Virtual Engagement: The Impact of Avatars on Metaverse Retailing

In 2020, the Metaverse was valued globally at US$487 billion, encompassing gaming, social media, live entertainment, and gaming/Virtual reality (VR)/Augmented reality (AR) (Bloomberg, 2021), with projections to exceed US$1 trillion by 2030 (Bloomberg, 2022; Precedence Research, 2022). Retail, particularly e-commerce, represented a significant portion, valued at US$8.3 billion in 2021 and expected to grow annually by over 36% to US$126 billion by 2030 (Market Data Centre, 2022).

The Covid-19 pandemic catalysed online engagement among previously hesitant demographics like seniors (Dafoulas et al., 2022). Virtual applications, such as trying on clothes on avatars, are enhancing online shopping experience (Belk et al., 2022). However, the metaverse adds an extra layer of risk because consumers’ avatars disclose subtle cues on consumers’ psychology and behaviour (Dwivedi et al., 2022); but notwithstanding, retailers will need to communicate with customers through their avatar (Koohang et al., 2023).

This PhD research will scrutinise the applicability of established consumer behaviour and psychological theories pertaining to human subjects in the context of avatars within the Metaverse. It will explore the hypothesis that the psychology driving human consumers may diverge when mediated through avatars, potentially altering decision-making processes. As Metaverse retail environments increasingly deploy avatars as shopping assistants, this research will critically assess the implications for human resource management (HRM), positing a shift towards ‘avatar resource management’. This investigation will rigorously evaluate the degree to which current models of consumer behaviour and HRM retain validity when transferred to the realm of avatars. It will also consider the role that AR/VR technologies play in facilitating consumer decisions, drawing on recent studies (e.g., Qin et al., 2021). The research will explore how much avatars and the Metaverse affect consumer choices, helping to develop a detailed understanding of the Metaverse.

How to apply

Formal applications can be submitted via the University of Bradford web site; applicants will need to register an account and select 'Full-time PhD in Human Resource Management' as the course, and then specify the project title when prompted.

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