Augmented Reality has gained popularity over the last few years due to the advancements in mobile technology. There are a lot of big companies betting their future on the technologies behind it. Apple, Microsoft, Amazon, Facebook and Google are all in the game and are pushing to be the leaders in this race. But what is the future health of this technology and should the e-commerce companies chase the super sprinter to the finishing line?
The technology behind this is making great strides with the fierce competitiveness in the market place between Apple’s ARKit and Google’s ARCore software. We can plainly see if there is so much at stake for these companies they are going to work hard to create a market for these services. Great games and one-off demonstrations of what it can do are nice, but not enough! They know this technology needs to be used by us in a frictionless manner on a day to day basis. To do this they need to find business applications for it to become part of the fabric of our everyday life.
The Growth of AR
In 2019 Augmented Reality saw a record growth and AR-enabled mobile devices reached the 1.5 billion mark. It was predicted that this year (2020) would be the year that would see a marked uptake in AR growth!
A Gartner report predicted that over 100 million users would be using some sort of Augmented Reality technology by 2020. A BRP report (Boston Retail Partners part of the Windstream Holdings) stated back in 2018 that 32% of retailers expect to add virtual and augmented reality in their shopping experience over the next three years. As of the end of 2019, this figure was at around 15%. Compare this to a report that stated 48% of customers said they would be more likely to buy from a retailer that provided Augmented Reality and all of a sudden you can see the opportunities. We can see by these figures, retailers that are early to the party and implement it well could have a real advantage. Their customers will have a more immersive experience to interact with. So the slow jog to AR really may end up in a sprint if the customers have anything to do with it.
What Brands are Currently Pioneering Augmented Reality?
Bringing brands and products to life is one of the known virtues of Augmented Reality. Allowing shoppers to visualise products more engagingly, together with creative ways of placing objects into real locations is the real currency of AR. The DMA’s chief executive Tim Bond said: “Mixed reality technologies, like AR and VR, hold huge potential for organisations to offer customers new ways to bring their brand to life, whether that is by transporting them to another reality or enhancing the one they’re in.” He went on to say “However, it is also important for marketers to always put the customer at the heart of these experiences and offer them something they will value. Brands must also consider how they can maintain consistency across the digital and physical worlds they now inhabit.”
This year Charged Retail quoted that nearly 40% of consumers in the UK say they have used AR or VR to test or view a product they’re considering purchasing. We can see things are speeding up since the 2018 predictions with a good adoption of these technologies from consumers. Obviously, as stated by Tim Bond, these experiences have to be of value. But if they are, it looks like consumers are drawn toward the AR experience like Usain Bolt to the finishing line. Let’s have a look at a few of the retailers who have decided to get into the wonderful world of AR!
Retailers Embracing AR
Ikea:
Originally launched in 2017 the Ikea Place app, it allows users to superimpose 3D digital model renderings of its products onto your smartphone, letting you see how their furniture would fit in your home.
Asos
Developed in partnership with AR firm HoloMe, Asos launched its “Virtual Catwalk” in June 2019. The concept is for users to point their smartphone camera at any flat surface allowing them to see a virtual model exhibiting the clothes on a catwalk. They have also launched an augmented reality app that allows you to see what items look like in different sizes, on different body types.
Apple
Apple’s Quick Look launched in 2018, it allows retailers to upload 3D renders of their products so users via Apple's website can superimpose virtual products into their homes using iPads and iPhones. As you can imagine implemented, coming from Apple it is a slick experience.
Burberry
Burberry released it’s augmented reality feature this year enabling customers to view 3D renders of its products via Google Search, we will talk about Google search later as it is fully in the race!
There are many more companies that are releasing their versions of augmented reality within the marketplace this year. We have only covered a handful here but will be looking at more companies that are releasing AR in a future blog, so keep a lookout for that! Meanwhile, let's take a look at whether e-commerce companies should be considering AR for their next website upgrade!
Should E-commerce Companies Enter Into The AR Race?
Well, I think from the research we have to say the answer is yes! I’m sure many people from e-commerce companies reading this are well down the road of implementation. But there are bound to be those on the wall too, not too sure whether to dust their running shoes down and get in the race.
The more people that experience AR, the more they will want to use it. So far the majority of e-commerce retailers have not yet implemented their solutions. But, with Google announcing at its 2019 developers conference that it was introducing AR functionality into its search results, that really does turn up the pace of the sprint!
Great SEO is also a pre-requisite for e-commerce companies. By Google announcing AR functionality into its search results they will be considering this. When they dish out your search results this could start becoming an important issue. Their algorithms are always evolving and they do tend to favour websites engaging with future technologies and best website practices (Remember the move to prefer mobile-friendly websites!?). Add to that the visually pleasing, slick experience that will be engaging for customers and it looks like AR has left the blocks! It may be only at the 20 meters mark of the 100-meter race, but with the major technology players trying to be as swift as Usain Bolt, Carl Lewis and Linford Christie, you know you’re in for a good race!