What could be the biggest reason people do not trust online shopping? The answer leads to the biggest hurdle that hinders the progress of eCommerce. Unlike brick-and-mortar stores, customers cannot have the full sensory experience. They want to try the clothes, touch the fabrics, or have a feel for how some furniture would look in their drawing-room.
Yes, that could be one reason why your eCommerce store does not get enough sales. Research shows that the average cart abandonment rate was 77.13% in 2019.
Ecommerce would never have been able to overcome this challenge, were it not for Augmented Reality. With this immersive technology, consumers can have a live view of potential products, without having to leave the bed.
Do People Know About Augmented Reality?
Though the Augmented Reality technology is not years old, it is slowly capturing the market. Advertisers are noticing it, businesses are looking for new ways to implement it, and consumers are demanding it.
If you want deeper insights on Augmented Reality and related concepts, read our article.
Let us listen to the numbers.
Statistics about Augmented Reality
Global AR advertising revenue grew to $1.41 billion in 2020. In 2019, it was around half a billion, and by 2024 it is expected to surpass $8 billion.
The current value is $3.5 billion.
More than 43 million people in the United States use social network AR, at least once a month. Together they amount to almost 21% f total social media users. users of social media networks.
Once every month, more than 83 million people in the US use AR on some kind of device.
After the availability of 5G, retailer interest in AR and VR will increase.
71% of consumers say that they will shop more frequently if they get to use AR.
61% prefer retailers with AR experience.
A Deloitte study shows that 88% of mid-market companies use AR as a part of their marketing strategy.
How Augmented Reality is Changing Ecommerce?
Let’s check what changes trends highlight in the eCommerce world.
Boosting Brand Awarenesses Online is much Easier
As we know consumers are more likely to interact with AR tools, companies can increase their brand awareness. With better brand awareness comes more client engagement, and with more client engagement high conversion rates.
Amid the tough competitive environment of B2C models, AR makes the users long for more. They ultimately come back for more purchases. After some visits, they are completely aware of the brand, and are more likely to spread the word in their circle.
Augmented Reality Serves as a Bridge between Physical & Real World
Try before you buy is the main competitive edge of augmented reality. It lets the customer make a well-informed decision.
The funny memes showing a huge difference between what you order and what you receive in online shopping will soon lose their meaning. There is a good chance AR will root out the disappointment of not receiving what you ordered.
No more Return Issues
Product returns have always been painful for both retailers and customers. Since AR enables you to try before buying, the probability of returns reduces considerably. Visualizing a product allows , the customer to get a clearer and a more comprehensive idea about the product.
The level of immersion and engagement has made Augmented Reality a buzzword in eCommerce. World’s eCommerce giants and enterprises with a forward-thinking approach are leveraging the technology to skyrocket their profits.
This study shows that customers are more likely to purchase products from brands that incorporate augmented reality in their sales processes. Being able to visit virtual showrooms, touch and feel the products, tempts them to convert. Things like a 360-degree view catalogs totally transform the shopping experience and result in fast growth and accelerated sales.
From IKEA to L’oreal’s virtual Try-ons, there are so many creative ways businesses have begun using AR to help their e-stores. . Let’s check out some of these ways.
We are all familiar with the frustrating experience of buying a new dress and realizing it does not fit. That is the fear which reduces conversion rates since shoppers want to take every precaution possible.
But AR shoppers know very well what they are buying. There are apps that let users see how some makeup or accessories will look on them.
Lenskart is one of the first few Indian companies to try Augmented Reality and boost their conversions. They sell spectacles via both physical stores and eCommerce platforms. A virtual try-on that lets online shoppers instantly visualize how any accessory would look on them.
How would that couch look in your living room? You cannot visualize that even when you are physically looking at the couch in the showroom, let alone in your bed.
Customers get a real-time preview of how a product looks in their environment with preview placement.
IKEA is a furniture dealer rocking the digital world with its AR applications. There are more than 2000 furniture items you can view and decide if they look good in your interiors.
Interactive User Manuals
Some products require some time for customers to get hands-on experience. An interactive user manual could be a great AR application to help consumers master using the product.
Social Media Filters
This would be self-explanatory for Instagram and Snapchat users. Yes, who has not used social media filters. While you, as a user, may only think of the fun elements, businessmen see business value in everything, and they are right to do so. Brands like Adidas, Gucci, and Disney use Instagram AR filters for their advertising campaigns.
Some products are really hard to sell on eCommerce platforms. Imagining how something would look from a static picture can be strenuous, but if something helps users visualize what they want to buy, how could that not be a win-win for everyone?
Despite all the advantages and potential explored, Augmented Reality has still not been deployed by a lot of businesses yet. There is a lot of room in the market and this technology to grow and unlock new frontiers.. Implementing AR can really help you stand out among your competitors. Why wait then? Contact Us!!