metaverse applications in the travel industry have the potential to significantly improve the booking process. It helps in providing essential information that cannot be accurately presented in any other way. As a result, there is an increased likelihood of a consumer completing his/her booking journey instead of canceling it. 

Increase in Booking Volume

The metaverse development in the travel industry offers to raise the booking volume, which truly represents their value throughout the booking process. When it comes to bookings for flights, hotels, restaurants, and other services, virtual reality (VR) and augmented reality travel technologies can initially inspire. However, over time, these experiences even become more educational, valuable, and enjoyable as a tool for influencing purchase decisions. 

Inspiring virtual tourism purchases

One of the major advantages of metaverse for tourism is that it may encourage tourists to try out visual visits. For example, using an interactive virtual experience, visitors can get an idea of a particular region before their visit. Similarly, for lodging, prospective travelers can use VR experiences to understand what amenities a place can offer and its distance to prominent locations.

metaverse in travel industry

Use Cases of Metaverse Development

With the metaverse changing the way people travel, some industries are already trying to explore new technology. From augmented reality travel experiences to virtual theme parks, examples of metaverse travel experiences are becoming common with each passing day. 

Virtual Reality Tourism

Metaverse tourism and AR/VR technology for development are interconnected, however, VR tourism has the potential of enhancing the scenario. Virtual reality tourism can either reduce the necessity for physical travel or can provide more valuable experiences to enhance it. Tours in virtual reality may already provide lifelike experiences, enabling individuals in sightseeing from the comfort of their homes.

Virtual Attractions

The major reason behind the increase in metaverse travel experiences is the birth of virtual attractions such as museums, theme parks, etc. Since these attractions will be able to indulge in anything that resembles a real-life event, users will have a more immersive experience. 

Virtual travel exhibitions

The past few years have seen the entry of trade exhibitions, expos, and similar events into the internet world. Metaverse development can help in elevating these online events and helps in enhancing the user experience. The social interactions that take place in physical settings can be easily duplicated via virtual reality technology. 

Historical Travel

If you love traveling to historical places, your wish can come true in the metaverse. It can be used to simulate the restoration of historical structures in their former splendor. Travelers will be able to explore the past and experience life as it was in history.

Virtual reality travel

Why Metaverse Development is the Future of the Travel Industry?

According to research, the travel and tourism sector has contributed 7.6% to the global GDP in 2022. Even though technologies such as the metaverse are fairly new, it is without any doubt that soon it will be the major contributor to the world economy. Metaverse development is ready to transform the traditional mode of traveling into a digital mode of traveling with an immersive experience. 

With virtual reality tourism, users from different places can easily travel to different places without any external trouble, including time and cost. Metaverse development holds the power of transforming how tourists shop for destinations and attractions. It also gives access to a new form of communication with new people across the world. 

Since the metaverse development is still in its early stages, different people hold different opinions on it. However, things are developing quickly since more established businesses such as Google, Facebook, Microsoft, and a few others have already begun to invest in this sector. This also enhances different standards and technologies, creating a more developed and authentic metaverse. 

Being a digital native and tech-savvy traveler, there are chances that the younger generation may adapt metaverse development at an unfathomable rate. As a result, it won’t be long before people realize that the metaverse is very real and is here to stay. 

How Appventurez Can Assist With Metaverse Development in the Travel Industry?

The evolution of metaverse development has unveiled numerous promising opportunities for the tourism sector. Enabling consumers to embrace the advantages of metaverse tourism, they can now immerse themselves in a new and more captivating virtual travel experience. Moreover, hotels and other hospitality entities can leverage the metaverse to enhance their operational efficiency. As a seasoned AR VR app development company, our team at Appventurez, boasting years of expertise in crafting immersive apps, offers exceptional services in metaverse development.

With several successful virtual reality, augmented reality, and blockchain products, our team can provide specialized and tailored solutions to meet your company’s demands. Appventurez, as a metaverse development company, will also help you in implementing metaverse technology and will assist you in navigating it with ease.

metaverse industry

FAQs

Q. How the metaverse is changing the travel industry?

Metaverse and tourism are terms that are being more interconnected with each passing year.  Metaverse can help in inspiring tourists. With interactive virtual reality, travelers can experience real-world environments and provide them with a clear idea of what they might expect when they visit a particular destination. 

Q. What are some metaverse vacation ideas?

In the metaverse, the vacation ideas include museums, heritage sites, botanical gardens, restaurants, hotels, and national parks. Travelers can experience them through virtual tours miles away. 

Q. What is the impact of digitalization on the tourism industry?

The greatest impact of digitalization on tourism may be the effect on the sector’s workforce. It, directly and indirectly, represents 1 in every 10 jobs worldwide. Like in other economic sectors, intelligent automation will change the nature of travel jobs and eradicate others altogether. 

Q. Can virtual reality replace travel?

Virtual reality may not replace physical travel, however, it has a handful of benefits for tourism. It provides viewers the benefit to experience activities, destinations, and locations from the comfort of their own homes.

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    Sitaram
    Sitaram

    CTO at Appventurez

    CTO and Co-Founder at Appventurez, Sitaram Sharma has 10+ years of experience in providing world-class digital solutions. As a CTO, he brought his expertise ranging from product enhancements to advanced technological integrations, while focusing on the consistent growth of the team.