OMR22: AR as an advertising medium

Published Categorized as Augmented Reality

The OMR festival took place on the 17th and 18th of May 2022 in Hamburg, Germany. This year, the big topic was Augmented Reality in and for marketing. Snap.inc, Meta, Vodafone, and several others had exciting AR showcases lined up, which impressively demonstrated future technology already established for the market leaders.

The social media company behind Snapchat Snap.Inc held a masterclass and revealed new tools and insights. There they discussed the importance of AR in today’s e-commerce and retail. During their presentation, Denise Mancino (Head of Marketing DACH, Snap Inc) and Anja Kischkat (Sector Lead Branding, Snap Inc) introduced AR Shopping for marketers.

AR in E-commerce

The enormous progress that the digital world has made in recent years means that even the most traditional retailers are faced with the need to expand their online activities. E-Commerce and virtual shopping already takes up a big chunk of the market and this will only increase. Augmented Reality can be used to greatly improve the offer brands bring their customers. It is especially easy to reach young people through the use of cutting-edge technology.

  • According to a Harvard Business Review survey, 51% of consumers are willing to use AR technology as a manner of assessing whether they want to buy a product or not. 
  • 40% of consumers are willing to pay more for a product if they use AR to explore it first.
  • According to Shopify, AR has enabled some brands to increase conversion rates by up to 250%.

With passing time technology and POS merge more and more and the smartphone becomes the shopping window of a whole generation.

From Ad to purchase

Through AR the conversion rate is increased by 94%

Data by Harvard Business Insight and Shopify

How successful is AR marketing

Through interactions, companies can measure the success of a marketing campaign with some accuracy. In fact, this engagement factor has increased quite significantly with augmented reality because virtual interaction yields much more data.

  1. Gucci used the platform Roblox to reach over 18.9 million users. Users created Characters wearing Gucci assets in true size. Afterwards the users were able to share their characters before buying any items.
  2. Tommy Hilfiger created an AR fitting room and moved the sales point to a virtual world. Users described the experience as exciting and they created many public profiles.
  3. Snap.Inc is releasing Lens Studio, a free tool to create AR experiences. There already is a need for tools, that amateurs can create with.

What’s really new with AR marketing?

Experienced tech marketers might not find a lot of new technologies on the market but will see a lot of the existing tech improved. New is mainly, that companies are creating more accessible tools. Especially the web tools are easy to understand and use.

These tools will give much easier access to the market, even for small companies and freelancers. While it is expensive to rent out salesrooms, an AR application may just offer the space many are looking for. A company only needs assets for their virtual appereance. If they are unable to create those, there are companies like weltfern who can create them and give expertise in how to use them.

Conclusion

Advertising through the use of AR is transforming e-commerce as we know it. As it is today, you can buy about anything and have it delivered directly to your doorstep. The major drawback of this system is the limitation of visualization the internet still has. AR technology can close this gap and is already doing so.

Sources

https://chainstoreage.com/new-snapchat-ar-shopping-features-include-virtual-try

https://newsroom.snap.com/sps2022arshopping/

By Ingmar Konnow

Co-Founder of weltfern, Lead of the future tech and design team. I am specialized in 2D, 3D and XR AR & VR and have more than 10 years of experience in multimedia content creation. I focus on all future topics with deep passion. Together with my team, creating content and software in 3D, UX/UI, textures and designs for humans and robots is my mission! From VW to Viessman from Adidas to Ornua, I have developed future software with a wide range of customers from various industries. I see the opportunity for everyone to exploit potential and create a connection with future technology to realize visions and completely excite customers.

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