Retail & E-Commerce

transforming-the-e-commerce-industry-with-ar

Transforming the E-Commerce Industry With AR

Over the years, the e-commerce sector has experienced enormous expansion, allowing customers to buy from the comfort of their homes. However, the option for shoppers to physically engage with things before purchasing is one feature that Internet shopping needs to include. This is where augmented reality enters the picture and completely changes online shopping.

AR provides an immersive and engaging purchasing experience connecting both the online and offline worlds by superimposing virtual features onto the real world. According to Threekit, there will be 1.4 billion AR device users by the end of 2023.

Due to its potential to increase customer engagement and satisfaction, augmented reality has experienced substantial growth in the online retail sector. Online merchants may give customers a more realistic and engaging buying experience using AR technology, empowering them to make more educated purchasing decisions.

Benefits of AR in E-Commerce

For e-commerce, augmented reality has several important advantages, such as improved brand experiences, higher conversion rates, higher user engagement, and improved customer happiness. Let’s dive in to understand the benefits of AR in e-commerce:

1. Increased Customer Engagement

Customers are more engaged with products thanks to augmented reality than they would be with regular online purchasing. Customers may rotate, examine, and perceive objects in 3D, enhancing the purchasing experience’s immersiveness and enjoyment.

2. Improved Customer Satisfaction

By enabling virtual try-ons for clothing and cosmetics, AR lets consumers get around the drawbacks of online purchasing. Customers can buy more confidently by observing how things seem on them or in their surroundings, which lowers the possibility of returns and raises general satisfaction.

3. Increased Conversion Rates

It has been demonstrated that augmented reality increases conversion rates. AR lowers ambiguity and increases trust in purchase decisions by giving buyers a more accurate picture of products. Customers are more likely to convert when they have a clear idea of how things will look or fit into their life.

benefits of AR in e-commerce

4. Reduced Product Returns

Product returns are a major worry for brands participating in the e-commerce revolution. By enabling customers to picture things in their homes before purchasing, augmented reality can help to solve this problem. Customers can, for instance, use an AR app to preview how furniture or other design items will look in their locations, which lowers the possibility of expectations being off.

5. Enhanced Brand Experience

Augmented reality allows e-commerce companies to stand out and develop a distinctive brand experience. Brands can make a lasting impact on customers by providing interactive product demonstrations or gamifying the shopping experience, encouraging advocacy and loyalty.

Examples of AR in E-commerce

Numerous e-commerce platforms have successfully incorporated augmented reality technology to give clients engaging and distinctive buying experiences. Here are five examples of augmented reality for e-commerce:

1. IKEA Place

Customers may visually place IKEA furniture in their houses using the augmented reality app IKEA Place. Customers can preview how various furniture items will appear and fit in their living environments using their smartphones or tablets, which enables them to make better-educated purchasing decisions.

2. L’Oréal Paris Makeup Genius

The AR app L’Oréal Paris Makeup Genius is revolutionizing the cosmetics sector. Customers can use the app to experiment with several L’Oréal Paris products virtually. The virtual try-on tool precisely applies cosmetics to the user’s face using facial recognition technology, enabling them to try out several looks before purchasing.

3. Amazon View

The Amazon app includes an augmented reality feature called Amazon AR View. Before purchasing, buyers can use their smartphones or tablets to picture how things would look in their homes. Customers may virtually place furniture, home décor, or appliances in their chosen space, ensuring they make the best option.

4. Walmart’s AR Shopping

With Walmart’s AR Shopping, customers may view products in 3D and get additional information about them, both at home and in stores. This feature gives customers thorough information, such as product details and user reviews, which helps them comprehend and feel more confident about their purchasing choices.

examples of AR in e-commerce

5. Sephora Virtual Artist

Sephora, a multinational retailer of personal care and beauty products, provides the augmented reality tool Sephora Virtual Artist. Customers can virtually try on various cosmetics, including lipsticks, eyeshadows, and other items. Customers can find the ideal products more easily by experimenting with different colors and styles on smartphones or tablets.

Future Trends and Possibilities

1. Potential Advancements in AR Technology

We may anticipate major advancements in AR capabilities as technology develops. The precision and realism of virtual objects in AR experiences will be improved through developments in computer vision, object recognition, and rendering techniques. This might entail greater tracking of actual places, enhanced tracking of virtual things in the real world, and improved interactivity with virtual aspects.

2. Exploring the Intersection of AR and Other Emerging Technologies

Experiences that are even more transformative and immersive could be produced by combining AR with other cutting-edge technologies. By examining user preferences and behavior, AI and machine learning algorithms can provide tailored recommendations and targeted advertising, improving AR experiences.

3. Opportunities for Small and Medium-Sized E-commerce Businesses

Due to the technology’s increased availability and affordability, small and medium-sized e-commerce businesses now have the opportunity to include AR technology in their platforms.

Smaller businesses have two options for utilizing augmented reality: they can use pre-existing AR solutions or collaborate with augmented reality development platforms to create specialized AR experiences targeted to their products and target market.

Conclusion

By offering a more engaging and immersive purchasing experience, augmented reality has the potential to alter the e-commerce sector completely. By implementing AR technology, retailers may improve consumer engagement, contentment, and conversion rates.

AR and other cutting-edge technologies are anticipated to advance and produce fascinating discoveries. Online retailers can now connect the virtual and real worlds thanks to augmented reality, giving customers a more seamless and engaging buying experience.

Guest Post


About the Guest Author(s)

Pratik Rupareliya

Pratik Rupareliya

Pratik is a techno-commercial leader heading Intuz as Director of Growth with over 14+ years of experience in the field of information technology. His experience and expertise will entice developers and business entrepreneurs with rich content on the latest technology stack.

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How Retailers are Using Augmented Reality to Enhance In-Store Shopping

The retail sector is changing because of augmented reality technology, which is giving businesses new and interesting ways to interact with customers and enhance their shopping experiences. AR is a perfect fit for the retail sector, giving businesses new opportunities to communicate with customers, promote their goods, and increase sales.

AR in Retail: A Match Made in Heaven

Customers may virtually try on things, allowing them to see how a product appears or fits without having to try it on physically, which is one of the main advantages of AR in retail.

Since the COVID-19 outbreak, more customers are looking for ways to try on things without having to physically engage with them, making this issue more crucial than ever. Retailers may improve their conversion rates and lower the percentage of returns by offering customers virtual try-on experiences.

Virtual Try-Ons and Interactive Product Displays

Virtual try-on and interactive product displays are two of the major ways that businesses are leveraging AR technology to improve the in-store shopping experience.

Using AR technology, shops can develop virtual try-on experiences that allow customers to see how an item of clothing or accessory would fit on their body without having to try it on physically.

the author trying augmented reality glasses
Example product display. The author trying glasses using Geenee AR Glasses Try-On

Virtual try-on is very handy for things like glasses, makeup, and apparel. Retailers may boost the likelihood of a sale and lower the percentage of returns by allowing shoppers to see how these things would look on them.

Retailers are also embracing AR technology to improve the in-store shopping experience through interactive product displays. They can take numerous forms, such as augmented reality mirrors that allow consumers to experiment visually on makeup or interactive product displays that allow buyers to see the features and benefits of a product in real time.

Retailers may boost customer engagement and create a more memorable shopping experience by developing such kinds of interactive activities. This can result in improved consumer loyalty and sales.

While virtual try-ons and interactive product displays hold enormous promise for merchants, there are still obstacles to overcome. For example, implementing the technology can be costly, and creating experiences that function seamlessly across multiple devices can be tricky.

Personalized Shopping Experience

AR technology is also being used to deliver a more personalized shopping experience for customers. Retailers, for example, might construct AR-powered shopping assistants who guide clients through the store, making tailored recommendations and presenting information about things they might be interested in.

7-eleven deadpool augmented reality
In 2018, 7-Eleven launched its first-ever augmented reality in-store experience bringing Deadpool into the store.

AR technology can also be utilized to build customized product displays that showcase products based on the customer’s specific interests. Retailers can develop displays that highlight products that the buyer is likely to be interested in using customer data and AI algorithms, improving the possibility of a sale.

The fundamental problem of using AR technology to improve product discovery and personalization is the necessity for reliable and complete data. Retailers must have access to customer data and be able to analyze it efficiently in order to deliver customized suggestions and product displays to customers.

Future of Augmented Reality in Retail

The future of augmented reality in retail is bright, with enormous potential to revolutionize the way we purchase. We should expect to see more innovative applications of AR in retail as technology advances, providing customers with tailored and engaging experiences.

The integration of artificial intelligence and machine learning is one of the most significant areas of research in AR for retail. AI can improve the accuracy and speed at which AR-powered product suggestions and customization are made. Retailers can use artificial intelligence-powered augmented reality to deliver personalized suggestions based on a customer’s purchase history, browsing habits, and preferences.

The launch of web-based AR is another fascinating trend in retail AR. WebAR eliminates the requirement for clients to download an app, making it more accessible and convenient. WebAR may be quickly implemented into a retailer’s website, offering customers an immersive and engaging buying experience.

Geenee augmented reality virtual try-on Zara
Virtual try-on demo skirt project

WebAR for In-Home Retail

A web-based placement of AR technology overcomes these obstacles and has the potential to transform the retail business. That allows you to try on clothes without even going to the retail itself.

Accessibility is one of the most difficult challenges associated with traditional AR adoption. Customers must download a specialized app to access AR content in traditional AR applications. This approach can be time-consuming and inconvenient, resulting in poor adoption rates.

WebAR solves this issue by removing the necessity for clients to download an app. Instead, users may access WebAR directly from a retailer’s website, making it more accessible and convenient. This method not only saves time but also raises the possibility of adoption by making AR technology more accessible to a larger audience.

An additional significant barrier to the widespread adoption of traditional augmented reality in retail is the high development costs associated with developing AR applications for different app platforms. The development of specialized multiple AR apps takes a significant amount of time and money, making it prohibitively expensive for many merchants.

WebAR overcomes this issue by leveraging current web technologies and frameworks that produce AR experiences, such as HTML, JavaScript, and CSS. This method lowers the development expenses associated with standard AR implementation, allowing merchants to build engaging and immersive experiences at a fraction of the cost.

Due to the specific hardware and software needed for traditional AR implementation, many devices cannot use it. Because of this incompatibility, the potential audience for AR experiences is reduced, and the impact of AR in retail is limited.

WebAR resolves this issue by taking advantage of modern web browsers, allowing it to be compatible with a wide range of devices such as smartphones, tablets, and desktop PCs. This method enables merchants to build AR experiences that are more accessible to a wider audience, which improves the effect of AR in retail.

Conclusion

In conclusion, augmented reality technology has the potential to transform the retail sector completely. We can anticipate a substantial change in the way we buy as shops continue to experiment with new AR applications. This change will make shopping more immersive, interactive, and personalized.

Guest Post


About the Guest Author(s)

Vladislav Bondarenko

Vladislav Bondarenko

Vladislav has been working for more than 3 years in the AR industry. He is currently on the founding team of AR startup Geenee. He specializes in 3D engineering, computer vision, and physics programming.

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Hexa and Amazon Redefine Immersive Retail Experiences by Empowering Merchants

Step into the captivating realm of immersive retail, where customers are transported to a world beyond the traditional confines of e-commerce.

Virtual try-ons and mesmerizing augmented reality simulations have long held the attention of shoppers, but the path to these enchanting encounters was often reserved for big brands with substantial resources.

Today, a transformative alliance between 3D visualization platform Hexa and e-commerce powerhouse Amazon is breaking down the barriers of immersive retail. This dynamic collaboration is poised to redefine how merchants engage with their customers, unveiling a future where extraordinary shopping experiences are within reach of all.

Hexa: Shaping the Future of 3D Commerce and Immersive Retail

At the heart of this collaboration lies Hexa, a 3D visualization platform that uses artificial intelligence to create digital twins.

Since 2018, Hexa has been leveraging the potential of AI to breathe life into static 2D images and transform them into mesmerizing 3D renderings. They have been enabling brands to display 3D products, launch AR experiences, set up virtual try-ons, and create immersive marketing campaigns.

With Hexa, brands no longer need to rely on expensive investments in software and equipment to provide immersive retail experiences. They can harness the power of AI through Hexa’s cutting-edge technology to captivate their customers.

By seamlessly bridging the gap between the two-dimensional and three-dimensional domains, Hexa empowers brands to create hyper-realistic digital twins of their products. The sheer realism of Hexa’s CGI technology leaves consumers unable to discern the difference.

Hexa’s commitment to merging the realms of 2D and 3D not only expands possibilities for brands but also redefines the very nature of immersive retail experiences. It is through this collaboration that Hexa and its partners reimagine the boundaries of what is possible, driving the industry forward and transforming the way we perceive and engage with products in the digital space.

The Hexa and Amazon Collaboration: Empowering Merchants in The Era of Immersive Retail

Recognizing the untapped potential of immersive retail experiences in online marketplaces, Hexa has partnered with Amazon to empower merchants like never before. Through this collaboration, selling partners gain access to Hexa’s proprietary immersive OS, enabling them to create and display hyper-realistic 3D images, immersive 360-degree views, virtual try-on capabilities, and AR content directly on their Amazon product pages.

“Working with Amazon has opened up a whole new distribution channel for our partners,” said Gavin Goodvach, Hexa’s Vice President of Partnerships, in a press release shared with ARPost. “Brands now have the ability to distribute 3D experiences and deliver high quantity immersive shopping to Amazon’s global network of customers using Hexa’s proprietary content delivery network.”

Even without prior experience with AR or 3D tech, Amazon sellers can render high-quality images and videos for their product pages. They simply need to upload their products’ Amazon Standard Identification Numbers (ASIN) into the CMS of Hexa.

The system automatically converts the images into high-fidelity 3D models with AR compatibility. They can then use the 3D models for e-commerce and metaverse applications. This remarkable integration of technology bridges the gap between the tangible and the virtual, offering a transformative user experience that drives conversion rates to new heights.

“In addition to 3D reconstruction, further enhancements to Hexa’s 3D tech stack also allow Amazon selling partners to render high-definition marketing materials, including packshots and lifestyle images directly from their 3D digital twins,” said Hexa’s CTO, Jonathan Clark. “They’ll be able to do so by leveraging AWS Thinkbox render infrastructure and advanced capabilities.”

Unveiling the Incredible Potential of Immersive Retail

This collaboration between Hexa and Amazon marks a significant milestone in the evolution of immersive retail. By providing Amazon selling partners with the tools to seamlessly transition from 2D to 3D, the partnership unlocks endless ways brands can engage their customers.

Hexa and Amazon immersive retail AR, try-on, 3D

No longer constrained by financial limitations, merchants of all sizes can now provide unforgettable shopping experiences that rival those of industry giants.

Looking ahead, the future of immersive retail holds incredible potential. As technology continues to advance, we can anticipate even more seamless integrations, heightened realism, and enhanced customer interactions.

Hexa and Amazon have set a precedent for innovation and accessibility in the industry, inspiring other platforms and retailers to follow suit and embrace the transformative power of immersive shopping experiences.

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ZERO10 to Debut Its First AR Store at Viva Technology in Paris

After the successful showing of its AR try-on technology at the Metaverse Fashion Week, AR fashion company ZERO10 is launching its first prototype AR Store that aims to bring a whole new experience to shopping.

Following previous successful collaborations with fashion brands like Tommy Hilfiger and Coach – which saw the launch of the brand’s AR Mirror and Storefront, respectively – ZERO10 is now debuting the AR Mirror as a standalone store.

AR Storefront ZERO10

“We believe that 50% of physical retail will incorporate AR solutions or will become AR stores itself in the next 10 years,” said CEO of ZERO10 George Yashin. “Customers want to try new types of shopping and augmented reality will elevate the future in-store experience. We see the technology as a powerful tool for retail and we are still at the beginning.”

The prototype AR Store aims to be an immersive solution for retail stores while also addressing the common issues that come with brick-and-mortar establishments. This iteration of the AR Mirror is particularly notable for its ability to deliver a standalone retail experience, in contrast to simply enhancing the experience of shopping in a traditional store.

AR Store for a Full AR Shopping Experience 

ZERO10 has been steadily growing with its AR-to-physical capabilities, befitting a fashion company that seeks to improve everything about the retail experience. Already a thriving hub for forward-thinking fashion designers, the AR Store represents the exciting possibilities of a full augmented reality shopping experience.

With a simple setup (requiring only the AR Mirror, an iPad stand, a statistics screen, and storage space), the prototype AR Store promises to deliver a seamless shopping experience without the need for large floor space. With its minimal requirements for both space and construction, the AR Store will be able to deliver all the functions and operations seen in a traditional store with an average of 100 sq meters, all with just two square meters of total store space.

AR Mirror ZERO10

All of this is possible thanks to ZERO10’s proprietary AR Mirror solution, which can run complex computer vision models and render clothing in 4K resolution. It does all of this in real-time, powered by a supercomputer that boasts the latest in 3D body tracking and multi-class segmentation capabilities.

The Future Of Brick-And-Mortar Stores?

Traditional storefronts may no longer be enough by themselves to entice consumers to shop at their establishments. Many retailers have started embracing the capabilities of augmented reality and other similar technologies to enrich the customer experience and help them stand out compared to their peers.

This phenomenon (tentatively called v-commerce) not only enriches the usual in-store experience but solves many of the issues that brick-and-mortar establishments face. Storage space, floor traffic, and even employee tasks become far easier to manage with the help of AR technology.

While it’s difficult to say that AR solutions like AR Mirrors and ZERO10’s AR Store will render brick-and-mortar establishments obsolete, it’s fair to say that they’re a development in the retail shopping experience that can’t be ignored.

Forward-Facing Fashion at Viva Technology Europe

ZERO10’s AR Store prototype will be interactable for the first time at Viva Technology, Europe’s biggest startup and tech event, taking place June 14- 17, in Paris, France. The prototype will be located in Innovation Park, ALLÉE NORD, Digital Experiences and AI, stand J61-007.

Visitors at Viva Technology will be able to experience the entire customer journey of the AR Store, starting with trying on the digital merch ZERO10 created together with Viva Technology, also available physically with limited stock.

Following the virtual try-on with the AR Mirror, customers will be able to initiate the imitation of a real purchase, where they will be able to select their sizing and receive a free physical analog of their selected item at the reception desk.

With this, ZERO10 hopes to make more people see the possibilities of AR retail experiences and use AR technology to enrich the normal fashion shopping experience.

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geenee-ar-launches-advanced-virtual-try-on-solutions-for-e-commerce-and-retail

Geenee AR Launches Advanced Virtual Try-On Solutions for E-Commerce and Retail

In the online shopping era, the one thing missing from a perfect shopping experience was a realistic way of trying on products remotely. Thanks to augmented reality and virtual try-on solutions (VTO), this is no longer an issue.

Various AR and WebAR development companies allow retailers and e-commerce brands to offer their customers a highly realistic way of trying various products. From clothes and shoes to makeup and home goods, consumers are able to make an informed shopping decision after using these solutions.

Geenee AR, a WebAR technology company, has recently announced a comprehensive suite of immersive digital shopping solutions for e-commerce brands, including ads, online stores, and onsite mirrors.

Virtual Try-On Solutions Improve the Shopping Experience and Increase Sales

One of the biggest problems for online retailers is the large quantity of returned products. When it comes to clothes, footwear, eyewear, and accessories, many consumers find that they don’t make a good fit for their body type. Or, once they try on the product, they don’t get the look they envisioned when they saw the product in the online store, presented by a model.

With virtual try-on solutions, consumers are able to have a more realistic idea of how they’d look wearing each product. This reduces the number of product returns and increases customer loyalty.

However, until recently, most, though not all, AR try-on solutions were usually focused on a specific type of product: be it makeup, eyewear, hairstyle, clothing, or jewelry.

Geenee’s Virtual Try-On Solutions 

With the new suite of virtual try-on solutions, retailers and e-commerce brands can offer their customers a complete experience. Geenee’s virtual try-on solutions include full-body virtual try-on for products like T-shirts, dresses, skirts, pants, jackets, and sweaters, as well as try-on for beauty products and accessories such as handbags, jewelry, glasses, and hats, and other headworn accessories.

full body virtual try-on Geenee AR

Moreover, the company’s virtual try-on solutions are size-inclusive and support a wide range of body types. This is extremely important for customers who want to look not just for the right size, but for garments that compliment their body and make them feel more confident.

“Augmented reality helps consumers make informed and confident purchasing decisions faster than ever before,” said Heather Lipner, Geenee AR’s Head of Product Design and Creative, in a press release shared with ARPost. “Will it fit? Will it look good? To see how something looks on your own face or body will trigger the confidence to purchase – the key driver for e-commerce success.” 

In addition to virtual try-on, the company also offers true-size AR for home goods like furniture and appliances.

Key Features of Geenee’s Virtual Try-On Solutions

Geenee offers a complete suite of solutions for online and offline retail stores. The main features of the virtual try-on solutions include:

  • E-commerce point of sale – web-based full body and face tracking, allowing customers to try all types of products, from head to feet;
  • Onsite mirrors – AR mirrors which allow customers to try on products in store without going to a changing booth;
  • Embedded ads – thanks to the company’s partnership with AudienceX, brands can offer virtual try-on experiences within their online ads across various websites and social media platforms.

Brands Report Positive Results After Implementing the VTO Solutions

So far, several fashion, beauty, and home goods brands have used Geenee’s virtual try-on solutions, and some of the results they shared with the company include:

  • For eyewear: 81% increase in add-to-cart;
  • For fashion products: 24% decrease in returned products;
  • For accessories: a 25% increase in conversion rates;
  • For home goods: a 67% increase in conversions and a 38% decrease in product returns.

virtual try-on accessories Geenee AR

These results confirm the vision of the CTO of Geenee, Evgeny Peshkov.

“Virtual try-on brings e-commerce to the next level. Being able to see how something actually fits rather than guessing based on 2D photos simplifies the customer’s decision,” Peshkov said.  “The number of advanced techniques built and fine-tuned specifically for this task allow for a high level of realism and fidelity. Geenee’s web-first VTO solution is ready out-of-the-box and can be easily integrated with any e-commerce platform.”

Experience Virtual Try-On by Geenee

Geeenee AR offers both brands and consumers the chance to test their latest VTO solutions. Anyone can test a demo version on a desktop or mobile here.

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Top 5 E-Commerce AR and VR Trends To Follow in 2023

AR and VR are two of the most promising technologies of the modern era. Both can potentially revolutionize how we interact with the world around us. However, these technologies have taken a long time to reach their full potential.

While AR and VR have been around for decades, it wasn’t until recently that they offered a quality experience without being too limited by technological constraints or not being portable enough for widespread use.

Nevertheless, they’ve been making waves in many industries. And now, the e-commerce industry is hopping on board. Statista reports that by 2023, there will be 1.4 billion AR devices worldwide, projected to rise to 1.73 billion by 2024.

Number of mobile augmented reality (AR) active user devices worldwide from 2019 to 2024 - Statista
Source: Statista

What should we expect from AR and VR in 2023 and beyond? In this article, we will explore the potential of AR and VR for e-commerce and how they can enhance your shopping experience.

1. Increased Adoption of AR in E-Commerce

According to a recent survey, 38% of marketers reported using AR in 2022. It’s a significant increase from the 23% reported in 2017. And it’s understandable, given AR technology’s benefits to e-commerce customers.

For example, it allows them to feel like they’re physically interacting with products in a brick-and-mortar store while being online. AR can also help consumers visualize how products will look in their homes or on their bodies, improving the shopping experience and leading to more informed purchasing decisions and fewer returns.

Looking ahead to 2023, there are six exciting trends in the AR shopping space to keep an eye on. They are:

1. Social Media Apps and Camera Filters

Social media apps and camera filters, with Snapchat and Instagram leading the charge by incorporating AR into their platforms. Brands can use SnapAR Lens Studio or Meta Spark to create engaging AR filters and lenses that bring products to life. A case in point is Gucci.

Gucci AR instagram filter
Screenshots taken on the official Gucci Instagram account

2. Virtual Try-On Technology

Virtual try-on technology to see how products look on shoppers like on the Sephora Snapchat page.

Sephora Snapcaht Lens
Screenshots taken on the official Sephora Snapchat account

3. Virtual Showrooms

Virtual showrooms are similar to try-on but involve the buyer flipping the camera around. For example, it’s popular among furniture stores like EQ3.

virtual showroom EQ3
Screenshots taken on the official EQ3 website

4. Better AR Hardware Options

Better AR hardware options, caused by innovations in mobile technology, such as LiDAR and ToF (depth sensing hardware). Companies like Google, Microsoft, Lenovo, and Vuzix are developing smart glasses to enhance the AR experience.

5. AR Mirrors

AR mirrors for in-store shopping, assisting buyers who are in-store and either don’t want to test various alternatives or can’t for whatever reasons.

6. Gamifying

Gamifying in-store shopping to connect physical products with apps, creating a fun and interactive shopping experience.

2. VR-Enabled Online Shopping Experiences

VR creates an immersive visual environment, including 360-degree videos, photos, product demos, and complex experiences using devices such as the HTC Vive or Oculus Quest.

Unlike AR, VR is entirely simulated and disconnected from the physical world. VR can benefit businesses in various ways, such as:

  • virtual tours of showrooms and stores;
  • visualization of products;
  • greater user engagement;
  • increased consumer trust;
  • enhanced conversion rates;
  • better retention rates;
  • improved customer service.

However, it’s essential to remember the “shiny toy syndrome” and avoid it. Ensure that VR experiences align with your business goals and customer needs before opting for them. E-commerce stores can use VR for the following purposes:

  • virtual stores with virtual clothing racks, an opportunity to meet with friends and shop together online;
  • “try before you buy”;
  • in-store experiences;
  • live events;
  • interactive education.

3. Introducing AI Into AR and VR Solutions

Artificial intelligence can integrate with AR and VR technologies to revolutionize the shopping experience. AI-powered 3D representation of products in a user’s environment can increase conversions. How? Here is how AI can enhance virtual experiences:

1. Object Recognition

AR and VR experiences can adjust to the user’s movements and actions thanks to AI algorithms’ ability to detect and track things in real time.

2. Computer Vision

It involves image recognition and tracking, enabling the system to respond to the environment.

3. Natural Language Processing (NLP)

NLP is about using voice commands for people to explore and interact with virtual worlds.

4. Predictive Analytics

As AI can predict user behavior, merchants can build personalized and proactive experiences.

5. Usage Analytics

AI can also help analyze usage data and client feedback. You can optimize your AR/VR services and boost buyer satisfaction based on the results.

6. Personalized Experiences

One of the ways to employ customer insights is to tailor offers to their tastes. It can boost satisfaction and sales.

4. Creating Digital Twins

The past year has seen an increase in AR and 3D technology use by fashion brands to boost sales and brand recognition in physical and virtual worlds. And in 2023, we can expect more brands to utilize AR innovatively.

It includes the ability to try on digital versions of physical clothing on your avatar. Another example is unlocking special effects for physical apparel. Some brands create digital-only looks that users can capture on camera and share on social media.

This trend becomes possible thanks to avatar platforms and AR features such as image targets and body tracking. So brands can offer and sell virtual goods. And with NFC (Near Field Communication) and QR codes embedded in physical apparel, you can transform one thing (for example, a T-shirt) into infinite designs.

5. Security Concerns Over the Usage of AR and VR

Consumers are increasingly concerned about privacy, security, and safety in computing. The metaverse, new headsets, and more AR and VR content have made safety a greater focus. Devices can now gather more information through eye and hand tracking. AR also relies on spatial data to immerse users. That’s why customers remain skeptical about using such devices daily.

How can people safely enjoy digital realities? We need new frameworks, regulations, and social contracts prioritizing safety. All these require collaboration through working groups, policy and standard discussions, and new software solutions for moderation and cyber threats.

Final Word

To sum up, AR and VR can enhance the e-commerce industry by improving the customer experience, driving more engagement, and cutting costs. But there are many challenges to overcome before these technologies can become mainstream.

For example, some websites are incompatible with VR headsets or AR apps. Why? The reason is that they were not built with those devices in mind. And not everyone owns a headset or smartphone capable of using these technologies.

That’s why e-commerce merchants should take advantage of these new opportunities to not lose potential clients due to incompatibility issues. As these technologies get better, more online stores will use AR and VR to give shoppers immersive shopping experiences. The future of e-commerce is exciting. And augmented and virtual reality are sure to play a significant role in shaping it.

Guest Post


About the Guest Author(s)

Art Malkovich

Art Malkovich

Art Malkovich is CEO and co-founder of Onilab, an e-commerce development company. He has about 10 years of experience in team management and web development. He is passionate about keeping up with recent technologies and working on innovative projects like headless commerce solutions and PWAs in particular.

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