5 ways the Metaverse will change accounting

December 22, 2021 9:00 AM

With venture capital funding of metaverse-related startups doubling to over $10 billion this year, there's no better time to talk about how virtual and augmented reality technologies will impact the accounting profession. And more specifically, how it’s going to ultimately differentiate firm value.

At GrowthLab, we believe that accounting firms that figure this out today are the ones that are going to be around in 10 years … and here's why: Think of the first time you heard of Netscape and the Internet (Version 1.0). And look where we have come in the last 25 years. Now accelerate that tenfold. The Metaverse is real, and overall awareness is growing. Metaverse 1.0 isn’t the answer, but hardware will become less obvious and the software and communication bandwidth will improve before you know it. And as a firm owner, you will have to contend with it.

Our goal is to help firm owners and managers be intentional about how you manage through change and market forces. Developing a metaverse strategy for many firms is 10-plus years away, but for those that are intentional and think of the impact to customers, service delivery, employees, and production, you are setting yourself up for long-term success by beginning your adoption curve sooner rather than later.

Here are GrowthLab’s top five ways that virtual reality will change the accounting profession:

1. Engaging with clients: Physical presences meets VR

Cole Burston/Bloomberg

Building relationships with clients has always been an important part of business strategy and arguably may be even more important following the COVID-19 pandemic. When meeting in person with potential clients is not possible, virtual reality creates a personal environment ideal for connection.

2. Training and development of new team members

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The accounting profession is built on personal relationships — both on the client acquisition side and the employee development side. Many firms have struggled to train and develop entry-level staff while working virtually or hybrid during the pandemic. We believe virtual reality will bring back in person training in a remote work environment. The immersive training that we are all so accustomed to in the accounting profession can be solved for with virtual reality.

3. Increase in employee interactions: Think happy hour in the Metaverse, not on Zoom

Kiyoshi Ota/Bloomberg

Many companies have continued to encourage employees to work remotely, thus shifting team dynamics. How can employee interaction be maintained if workers are not together in an office setting? Adopting virtual reality into the workplace allows companies to maintain typical communication patterns. For global companies, virtual reality also makes intimate, in-person meetings for global employees a possibility. Even when employees are thousands of miles apart, they can still meet, in what feels like in-person meetings, through virtual reality.

4. Retooling RevOps: Enhance how sales people engage with prospects

Virtual reality is changing the relationship between companies and clients. There will always be clients who prefer an in-person experience over online interactions. With virtual reality, companies can bridge the gap between online sales and physical presence. As a business, you may find that implementing virtual reality will allow you to connect emotionally with your consumers. Storytelling and emotional connection are the two fundamentals of effective marketing. Virtual reality makes this easier than ever before as your business can engage with clients more realistically. Virtual reality also makes it possible for your business to differentiate itself from the competition. By creating an experience tailored to your target market, you will open up a more personal connection with your clients.

5. Distraction-free working: Full immersion meets VR

David Paul Morris/Bloomberg

One of the main disadvantages of remote working is that it can be distracting to work in an environment where one also lives. While it may not be true of all businesses, company productivity can be negatively affected by remote work. Virtual reality creates the option for a distraction-free workplace. Workers could use VR to work in a virtual office space, making it easier to focus. This can also help with employee motivation and satisfaction, as working in the same place that one lives in can be isolating. In virtual reality, there can be collaboration and the feel of being somewhere else to increase productivity.

To see a video covering these points and more, click here.