In the early days, augmented reality was a novelty created for fun and enjoyment. The term was coined in 1990, but the technology dates back to the 1960s when a crude headset was developed to insert computer-generated images into the end user’s perception of his surroundings. Today, however, augmented reality is not only an enjoyable way to interact with technology and the world around us, but it’s also providing immense benefits to businesses and end users alike. It is clearly changing the face of digital marketing.
What is augmented reality?
Augmented reality is, simply put, the injection of computer-generated graphics into the end user’s perception of the tangible world. One of the more popular examples of augmented reality is the viral game Pokmon Go which allowed users to hunt down and find Pokmon as they explored the real world around them. While its popularity has waned since it was first released, Pokemon Go paved the way for other augmented reality titles such as Harry Potter: Wizards Unite or Jurassic World: Alive.
But augmented reality isn’t just fun and games. This technology can also be used by brands and businesses to enhance customer experiences. For instance, beauty and skincare digital marketing trends have led to numerous AR apps to enhance the shopping experience. A consumer in the market for new makeup may use Urban Decay’s AR try-on feature to see how different eyeshadow shades will look before purchase. Lancme offers virtual try-on technology to view how lipstick shades will look. There are countless ways businesses from all industries are using this incredible technology, creating benefits for the end user and brands alike.
What are the benefits of augmented reality?
Augmented reality has many benefits, some of which you may not have considered. This list is nowhere near exhaustive, but here are some of the most impactful benefits of this technology.
- Augmented reality provides a memorable end-user experience
- Augmented reality can increase end-user engagement
- Augmented reality is a relatively new but rapidly growing technology
- There is a greater potential for viral content
- Augmented Reality allows brands to reach more people
Augmented reality provides a memorable end-user experience.
Most advertising campaigns exist in either the digital or physical world. Augmented reality combines these two worlds creating a genuinely unique experience. This technology creates the kind of experience people tell each other about. Ikea pleased its customers when the brand launched Ikea Place, allowing consumers to see items in their homes before purchasing them. Amazon AR view is a similar concept that has seen considerable success.
Augmented reality can increase end-user engagement.
Most iterations of augmented reality rely on user input and interaction, which is the reason why brands like Audi saw a 66% increase in engagement using this technology in their Head-Up display.
Augmented reality is a relatively new but rapidly growing technology.
If you could go back and get in on the ground floor of the world wide web or even social media, creating a presence when it was significantly easier, would you do it? Currently, augmented reality technology for the digital age is still in its infancy and the landscape has yet to be formed. Only 1% of retailers report utilizing augmented reality. The competition is small, but it won’t be for long.
There is a greater potential for viral content.
If Pokmon Go taught us anything, augmented reality gets people talking. Unique user experiences cause consumers to feel compelled to talk about it. VentureBeat reports that 78% of consumers say they are likely to share an AR experience on social media.
Augmented Reality allows brands to reach more people.
Some data suggests that augmented reality results in a 40% higher conversion rate, allowing you to get your product or service out to more people.
How has augmented reality impacted digital marketing?
More than 30% of consumers have already used augmented reality to make shopping decisions. Over one billion people use augmented reality around the world. Upwards of 100 million people used augmented reality to shop in 2020. Consumers are responding positively to branded augmented reality experiences, making it a trend that business and brand owners simply cannot and should not ignore.
What is the future of augmented reality?
The consumer demand for augmented reality is clear. Nearly half of all consumers admit they would pay more for something customizable with augmented reality. Over half of them also say they would choose retailers who offer augmented reality experiences over retailers who do not. Trends all suggest that by 2024, the augmented reality market value will be over $50 billion.
Today, augmented reality is like a new frontier. The brands harnessing the power of a digitally enhanced world are laying the groundwork for a multi-billion dollar industry that has already had a significant impact on digital marketing and will continue to do so in the future.
