Dive Brief:

• Roblox is further blurring the line between digital and physical worlds with new retail capabilities that will enable creators to sell physical items through the gaming platform and for items purchased in the real world to unlock value in the digital space, according to a press release. 
• Creators and brands can add physical goods as items for purchase within existing virtual stores, where products previously had only been available for digital avatars. Shopify is the first to integrate the new commerce APIs. 
• A new Approved Merchandiser Program enables creators, brands, manufacturers and intellectual property holders to link off-platform retail or e-commerce purchases to digital items in the game. These new capabilities are available for U.S. users ages 13 and up. Early adopters include Fenty Beauty, The Weeknd and Paramount. 

Dive Insight:

Roblox reports it has nearly 100 million daily users, many of whom are already habituated to virtual shopping for their in-game avatars. The next step in the platform’s commerce ambitions is two-fold: making real-world products available in the digital sphere while also more closely integrating physical shopping with digital experiences. The push reflect how a growing number of consumers jump back and forth between physical and digital experiences while on the hunt for goods.

The news sees Roblox and Shopify expanding a pilot program they launched last fall to make integrated shopping more widely available. Fenty Beauty is among the brands already piloting the capabilities by offering a new shade of its Gloss Bomb Universal Lip Luminizer via a shoppable in-game experience. 

“We love to surprise and delight with our brand experiences and our third chapter of the Fenty Beauty Experience on Roblox does just that,” said Nanette Wong, vice president of global brand marketing at Fenty Beauty, in a statement. “We’re merging the physical and digital worlds by offering a first-of-its-kind shopping experience inside the game that brings our brand from Roblox to real life.”

Music superstar The Weeknd is using the commerce platform to sell a mixed package that includes a ticket to his film, “Hurry Up Tomorrow,” as well as a limited-edition digital item on Roblox. 

Creator studio Twin Atlas used the Commerce APIs in three of its games (Creatures of Sonaria, Dragon Adventures and World//Zero) to generate commerce sales for a mix of digital and physical goods in the six figures during the first few weeks of availability. Approximately 90% of the company’s total orders were through in-game commerce integrations, and half were from repeat customers. 

For Roblox, the road runs both ways in the digital-physical shopping convergence. Roblox’s new Approved Merchandiser Program enables creators, brands and IP holders to place a badge on items in the real world that will include a code to unlock a unique digital item, such as clothing and accessories for avatars.

Paramount is a launch partner for this feature, with a deal to leverage the new merchandising badge across all categories of consumer products for “SpongeBob SquarePants.” Another marketer, Innov8 Creative Academy, linked the purchase of its plush Deddy Bears to digital goods on Roblox.