Chinese Middle Class Fuelling VR Growth in Canada
By August 30, 2017– Published in on
Virtual Reality Technology Grows Presence Across Many Different Industries
The world of virtual reality technology has been getting bigger over the last few years. The cost of the hardware involved in creating compact headsets has come down a lot, and there are many industries that are taking advantage of this trend.
One of the most obvious uses for VR technology is the gaming industry. The Chinese consumer class is developing at a rapid pace. A rising middle class in China presents an incredible opportunity for companies that can take advantage of a market that has discretionary income on a scale that is hard to match in the world today.
Families that didn't have the desire to spend on leisure and entertainment a generation ago in China are looking for ways to enjoy themselves, and VR based entertainment systems could be a big part of that market going forward.
Virtual Reality gives people an experience that is nearly impossible to match in any other way. TSX-V listed VR developer Y Dreams Global Interactive Technologies Inc. (YD, TSX-V) saw a huge rise in their share price over the last year, but in addition to this positive market presence, they signed a deal with a major theater operator in China.
Last year the company entered into an agreement with CRTV International Media (Beijing) to use their VR technology in CRTV's extensive network of theaters across China, while during the same time frame, Y Dreams announced the development of a proprietary gaming system, that will have their brand name.
This is a potentially brilliant strategy that could lead to entire generation of Chinese consumers looking to Y Dreams for a gaming fix, much like Nintendo hooked youngsters across the world in the 1980's. Regardless of the future of this company, their present footprint in the commercial market is impressive for a relatively small entity.
Interest Across The Board
Because VR technology has fallen in price, companies are looking for novel ways to employ it in both their marketing efforts, and their operations as well. Y Dreams hooked up with another Brazilian company, Natura, for their upcoming launch into the New York market.
Natura is a very successful Brazilian cosmetics manufacturer, and they are looking for ways to make a splash in the competitive New York market. They turned to Y Dreams to find an innovative way to give people in Manhattan the feeling of being in Brazil, and Y Dreams VR goggles were paired with a immersive audiovisual presentation that aims to give customers a vision of the lush rain forests.
One of the big advantages of VR technology is the relatively low entry cost, and the ability to repurpose the equipment later on for other promotions, or resale onto the secondhand market. Because a variety of industries are looking to employ this kind of technology, making an investment in VR goggles isn't especially risky. As more people use them in their daily lives, they should become even more normal as a household good. In fact, at this point, the risks to not exploring VR technology likely outweigh the cost of investment.
Extraordinary Future Conference
On September 20th at the Vancouver Convention Centre, some of Vancouver's leading VR developers will be showcasing their products and forecasting the future of VR a the Extraordinary Future Confernece. The Extraordinary Future Conference will highlight disruptive technologies and companies within artificial intelligence, virtual reality, blockchain technology, the future of health, energy in the 21st century and space exploration.
Tickets are available at ExtraordinaryFuture.com