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Headsets Over Hashtags: Why VR Advertising Is Winning

Updated: Jun 10

Marketers are harnessing VR gaming to build deeply engaging narratives that resonate with brand audiences. This isn't mere advertising—it's the creation of lived experiences defining a new era of marketing.

"The next evolution of engagement and experience" isn't just a catchy headline; it signifies a transformative shift in the marketing landscape already taking place. Marketers are moving beyond the constraints of social media and search ads, venturing into the domain of Virtual Reality (VR) gaming. Within this space, innovative brands are constructing immersive narratives that do more than engage - they resonate, foster genuine connections, drive brand loyalty, and yield tangible results.

Think back to the days when radio reigned supreme, and brands built their identity on catchy jingles and compelling slogans. Later, the landscape shifted to influencer marketing on TikTok, where user-generated content was king. Though these strategies had their moments of glory, they're now facing a growing tide of skepticism and waning trust. Today's audiences crave authenticity and yearn for engaging experiences that go beyond passive consumption.

Interestingly, VR experienced a parallel trajectory. When Meta (formerly Facebook) made an aggressive push for VR in 2020, the cartoon-like graphics fell short of captivating audiences. However, recent data suggest a resurgence, with VR experiencing a phase of renewed development and evolution, and along with that resurgence comes brand advertising.

According to a recent study, people need to encounter a brand 5 to 7 times in traditional advertising for it to stick in their memory. In contrast, in the VR space, a single immersive experience can leave a deeper, lasting impression that paves the way to brand loyalty.

These aren't just ads; they're lived experiences driving real-world metrics. This isn't a glimpse into the future—it's the reality of marketing today.

Red Bull Gives You Wings

Red Bull partnered with the popular VR game "Adrenaline Rush: Wingsuit Simulator" to launch their "Wingsuit VR" campaign. 

The game allows players to experience the thrill of wingsuit flying through various breathtaking locations. In the game, you find yourself soaring through breathtaking mountain ranges, feeling the rush of adrenaline as you navigate through narrow canyons and perform daring maneuvers.

Amidst the immersive gameplay, the energy drink’s popular blue, silver, and red branding seamlessly integrate into the experience. As you prepare for a thrilling jump, you notice Red Bull logos on your wingsuit and energy drink billboards strategically placed along the mountainside. 

Red Bull's association with extreme sports and energy drinks makes it a perfect fit for this game, as it aligns with the adrenaline-fueled nature of the gameplay. By integrating their branding and product placements within the world of wingsuit-flying adrenaline seekers, Red Bull successfully captured the attention of their target audience, with a 30% increase in social media mentions and a 20% rise in product sales among gamers and adventure enthusiasts.

The Leap into Virtual Work-Life

Four avatars stand in a virtual office during a VR meeting.

Altered State Productions has trailblazed into a new era of work-life norms, setting up their office within Spatial's immersive 3D environment. Their virtual office, complete with sleek furniture, dynamic NFT art, and futuristic workspaces, is revolutionizing their approach to collaboration and communication. Meetings have morphed into interactive 3D sessions, and storyboards are not just sketches, but vibrant, explorable 3D worlds.

The transformative power of this shift is evident in their video production process. Altered State Productions now utilizes Spatial to pre-visualize every aspect of their shoots, from camera placements to talent choreography, saving substantial time and resources while enhancing the quality of the final product. This innovative approach has not only significantly reduced operational costs but also increased client satisfaction.

The 3D virtual environment also offers significant productivity and creative benefits. Team members, represented by stylishly attired avatars, collaborate seamlessly from any part of the world. Mundane tasks like ordering coffee or managing notifications become engaging experiences in this interactive space, elevating every aspect of the work-life experience.

Altered State Productions' bold venture into the virtual realm underscores that true innovation stems from the courage to embrace the unknown. As they continue to redefine the modern workspace, they are illuminating a path into a future full of virtual possibilities, leaving indelible footprints in the digital sands of time, inviting us all to follow.

Escape and Win

"Escape Room," a heart-pounding psychological thriller directed by Adam Robitel, follows the high-stakes journey of six strangers trapped within a lethal puzzle room. The film's audience ranged from fans of thrillers and psychological horror genres to those who relish the intellectual challenge of escape rooms. 

In anticipation of its release, the producers launched the "Escape Room Movie Million Dollar Challenge Sweepstakes" on The online VR game featured three virtual 360° rooms, each intricately designed to echo scenes from the film. Players navigated these rooms in search of hotspots that revealed film clips and clues to solve interactive puzzles.

Upon successfully navigating the virtual escape rooms, players were invited to fill out a form, offering them a chance to win a trip to Los Angeles for the premiere.  Here, they could navigate a real-life escape room and vie for a $1,000,000 cash prize. The entry to the sweepstakes required no purchase, payment, or puzzle completion.

This form was ingeniously used as a lead generation tool, amassing over 500,000 new entries into their CRM for future marketing initiatives.  The campaign sparked immense buzz, resulting in a 35% increase in the movie's social media mentions and a 25% rise in advance ticket sales. What's more, the sweepstakes website experienced a surge in traffic, with over a million unique visits within the first week of launch.

The psychological impact of this VR experience was far more profound compared to a traditional poster or online ad. Instead of passively viewing an ad, audiences were thrust into the thrill of the film's narrative. It stoked their curiosity, roused their problem-solving instincts, and heightened the anticipation of the movie's release, all while leaving a lasting impression far more powerful than a traditional advertisement.

Within the realm of VR gaming, pioneering brands capitalize on immersive 3D environments to create impactful campaigns. They're constructing narratives that shatter traditional advertising norms. The transition from conventional advertising to experiential marketing isn't a mere fad - it's a revolution. Brands that venture into this arena witness surge in audience engagement, brand loyalty, and consumer interaction, redefining advertising norms.

Today's consumers have evolved beyond being passive observers; they've become active participants, collaborators, and even co-creators in the brand narrative.

The true test of a brand's adaptability will lie not in how many eyes they can reach but in how many lives they can touch. The future of marketing isn't about being seen, but about being lived.  And that's a game-changer.


Altered State Productions is an award winning media production company and a rising marketing agency. With an unwavering commitment to innovation and a team of visionary experts, the collective harnesses cutting-edge technology, boundless imagination, and a relentless pursuit of excellence to create experiences that captivate audiences and drive impactful results.


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