Do tobacco companies use the Metaverse to reach youth?

Do tobacco companies use the Metaverse to reach youth?

Tobacco companies are increasingly experimenting with the Metaverse as a new frontier for marketing to bypass traditional regulations and reach younger audiences. Their use of this emerging digital space includes:

1. Virtual Events and Music Campaigns: Companies leverage the immersive nature of the Metaverse to host or sponsor events that appeal to youth. For instance, one of Indonesia's largest cigarette companies launched a campaign centered on electronic music within the Metaverse to indirectly promote one of its brands.
2. Subverting Advertising Bans: Digital platforms like the Metaverse offer the industry ways to subvert national Tobacco Advertising, Promotion and Sponsorship (TAPS) bans. Because these virtual environments are complex to monitor and often cross-border in nature, they allow for direct engagement with young people in ways that are difficult for regulators to control.
3. Immersive Commerce: Beyond advertising, there are concerns that sellers may use immersive commerce within these digital spaces to subvert bans on sales to minors, making addictive products more accessible.

According to the sources, virtual music events in the Metaverse are used as a marketing frontier, specifically featuring electronic music.

         [ Source : https://exposetobacco.org/news/selling-tobacco-addiction-online/ ]

A notable example provided is a campaign run by one of Indonesia’s largest cigarette companies, which uses electronic music events within the Metaverse as a tactic to indirectly promote one of its cigarette brands. These types of virtual events are part of a broader strategy to use online festivals and digital sponsorships to engage young audiences in spaces that are currently difficult for regulators to monitor.

Beyond the Metaverse, which is used for immersive virtual events like electronic music campaigns, the tobacco industry is experimenting with several other emerging digital spaces to reach youth:

• E-sports and Online Festivals: The industry sponsors events that take place entirely online, such as e-sports competitions and online music festivals, to embed their brands into digital youth culture.
• Gaming Platforms and "Advergames" : Marketers use popular video games for product placement and are developing their own advergames. For example, the DS Group in India created a gamified mobile ad for a candy product that uses the company's logo to build brand associations with its smokeless tobacco products.
• Streaming Services: Depictions of tobacco and e-cigarette use in streaming shows popular with 15- to 24-year-olds more than doubled in 2022. Shows like Stranger Things are noted for featuring these images, which research suggests increases youth susceptibility to using these products.
• NFTs (Non-Fungible Tokens): Industry reports identify NFTs as a new frontier for tobacco marketing, though specific campaign details are less frequently cited than other digital tactics.
• Digital Audio and Streaming: In Pakistan, BAT partnered with the digital radio company Spotify to promote nicotine products through sponsored content and paid advertising.
• Immersive Commerce: The industry is exploring "immersive commerce" within virtual environments, which could allow them to subvert national bans on sales to minors through digital transactions that are difficult for regulators to monitor. 

These digital tactics are often cross-border in nature, allowing the industry to bypass national Tobacco Advertising, Promotion and Sponsorship (TAPS) bans by reaching youth through global platforms.

The World Health Organization (WHO) and other advocates have called for governments to implement comprehensive bans that explicitly cover these emerging digital environments to protect children and youth from industry tactics.

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