Meta Stock Price Increase Suggests SaaS Should Leverage AR/VR Now, Not Tomorrow

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The shares of Facebook’s parent company, Meta, soared by 18% after it reported first-quarter earnings that exceeded market expectations. Meta investors maintain a buoyant outlook for the social media giant despite it posting its slowest revenue growth, at 7%, in years and a 21% decline in net income, year-over-year. Part of the reason for Meta’s rising stock price is its growth in daily (3%) and monthly active users (4%). Another could be the promise of Meta’s upcoming virtual realm, Metaverse, which presents a host of opportunities for SaaS.

The Meta stock increase follows the company’s dismal performance in the previous quarter. At the time, stock prices tumbled by around 20%, and the number of active users was lower than expected. The company cited supply chain concerns and inflation—both of which affecting the budgets of advertisers—as major challenges, on top of the continuing surge of competitors like TikTok.

However, Meta managed to bounce back in regard to its active users and average revenue per user, albeit slightly. And if the company sustains its rise and closes with a Meta stock price of over 19.1% today, it would mark its largest gain in nine years. Now, Facebook projects revenue of $28 billion to $30 billion for the second quarter, below the estimates of market experts, as it considers the fallout from the Ukraine-Russia war.

The recent Meta stock increase will likely fuel talks on the ambitious Metaverse. After all, it has the potential to not only drive profits but also change the way people interact. Investing now comes as a good idea since it will attract hordes of buy-ins when it’s operational.

Leveraging the Metaverse for SaaS

With the Metaverse, SaaS developers face a vast immersive realm that simulates and potentially improves on physical reality. Its earning potential goes in congruence with the flexibility of SaaS solutions. And some platforms already harness virtual and augmented reality, which paves the way for integration with the Metaverse.

As such, the foremost area in which the technology can be leveraged is in education and training. Learning management systems may adopt the Metaverse by harnessing augmented reality for training programs. This enables learners to develop and hone skills that are critical in physical workspaces in virtual environments. For instance, medical students can perform practice surgeries without the need for patients and physical workspaces. Likewise, machine operators can practice operating new equipment in virtual spaces, which promotes safety and lowers costs.

Another area Metaverse can figure in is marketing, particularly in enhancing customer experiences. Many stores already harness augmented reality to shape the shopping experience, especially at the height of the COVID-19 outbreak. Brands can create virtual stores along with interactive menus and product displays. Hotspots can also be placed for special games and promos to stimulate engagement.

Metaverse can also enhance meetings and take the experience a step further than what video conferencing tools bring to the table. In the realm, meeting participants get to interact with tools like whiteboards and notebooks and see the expressions of the avatars of other participants.

Moreover, Metaverse can make a difference in business operations. It carries the potential to connect remote workers through simulated office spaces and link departments with one another. With this, teams and departments won’t be siloed in operations.

Finally, Metaverse has the ability to improve promotions. Brands can leverage Metaverse-based games, virtual parties, digital conferences, and even virtual concerts to attract audiences. The capabilities of today’s marketing automation systems can account for any of these endeavors and organize them into digital workflows.