Virtual reality's (VR) "hype is ahead of reality" for brands looking to use the technology to market goods and services, News Corp's head of commercial innovation Nic Hodges says.
Speaking to AdNews at MediaCom's inaugural ComX event, Hodges says that while the potential for VR is vast, the technology is still at an early stage of development and has limited applications at present, particularly as VR equipment is scarce.
“We're definitely at the Commodore 64 stage of virtual reality,” Hodges says. “By the end of the year there will probably be as many people with VR headsets in Australia as there were in 1986 with Commodore 64.”
In October, Sony is launching PlayStation VR, which Hodges believes could help distribute the technology more widely, but the jury is out on whether VR will be the “new Nintendo Wii or is it the new 3D TV”.
News Corp receives a lot of interest from clients keen to use VR for marketing, but at present its use is limited.
“If you are online looking at Vogue, for example, can we create an experience where if one million people look at an article, will 50,000 people be so into the subject that they'll put on a headset for a deeper experience? That is going to be exactly the same for brands,” he explains.
Certain sectors, such as tourism and education, lend themselves more to VR as the technology is best at moving users in space and time.
A reason why VR is an attractive proposition to advertisers is that it is an immersive experience that requires 100% attention.
“Media is fragmenting so much, especially with younger audiences, it is really about having the right content wrapped up in the right place at the right time,” MediaCom content strategy director Alexandra Gough says.
An innovation will have an impact on advertising before VR is the commercialisation of messaging platforms and bots that can enhance the customer experience.
This has already been happening in China with WeChat and Hodges believes will soon become commonplace in Australia.
Innovation and VR were core themes at ComX, a one-day MediaCom event that featured presentations from Sony Computer Entertainment MD Michael Ephraim, publisher Kevin Weldon, Streaker founder James Bush and KidsXpress founder Margot Ward, as well as a panel discussion that looked at disruptive industries.
There was also VR demonstrations with a protoype of PlayStation VR and HTC Vive.
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