Categories

Search
Close this search box.

How (and why) AR is solving today’s retail challenges

AR

How (and why) AR is solving today’s retail challenges

It’s no secret that retailers have faced a multitude of issues during the pandemic. From staffing shortages, following changing regulations and CDC guidance, to shifting customer expectations, it has been an unprecedented challenge to adapt, stay profitable and survive. 

In fact, IBM’s 2020 U.S. Retail Index Report found the pandemic has accelerated the shift to digital shopping by roughly five years. This is clear evidence that many retailers were forced to rethink their digital transformation timeline overnight. 

Technology has always been an enabler to help enhance the shopping experience. But it is now solving more challenges than ever. Most research shows that the pandemic helped change consumer shopping behavior, making them more open to new technologies. All of this points to why AR is proving to be an essential tool for retailers and not just a gimmick. 

So why is AR such a powerful tool for helping retailers? 

First – AR empowers consumers to see and interact with products in a meaningful way. Consumers are able to visualize what they’re purchasing, and they can experience how the product fits into their lives. This true try-before-you-buy experience can lead to an increase in conversion rates by up to 250%.  

Second – in a world where staffing shortages are hitting retailers hard, AR can help provide an extra level of self service, or the ability to answer customer’s questions without extra headcount. The AR experience can be designed to allow the customer to personalize their product and answer their questions both in-store and online. AR can also enable sales staff to interact with shoppers from wherever they are, as illustrated by the cosmetic brand Bobbi Brown, detailed further below. 

Third, AR can help provide hygiene and safety in a post COVID world. 

Instead of customers trying on items before buying, or seeing and touching products, AR can provide the same sense of psychological ownership that can lead them to a purchase but without having physical contact with the product. This has obvious hygiene benefits, but can also lead to fewer returns post purchase. 

So, how are retailers using AR? Below are some examples of innovative AR experiences in retail: 

Hot Springs Spas
Hot Spring Spas worked with Reality to build the Hot Springs Spa Virtual View™ AR experience – allowing customers to envision their new spa in their home. The Hot Spring Virtual View™ AR app helps customers choose any spa, customize it, and view it in the most ideal location, helping customers understand what they’re buying, and answering initial questions the customer may have. See it in action here.

Bobbi Brown
Bobbi Brown has always been a trailblazer in the adoption of new technologies, and AR is no exception. This augmented reality and artificial intelligence powered mobile web offering invites customers to receive customized, instant product recommendations via virtual Try-On by Bobbi Brown make-up artists. It is fun, safe and convenient. Users can instantly connect one-on-one with a beauty expert via live video chat and experience a real-time custom beauty consultation trying on the best products and looks through guided augmented reality (AR) makeup trials on Bobbi Brown’s website. 

Endless Pools 3D customizer
Here, the Reality team developed a 3D customizer, allowing users to see all potential models, ensuring their selection fits both their home and lifestyle. Customers can easily visualize their potential pool in a range of color combinations and both indoor and outdoor settings. Customers can also learn everything they need to know about the accessories available for the pools. See it in action here

AR is fast becoming the new normal in a post pandemic retail world. Talk to us today about designing your AR experience. 

 

 

Got a big idea? Let's talk - We're excited to make it a reality.

AI in Action: 5 Retail Brands Elevating Brick-and-Mortar Experiences

AI in Action: 5 Retail Brands Elevating Brick-and-Mortar Experiences

April 24, 2024

Today, brick-and-mortar retailers face the challenge of staying relevant and competitive to consumers. Many forward-thinking brands are leveraging Artificial Intelligence (AI) to transform the traditional…

Today, brick-and-mortar retailers face the challenge of staying relevant and competitive to consumers. Many forward-thinking brands are leveraging Artificial Intelligence (AI) to transform the traditional in-store shopping experience. From enhancing customer service to optimizing inventory management, AI is revolutionizing brick-and-mortar retail in exciting ways. Here are five retail brands at the forefront of this AI-driven revolution: Walmart: As one of the world's largest retailers, Walmart has been an early adopter of AI technologies to enhance its brick-and-mortar operations. One notable application of AI at Walmart is its use of autonomous robots for inventory management. These robots roam store aisles, scanning…

Metaverse or Metahype?

Metaverse or Meta-hype? The Reality Future Lab Project X(R) team weighs in.

April 6, 2023

It seems everyone these days is imagining exploring a realm where shopping meets science fiction - the "metaverse". A world where commerce is not limited…

It seems everyone these days is imagining exploring a realm where shopping meets science fiction - the "metaverse". A world where commerce is not limited to the physical but expands into a futuristic digital universe and back again. The reality is experiences like these are nothing new. Digital explorers and pioneers have been embarking on journeys that explore the possibilities of this concept, which bends the minds of mere mortals, for decades.   We recently discussed this topic with the brilliant minds of the Future Lab XR team within Reality Interactive, who are pushing the boundaries of technology through their Project…

“Consumers seek frictionless experiences in a world of disruptions”.

“Consumers seek frictionless experiences in a world of disruptions”

February 27, 2023

PwC recently published the findings of their latest Global Consumer Insights Pulse Survey, which was conducted in December 2022 among 9,180 consumers across 25 territories. …

PwC recently published the findings of their latest Global Consumer Insights Pulse Survey, which was conducted in December 2022 among 9,180 consumers across 25 territories.  The overarching message? While consumers are still concerned about inflation, they’re keen to return to their pre-pandemic lifestyle, and they have rising expectations on how and where they should be able to shop.  Below we summarize some key findings from the survey:  How behavior will change over the next 6 month:  96% of consumers intend to adopt some type of cost saving behavior over the next 6 months:  43% of consumers said they plan to…

3 challenges facing retailers today

3 Challenges Facing Retailers Today, and the Strategies Helping to Overcome Them

January 26, 2023

Retailers have always faced continuous challenges of increasing sales, maintaining brand loyalty, and delivering an exceptional customer experience. Today specific challenges outside of their control…

Retailers have always faced continuous challenges of increasing sales, maintaining brand loyalty, and delivering an exceptional customer experience. Today specific challenges outside of their control have forced retailers to get more creative and explore new options to win at the retail game.  Here, we explore just three of those challenges, and some of the strategies that retailers are utilizing to face them.  Staffing shortages = more self service technology in-store.  Whether it’s hiring or retention, the volume has been turned up on the staffing challenges retailers face, especially for temporary seasonal holiday workers. Warehouse jobs are posing competition to retailers…

5 perspectives to inspire you for 2023

5 perspectives to inspire you for 2023!

December 29, 2022

With 2023 around the corner, we take a moment to get inspired by leaders who are daring to innovate, creating great experiences, and leading the…

With 2023 around the corner, we take a moment to get inspired by leaders who are daring to innovate, creating great experiences, and leading the way.  On Planning Backwards: “By thinking five to 10 years out and then “playing the movie backward,” you free yourself from the constraints of what is possible now. You can envision year 10 and then figure out what has to happen in year nine, year eight, and so on for the vision to become reality.” Stéphane Bancel, CEO, Moderna On earning your customer’s trust: “Our brands—Nike, Converse, Jordan Brand and Hurley—are loved by customers all…

The Future of Retail in 2023

The Future of Retail – What to Watch for in 2023

November 30, 2022

With the end of year fast approaching, we take a look at what industry experts are projecting for retail trends next year.  Let’s get Phygital:…

With the end of year fast approaching, we take a look at what industry experts are projecting for retail trends next year.  Let’s get Phygital: Get used to hearing this catch phrase - coined to capture the idea of seamlessly integrating a physical and digital customer journey. If you are familiar with Reality, you have heard us mention the much more appropriate Customer Driven Retail. With customer loyalty up for grabs (a third of customers reporting to be willing to leave a brand after just one bad experience), retailers are working on meeting customers where they are, and giving them…

3 ways technology will play a part in helping engage consumers this holiday season

3 ways technology will play a part in helping engage consumers this holiday season

October 28, 2022

If the research is right, retailers should anticipate this holiday season to start earlier and be bigger than the last. In fact, Deloitte’s annual holiday…

If the research is right, retailers should anticipate this holiday season to start earlier and be bigger than the last. In fact, Deloitte’s annual holiday retail forecast predicts holiday sales will increase by 4-6% this year - with 70% of consumers starting shopping before Thanksgiving.  As a critical time for retailers, many brands are exploring new models and technologies to both reach new customers, and harness a whole new level of engagement with existing ones. From Virtual Parties and introducing digital assets into their retail mix, to metaverse type AR Experiences and events, we explore what brands are considering this…

Have you merged your ecommerce, brand, and retail marketing teams yet?

Brick and Mortar is Dead

August 30, 2022

Ok, now that I have provided a much-needed jolt to get your attention I will clarify what I mean with this dangerously bold, trope of…

Ok, now that I have provided a much-needed jolt to get your attention I will clarify what I mean with this dangerously bold, trope of a statement. Physical retail is far from dead. If approached effectively with powerful digital solutions, physical retail can be massively impactful for brands who rethink the way they do things, and how they engage with customers. But the term ‘Brick and Mortar’ is more outdated than an 8-track. Bricks and mortar are used to build walls, but customers want their purchase journey to be one seamless experience, whether that be physical, digital or both. We…

How (and why) AR is solving today’s retail challenges

It’s no secret that retailers have faced a multitude of issues during the pandemic. From staffing shortages, following changing regulations and CDC guidance, to shifting customer expectations, it has been an unprecedented challenge to adapt, stay profitable and survive.  In fact, IBM’s 2020 U.S. Retail Index Report found the pandemic has accelerated the shift to digital shopping by roughly five years. This is clear evidence that many retailers were forced to rethink their digital transformation timeline overnight.  Technology has always been an enabler to help enhance the shopping experience. But it is now solving more challenges than ever. Most research shows that the pandemic helped change consumer shopping behavior, making them more open to new technologies. All of this points

Kickstart your journey to the digital age.

Download our Digital Transformation Whitepaper