REALER THAN REAL
HOW AR TECHNOLOGY CAN ENHANCE SHOPPING BOTH ON- AND OFFLINE
REPORT
Augmented reality (AR) technology is emerging as a significant retail trend. Easier to implement than virtual reality (VR), which simulates an entire environment, AR is a layer of technology that blends seamlessly with an existing physical or digital experience, therefore creating an enhanced user experience rather than a completely new world. Recent data from Statista, a leading provider of market and consumer data, projects 2.4 billion augmented reality users worldwide by 2023. With more customers shopping online, augmented reality enhances the customer buying experience and offers a wealth of potential opportunities for retailers looking to increase customer loyalty and satisfaction.
For stores, augmented reality tools like downloadable AR lenses can be installed on customers’ phones – as seen in the Burberry collaboration with Tencent
– to allow customers to better engage with products, provide more information about an item and enable a seamless path-to-purchase in store via their personal device. As more users connect via 5G-enabled mobile networks, these experiences can offer fast and lifelike image quality without lag time as well as better personalization.
Online, e-commerce merchants can add 3D images that simulate the look and feel of clothing, shoes and accessories and provide 3D try-on simulations using AR technology from companies like Shopify, Snapchat, RestAR, WANNA and
Zeekit. In Australia, WANNA and Reebok recently launched the Reebok Nano X sneaker via a digital product drop on the WannaKicks platform. The campaign saw over 120,000 virtual try-ons and a social media reach of two million.
Last year, ASOS launched a trial of ‘See My Fit’, a virtual try-on technology developed by Zeekit, which used AR to digitally simulate the fit of garments on models in 16 clothing sizes. This technology could be key for e-commerce players in that, by helping a customer better understand a garment’s fit, it can also reduce online returns.
AR experiences are becoming all the more innovative. Nike recently launched an immersive experience at its House of Innovation NYC using technology developed by Hovercraft. The retailing experience uses geofencing to simulate a hike through the Smith Rock State Park in Oregon, USA. Shoppers can view detailed product information about items in store using an app created especially for the experience. On completion of the virtual hike, they receive a physical prize and an augmented-reality version of the new Nike ACG Hiker. According to Hovercraft, the experience is an extension of their brand storytelling (that also happens to work well with social distancing).
Brands including Dolce & Gabbana, Gucci, Levi’s, Rebecca Minkoff and OffWhite x Farfetch are among a growing list of fashion labels that have implemented AR in retailing experiences. While past iterations of technology in retail have sometimes appeared to be tech for tech’s sake, this greater emphasis on discovery and personalization will continue to drive retailer interest in AR for retail.