AR in eCommerce – 10 benefits, use cases, and real-world examples for businesses

Summary

Augmented Reality (AR) is transforming eCommerce by blending digital elements into the real world, enabling customers to visualize products in their own environment.With 75% of consumers expecting AR experiences, this technology boosts engagement, increases conversion rates by up to 94%, and reduces product returns.Key benefits include enhanced personalization, better product visualization, virtual try-ons, and improved brand differentiation.Industries from fashion and beauty to automotive and home décor are leveraging AR for immersive shopping experiences.Real-world examples from IKEA, Sephora, BMW, and others showcase the power of AR in driving sales and customer loyalty.QSS Technosoft specializes in developing custom AR eCommerce solutions to help brands deliver interactive, scalable, and customer-focused shopping experiences.

Introduction

Are you surprised by how generation is converting the way we shop and store? Well, it is actually! Technology is advancing so rapidly, and it is making online buying even extra exciting. One cool thing that is creating a buzz is Augmented Reality (AR). But what exactly is AR, and how is it making a difference in our shopping experience? AR in eCommerce is a smart technology that blends physical and digital worlds collectively. It helps you to use your phone or a unique tool to peer into virtual matters in the actual world. And guess what? Lots of human beings are loving it! By 2022, it's anticipated that approximately 100 million folks will use AR for purchasing. That's a huge bounce of 65% from the 12 months before! As you can see, increasingly more people are getting addicted to AR when they are online. Seventy-five percent of consumers now expect an AR experience when shopping online.

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Example:Let's consider you're seeking out a new couch for your residing room. In the beyond, you need to depend upon measurements and your imagination to determine if it's going to fit properly. 

But now, with AR, you may simply use your phone's digital camera to convey a virtual couch into your real dwelling room! You can see the way it appears, change the colors and materials, and even sit down on it surely. It's like having a real buying revel in without leaving your home!

 In this blog, we will read more about AR in e-commerce. 

What is AR in eCommerce?

Augmented Reality (AR) in eCommerce is a technology that overlays digital content onto the physical environment, allowing customers to interact with virtual products in real-time through their devices. It enhances the online shopping customer experience by enabling users to visualize products in their own space before making a purchase. This integration of augmented reality technology bridges the gap between physical stores and online shopping.

Difference between AR and VR in Shopping

Key Statistics on AR Adoption in Retail

• Approximately 75% of consumers now expect an AR experience when shopping.

• 61% of consumers favor retail AR experiences, and 71% would shop more frequently if AR were available.

• 40% of shoppers are willing to pay more for products they can customize using AR technology.

How AR is Transforming eCommerce

Personalization of Shopping Experience

Augmented reality allows eCommerce businesses to tailor shopping experiences to individual preferences, enabling customers to visualize products in their own environment. This personalized interaction increases customer satisfaction and loyalty by making shopping more relevant and engaging.

Enhanced Product Visualization

Amarkdown AR technology offers customers a realistic and interactive view of products, allowing them to examine details, colors, and fit virtually through an augmented reality app. This immersive visualization bridges the gap between online and physical shopping, helping consumers make confident purchase decisions.

Reduction in Product Return Rates

By providing accurate previews of how products will look and fit in real life, AR significantly reduces the uncertainty of online purchases. This leads to fewer returns, saving costs for retailers and improving overall customer satisfaction.

Benefits of AR in eCommerce

 Augmented reality (AR) has revolutionized the way we experience the world around us. This technology has also made a significant impact on the eCommerce industry, enhancing the shopping experience for both businesses and consumers alike Many AR solutions rely on a software development kit (SDK) to build and deploy immersive augmented reality applications efficiently. Lets take a look at key benefits of AR in eCommerce to highlight their significance.

Increased Customer Engagement

AR allows customers to interact with products virtually, offering a more engaging and immersive shopping experience. For instance, IKEA's AR app allows customers to visualize furniture in their own space before making a purchase. This level of engagement leads to enhanced customer satisfaction and ultimately boosts sales.

Reduced Product Returns

One of the major pain points for online retailers is product returns. AR helps mitigate this issue by offering customers a realistic view of how products will look and fit in their surroundings. Warby Parker's virtual try-on feature allows customers to virtually try on glasses, reducing the number of returns due to incorrect fit or dissatisfaction with appearances.

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Increased Sales Conversion Rates

AR provides customers with a realistic representation of products, leading to increased confidence in their purchasing decisions. Sephora's Virtual Artist app enables customers to virtually try on makeup, empowering them to make informed choices. This leads to higher conversion rates as customers can visualize and evaluate products before committing to a purchase.Products advertised with AR content saw a 94% higher conversion rate compared to those without AR.

Personalized Shopping Experience

By using AR, eCommerce businesses can offer personalized recommendations based on customer preferences and purchase history. Amazon's AR View allows customers to visualize how products would look in their homes, while also recommending additional items based on their previous purchases. This personalization enhances the overall shopping experience and increases customer loyalty.

Improved Product Showcase

AR enables online retailers to showcase their products in a more comprehensive manner, providing detailed information in an interactive format. For example,Lacoste’s AR app lets customers virtually try on shoes and explore various features of the product, such as color options and material details. This improves product visibility and helps customers make more informed decisions.

Enhanced Brand Differentiation

AR sets businesses apart from competitors by offering unique and innovative shopping experiences. Burberry utilized AR to create a virtual replica of their flagship store, allowing customers to explore and shop from the comfort of their homes. Such experiences not only differentiate a brand but also create a lasting impression on customers, leading to increased brand loyalty.

Reduced Purchase Anxiety

AR helps alleviate customers' purchase anxiety by providing them with a realistic preview of products. For instance, BMW's AR app enables customers to view and explore the interior and exterior of cars, reducing the uncertainty associated with big-ticket purchases. This leads to increased customer satisfaction and consequently, a boost in sales.

Virtual Showrooms and Try-ons

AR technology enables eCommerce businesses to create virtual showrooms and try-on experiences, eliminating the need for physical stores. The clothing brand ASOS implemented AR technology to allow customers to virtually try on clothing items, enhancing convenience and expanding their customer base beyond geographical limitations.

Better Product Customization

AR allows customers to visualize and personalize products before purchasing, leading to higher satisfaction. In fact, 40% of shoppers would pay more for a product if they could test it through AR technology, highlighting how immersive experiences can justify premium pricing.

Cost Reduction for Businesses

AR reduces costs associated with traditional retail models, such as inventory management and physical store maintenance. Online furniture retailer Wayfair's AR app allows customers to visualize how furniture will fit in their living spaces, eliminating the need for expensive physical showrooms. This, in turn, leads to substantial cost savings for businesses.

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Improved Customer Satisfaction and Retention:

By using AR technology, eCommerce businesses can provide exceptional shopping experiences, leading to increased customer satisfaction and retention. The beauty retailer Sephora introduced an AR-powered app called “Virtual Artist,” which allows customers to virtually try on makeup, enhancing AR interactions. This unique offering enhances customer satisfaction and promotes repeat purchases.

 As AR continues to evolve, we can expect more exciting advancements that will shape the future of eCommerce.

Use Cases for AR in eCommerce

Fashion and Beauty

AR is widely used in the fashion and beauty industry, enabling customers to virtually try on clothes, accessories, and makeup without physically trying them on. E commerce brands like Sephora and Gucci have successfully integrated AR to enhance their customers' shopping experiences.Beauty brands, including many cosmetics brands, especially benefit from AR technology by offering virtual try-ons that increase customer engagement and satisfaction.

Home Décor

AR allows customers to virtually preview how furniture or décor items will look in their homes before making a purchase. Major home improvement retailers such as IKEA and Wayfair have incorporated AR technology into their apps, giving customers a realistic sense of the product's size, style, and fit.

Automotive

Several automotive brands, including Audi and BMW, have embraced AR to empower customers in visualizing and customizing their vehicles. AR applications provide customers with a 360-degree view, interactive features, and the ability to overlay options such as colours and accessories.

Jewellery

AR application can offer customers the option to virtually try on jewellery items, leading to increased confidence in purchasing expensive pieces. Brands like Tiffany & Co. and Kendra Scott utilize AR to improve the shopping experience for their customers.

Retail and E-commerce Platforms

 AR is increasingly being integrated into retail and e-commerce platforms to provide customers with interactive experiences while shopping online. Platforms like Amazon and Alibaba are exploring AR technology to allow customers to virtually try on clothes and see how they fit before making a purchase.

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Real-world Examples

IKEA Place

IKEA's AR mobile app, IKEA Place, enables customers to virtually place furniture items in their homes at scale, allowing them to assess size, fit, and style before purchasing.

Warby Parker

 The renowned eyewear brand, Warby Parker, uses AR technology to allow customers to virtually try on glasses through their mobile app, offering an interactive shopping experience.

L'Oréal Makeup Genius

 L'Oréal's Makeup Genius app utilizes AR to enable customers to try on makeup virtually, helping them find the perfect shade without physically trying multiple products.

ASOS Virtual Catwalk

ASOS, a popular online fashion retailer, introduced a virtual catwalk feature that allows customers to see models wearing clothes in their own homes. This gives customers a realistic sense of how the product fits and moves.

BMW i Visualizer

BMW offers its customers an AR-powered app called BMW i Visualizer, allowing them to visualize and customize their cars, selecting from various exterior colours and wheel options.

Challenges and Considerations

High Development Costs

Creating augmented reality experiences requires significant investment in technology, design, and development, which can be a barrier for many eCommerce businesses.

Need for High-Quality 3D Models:

To provide realistic and engaging AR experiences, businesses must develop detailed and accurate 3D models, which can be time-consuming and resource-intensive.

Device Compatibility Issues

AR experiences may not perform uniformly across all devices due to differences in hardware capabilities, potentially limiting the audience reach.

User Adoption and Learning Curve

Some users may find AR technology unfamiliar or challenging to use initially, requiring effective onboarding and intuitive interfaces allowing users to encourage adoption.

Future of AR in eCommerce

AI-Driven AR Personalization

AI is set to revolutionize augmented reality in ecommerce by delivering hyper-personalized shopping experiences. By analyzing user preferences and behaviors, AI can tailor AR content to individual customers, making product recommendations more relevant and engaging. This fusion of AI and AR will enhance customer satisfaction and boost conversion rates. As a result, ecommerce brands will be able to offer truly customized virtual try-on experiences and product visualizations.

Integration with Metaverse Shopping

The metaverse promises a new frontier for augmented reality in ecommerce, blending virtual and physical shopping worlds seamlessly. AR will enable customers to explore and interact with products in immersive 3D metaverse environments, making online shopping more social and experiential. This integration will allow ecommerce stores to create virtual storefronts where allowing users can browse, customize, and purchase items in real time. The metaverse will redefine how consumers engage with brands, fostering deeper connections and innovative marketing opportunities.

AR for Social Commerce

Augmented reality is becoming a powerful tool for social commerce by enabling interactive product experiences directly on social media platforms. AR filters and features allow users to virtually try on products, share their looks, and influence their followers, driving organic engagement and brand awareness. This social integration helps ecommerce brands reach potential customers where they spend most of their time online. As AR shopping experiences become more shareable, social commerce will grow into a vital channel for online sales and customer interaction.

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QSS Technosoft can help you achieve this through our AR development services. – Our team of experts can create AR solutions that will enhance your customers' shopping experience and increase engagement. With our AR technology, customers can visualize products in their environment before making a purchase, leading to higher conversion rates. 

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Conclusion

Integrating AR technology in eCommerce opens up exciting possibilities for businesses to revolutionize the online shopping experience. 

As a user, you can expect enhanced visualization, increased engagement, and convenience when interacting with products virtually. By embracing AR, businesses can provide a more personalized and immersive shopping experience, ultimately bridging the gap between the virtual and physical worlds.

So, thanks to AR, online shopping is becoming super cool! It's more immersive, interactive, and personalized. You can try out stuff virtually and make better choices. Isn't that amazing? 

So, get ready to enjoy a new dimension of online shopping that will truly cater to your unique preferences and needs.

We are proud to mention that our work has been recognized by leading B2B reviews and research platforms like GoodFirms, Clutch, MirrorView, and many more.

Partner with QSS Technosoft to create immersive AR-powered eCommerce experiences. Contact us today to bring your vision to life with innovative, scalable, and customer-focused AR solutions.

FAQs Section

What is augmented reality in ecommerce?

Augmented reality in ecommerce is a technology that overlays digital content onto the physical environment, allowing online shoppers to visualize and interact with products in their own space through mobile devices or AR tools. This enhances the customer experience by bridging the gap between physical stores and online shopping.

How does augmented reality improve online shopping?

AR improves online shopping by providing immersive shopping experiences where customers can preview products virtually, try on items through virtual try-on experiences, and see how products fit in their own environment. This reduces purchase anxiety, lowers return rates, and increases conversion rates.

What are the different types of augmented reality used in ecommerce?

Common types include marker-based AR, which uses QR codes or images as triggers; markerless AR, which allows placement of virtual objects without markers; location-based AR, which uses geographic data to display content; and projection-based AR, which projects digital light onto physical surfaces for interactive experiences.

What devices support augmented reality in ecommerce?

Most AR experiences are accessible on smartphones and tablets, making them highly portable and easy for online shoppers to use. Some advanced AR applications may also use AR glasses or specialized hardware.

How can ecommerce brands benefit from adopting augmented reality?

Ecommerce brands can enhance customer engagement, provide interactive shopping experiences, reduce product returns, increase sales conversion rates, and differentiate themselves from competitors by adopting augmented reality technology.

Are there any challenges in implementing AR for ecommerce?

Yes, challenges include the need for high-quality 3D models, device compatibility issues, development costs, and ensuring user-friendly interfaces to encourage adoption among customers.

How do social media filters relate to augmented reality in ecommerce?

Social media filters are a popular AR feature that allows users to virtually try on products or interact with branded content. They help ecommerce businesses increase brand awareness, enhance customer engagement, and drive organic marketing through user-generated content.

Can augmented reality help reduce product returns?

Absolutely. By allowing customers to visualize products accurately in their own environment or try on items virtually, AR reduces uncertainty and the likelihood of returns due to product mismatch or dissatisfaction.

What is the difference between augmented reality and virtual reality in ecommerce?

Augmented reality overlays digital content onto the real world, enhancing the physical environment, and is accessible via common devices like smartphones. Virtual reality creates a fully immersive digital environment that replaces the real world and requires specialized hardware like VR headsets.

How can I get started with augmented reality for my ecommerce website?

Start by clarifying your business objectives and identifying the AR features that will best enhance your customer experience. Then, choose suitable augmented reality tools or platforms that offer seamless integration with your ecommerce platform. Finally, market your AR experiences effectively to attract and engage online shoppers.