Augmented reality (AR) is a technology that overlays digital content onto the real world. It is increasingly being used in online retail to enhance the shopping experience and improve conversion rates. In this article, we will explore how online retailers are experimenting with AR and how it is changing the way we shop online.
What is Augmented Reality?
Augmented reality (AR) is a technology that overlays digital content onto the real world. It allows users to interact with virtual objects in their physical environment. AR can be used for a variety of purposes, including gaming, education, and marketing.
In the context of online retail, AR is being used to enhance the shopping experience by allowing customers to see products in a more immersive way. This can be done through the use of mobile apps or web-based platforms that allow users to try on clothes, preview furniture in their home, or see how products would look in real life.
How Online Retail is Using Augmented Reality
There are several ways online retailers are experimenting with AR. One example is the use of virtual try-on technology. This allows customers to see how clothes would look on them before making a purchase. Some retailers, such as Sephora, have implemented this technology in their mobile app, allowing customers to virtually try on makeup and see how it looks on their skin.
Another way online retailers are using AR is to allow customers to preview furniture in their home. IKEA has developed an AR app that allows customers to see how furniture would look in their home before making a purchase. This can be especially helpful for customers who are unsure about the dimensions of a piece or how it would fit into their space.
Some retailers are also using AR to create interactive product displays. For example, Lululemon has implemented an AR display in some of its stores that allows customers to see how different yoga poses would look in real life. This can be especially helpful for customers who are new to yoga or looking to improve their technique.
Benefits of Augmented Reality in Online Retail
There are several benefits of using AR in online retail. One benefit is that it can improve the overall shopping experience for customers. By allowing customers to see products in a more immersive way, retailers can increase customer engagement and satisfaction. This can lead to increased sales and repeat business.
Another benefit of AR in online retail is that it can help reduce return rates. By allowing customers to see how products would look on them before making a purchase, retailers can reduce the number of returns due to incorrect sizing or fit.
AR can also help retailers better understand their customers’ needs and preferences. By collecting data on how customers interact with AR technology, retailers can gain insights into what types of products and features their customers want most. This can be used to improve product offerings and marketing strategies.
Case Studies in Augmented Reality Retail
There are several case studies that illustrate the benefits of using AR in online retail. One example is the use of virtual try-on technology by Sephora. According to a study by RetailMeNot, customers who used the virtual try-on feature were 20% more likely to make a purchase than those who did not.
Another example is the use of AR by IKEA. A study by Deloitte found that customers who used the AR furniture preview feature were more likely to make a purchase and had a higher average order value than those who did not use the feature.
The Future of Augmented Reality in Online Retail
As AR technology continues to evolve, it is likely that we will see even more innovative uses of AR in online retail. Some potential applications include virtual product demos, interactive product displays, and personalized recommendations based on customer behavior and preferences.
However, there are also some challenges that retailers must overcome when using AR.