So far 2020 has been nothing but a year of massive growth for all things augmented reality (AR). Between the pandemic pushing brands to rethink their digital experiences and homebound consumers spending more time on their devices, augmented reality has become a mainstream technology that bridges the online gap between brands and their customers.
Given the absence and safety concerns around physical stores and outlets, augmented reality is not only giving brands an engaging way to offer immersive shopping experiences that boost conversions but also empowering online shoppers to virtually try on products before buying them, all from the safety and comfort of their homes.
Having said that, you don’t have to take our word for it. Following are the latest augmented reality statistics that shed light on where the AR market, adoption, usage and benefits are headed:
Augmented Reality Adoption Statistics
1. 38% of the companies using AR, are currently using it to deliver immersive shopping experiences to their customers.
2. IKEA was the first retail brand to deliver AR enabled shopping on their app, IKEA Place. They were also the #2 most popular app on the AppStore with 13 million downloads in their first six months.
3. 9 out of 10 brand advertisers are already using or planning to use AR in their marketing campaigns
How Are Consumers Responding to AR?
4. Since 2020, retailers using AR are seeing nearly 20% increase in engagement rates, with conversion rates increasing by 90% for consumers engaging with AR.
5. 61% of online shoppers prefer to shop at stores that offer AR enabled try ons and visualizations over those that don’t and 71% of them would shop more often if AR was offered.
6. 77% of consumers prefer to use AR try-ons to preview product variations such as colour or style differences.
7. 65% of online shoppers use AR to discover product information.
8. 45% of online shoppers find that AR helps them save time to make purchase decisions.
9. 73% of mobile users report high or very high levels of satisfaction with AR experiences.
10. Top product categories that consumers want to shop with AR
Clothing and Apparel
Cosmetics and Makeup
Augmented Reality Market Size Statistics
11. Currently, there are 1.7Bn AR users worldwide.
12. Out of 1.7Bn AR users, more than 100 million use it for online shopping
13. As of 2020, the AR/VR market stands at $18.8 Bn and is set to cross $50Bn by 2024.
14. According to Statista, the augmented reality market revenue grew from 3.5 Bn USD to $10.7Bn in 2019 and is forecasted to reach $75 Bn by 2023 and $198 Bn by 2025.
15. In the US alone, 1 out of 3 mobile users interact with augmented reality at least once a month- that’s a total of 80 million people!
Impact of AR on Retailer’s ROI
Challenges faced by AR adoption in retail
18. Although 38% of total AR use is in retail, only 1% of retailers worldwide are currently leveraging AR.
19. 52% brands and retailers feel that they are not prepared and lack resources to adopt AR
For brands and retailers adopting AR presents a huge in-house challenge of hiring 3D and AR experts and equipping themselves with the infrastructure and resources needed. The better alternative is hands down to partner with the right end-to-end solution. Here at Designhubz, our platform and digitization rig can convert your physical inventory into ready to embed 3D & AR try-ons, at scale. We’re the proud solution for brands like IKEA, Alexandra McQueen, JoiGifts and more. Book a demo to find out more.