Trends in Augmented Reality Advertising

By Jayesh, a Professional Content Writer at Consegic Business Intelligence.

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Immersive and interactive experiences offered by Augmented Reality (AR) are paramount in a new era of advertising. With AR technology, customers are allowed to experience products in a virtual environment, thus, these advertisement methods offer a new level of interaction. Not only does this help customers make informed decisions before purchasing, but it also makes a relationship with the brand that is never forgotten.

Personalized Advertising

Personalization is an advanced marketing trend and AR is taking it to a whole new level. Through the use of data analytics and AI, AR can create personalized advertising experiences, which, in turn, will be shaped to fit individual preferences and behavior. Such as furniture sellers such as IKEA use AR to give customers the ability to see not only how certain furniture would look in their homes but also how it can be customized to their room dimensions and style preferences. This personal touch to advertisements will further the rate of conversion. This also spurs interactive advertising across the globe. As per the Consegic Business Intelligence report, Interactive Advertising Market Size is estimated to reach over USD 122.31 Billion by 2030 from a value of USD 40.31 Billion in 2022, growing at a CAGR of 15.3% from 2023 to 2030.

Social Media Integration 

The contrary is happening – social platforms are being the appropriate AR advertising channels. Platforms such as Snapchat, Instagram, and Facеbook have embedded AR capabilities that allow brands to design and share interactive and AR experiences that are not only constantly evolving with clientele feedback but also shareable. Snapchat’s Lens Studio and Instagram’s Spark AR Studio make it possible for brands to design AR filters that could be used to add the filter to their photos and videos. Besides the visibility of the brand, it should be noted that this also boosts the production of user-driven content, thus, elevating the range and the influence of advertising campaigns.

Location-Based AR Advertising

Geolocation marketing or, location-based AR advertising is a development that is happening today and is becoming the new weapon in attracting people to stores and improving customer service. By using geolocation data, brands can provide AR content greatly related to the user’s current location, making it a convenient and enjoyable technology. Mention instance, the campaign entitled “Burn That Ad” by Burger King was the best one to use the AR experience by identifying the users close to its competitors and using the application virtually to “burn” the opponent’s ad, thus, Burger King was to give them free Whopper. Such an outside-of-the-box methodology not only brings about the retention of the user’s opinion but also the actual doing of given activities in the physical world.

In-Store AR Experiences

Retailers are adopting AR at a faster rate and incorporating it into in-store experiences to increase customer engagement and value addition. Instead of searching for new sales points retailers could transform the traditional shopping environment through auctions of products, informative overlays, and virtual try-ons. For example, Nike’s brick-and-mortar stores use AR to offer more information to customers, introduce them to different colors, and even provide a sample of the manufacturing process. As for the in-store AR experiences, they create an exclusive and amazing shopping context that stands away from the competitors.

Gamification of Advertising

One other way that AR is making its moves with the new trend is gamification. The interactive nature of AR advertisements when adorned with game-like elements is the desire that these brands fulfill to gain the attention and interest of the customers. One of the best examples is Pepsi’s “Unbelievable Bus Shelter” campaign, which made use of AR to turn a bus station into a thrilling adventure by using virtual aliens, tigers, and flying saucers. This kind of game instead of being too boring to the brain only helps to associate a brand with amusement.

Product Visualization

AR is completely changing the product visualization world by giving customers the possibility to visualize and even interact with the goods even though it is a virtual space before the purchase is done. This is an advantage, especially for sectors such as fashion, automotive, and real estate. To illustrate, car giants like BMW and Audi implement an AR platform to motivate potential clients to examine the car models in 3D, adjust the features, and also take a digital car ride.

Conclusion

Advertising in Augmented Reality has proven to be the most innovative source of engaging sound, smell, feeling, and taste that affect the subconscious forming a person through the medium of information. The applications could go from personalized advertising through location-based tactics to in-store experiences and gamification. As AR technology is still in its process of evolution it is still expected that as it improves and gets used more in the advertising market there will be many creative and meaningful marketing campaigns. Brands that are committed to these changes will be more likely to win the loyalty and attention of today’s tech-savvy consumers.

Source: Interactive Advertising Market