How to Secure Your Brand in the Metaverse?

Nikeland/courtesy of Nike x Roblox.

In today’s rapidly digitizing world, protecting brands is becoming more complex, especially with the rise of the metaverse. As technologies such as virtual reality (VR), augmented reality (AR), artificial intelligence (AI), and blockchain converge, the metaverse is emerging as a new frontier for brands. But how can companies ensure their brand identity is safeguarded in this virtual realm?

What is the Metaverse?

The metaverse is essentially a 3D virtual space that allows users to interact in real time using avatars. It’s powered by VR, AR, AI, and blockchain technologies, enabling activities like gaming, shopping, and even working. For example, Meta (formerly Facebook) envisions a metaverse where companies host meetings or offer a "second life" for users.

Marketing in the Metaverse

The metaverse presents an exciting marketing opportunity, especially for consumer brands. Companies like Nike and McDonald's are exploring virtual spaces to connect with customers. McDonald’s Hong Kong created ‘McNuggets Land’ on a metaverse platform, where users could buy virtual McNuggets and take part in nugget-themed tours. These virtual products, represented by non-fungible tokens (NFTs), allow brands to sell digital assets that mimic real-world products, offering a new revenue stream.

Trademarks in the Metaverse

Protecting a trademark in the metaverse requires more than just registering it in the physical world. In the European Union, registering a trademark with the EUIPO grants exclusive rights in the physical world, but this doesn’t guarantee protection in the metaverse. As a result, many brands are now filing new trademark applications to cover virtual goods and services.

To safeguard their brands, companies need to register trademarks in specific classes—such as class 9 (for software) and class 41 (for entertainment services)—which apply to the metaverse. This requires new trademark registrations to ensure that digital representations of their products are protected in virtual spaces.

Conclusion

As the metaverse continues to evolve, it presents both opportunities and challenges for brand protection. Companies must adapt by securing their trademarks in relevant virtual spaces, ensuring that their digital assets are protected. In the future, we might see NFT Louis Vuitton bags or undrinkable NFT Starbucks coffee as common products in the metaverse. By registering trademarks in the right classes, companies can safeguard their brand’s identity in this new digital world.