Getting Started with Augmented Reality in eCommerce

Design App development Retail Customer Experience January 8, 2025

Getting Started with Augmented Reality in e Commerce Artboard 12

Modern shoppers prioritize frictionless, immersive, and hyper-personalized experiences, prodding businesses to innovate and improve. Findings from Deloitte show that 71% of consumers would increase their shopping frequency if AR applications were integrated into their retail experiences.

Traditional shopping offers a tangible, one-on-one connection with products. AR commerce revives this through hyper-realistic, immersive experiences.

You may like to read: What Are the Top Features Your Ecommerce Mobile App Must Have?

AR in E-Commerce - the Present and the Future

AR in eCommerce was once a novelty, with few brands experimenting with basic features. Shopping was largely a static, screen-based experience, where customers could only view products from limited angles.

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Projected Growth Over Time

The global AR shopping market is projected to grow from an estimated value of US$ 4.9 billion in 2024 to US$ 58 billion by 2034, exhibiting a compound annual growth rate (CAGR) of 28% during the forecast period.

Between 2019 and 2023, the AR shopping market experienced a CAGR of 30.8%, indicating rapid adoption and integration of AR technologies in e-commerce during this period.

The growing demand for virtual try-on features and interactive product visualizations is driving strong growth in the solutions segment of the AR shopping market. This segment is expected to grow at an impressive CAGR of 27.8% from 2024 to 2034

The lines between physical and digital shopping could blur, creating a fully integrated, frictionless retail environment within retail apps.

Benefits of AR for DTC Brands

1. Enhanced Customer Engagement

AR creates interactive, immersive shopping experiences, keeping customers engaged longer. AR ecommerce experiences are 200% more engaging than non-AR ones (Mindshare study). For example: Nike’s AR tools on Snapchat let customers customize and virtually try on shoes.

2. Improved Product Visualization

Customers can visualize products in their own environment, aiding decision-making. Better visualization leads to fewer misunderstandings and enhanced satisfaction. For instance, IKEA’s AR app lets users virtually place furniture, ensuring it fits their space.

3. Reduced Return Rates

AR helps customers make confident purchase decisions by offering realistic previews.

4. Increased Sales and Conversions

AR boosts buyer confidence, encouraging more purchases.

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Types of AR Applications in E-commerce

Marker-based AR

Marker-based AR, or image recognition AR, uses visual markers like QR codes or specific images to activate digital content.

The main drawback of marker-based AR is its reliance on mobile devices like smartphones or tablets. Additionally, users often need to download a specific app for AR on Android, to access these experiences.

Markerless AR

Markerless AR is a popular choice in online shopping and gaming due to its flexibility and ease of use, despite being more complex and costly to implement.

Instead of relying on markers, it scans the real environment and positions digital elements on identifiable features, such as flat surfaces, using geometry.

Location-based AR

It is a type of markerless AR and uses GPS to create AR experiences tied to specific locations. It isn’t as common as marker-based and markerless AR and is more tied to the travel and tourism industry.

Projection-based AR

Projects virtual objects directly onto real-world surfaces. Projection-based AR is usually employed for in-person events like store openings or pop-up shops, where holograms can enhance the experience.

How E-commerce Businesses Are Using AR

Virtual Try-On Solutions

Let customers try products like clothes, glasses, or makeup virtually before purchasing. For example, Nike uses AR to help customers find the perfect shoe size by scanning their feet.

Preview Placement

Help buyers visualize furniture or decor in their spaces using AR. For example, IKEA’s AR app allows users to see how furniture fits and looks in their rooms.

Interactive User Manuals

Use AR to provide intuitive guides for product assembly or usage. Ikea's AssembleAR app uses ARKit to overlay animations and life-size references on top of the paper manual's diagrams and layouts

Social Media Filters

Engage audiences with branded AR filters on platforms like Instagram and Snapchat. For instance, Snapchat’s AR lens lets users virtually try on Puma sneakers and purchase them directly.

3 Steps to Bring AR to Your E-commerce Store

1. Choose the Right AR Technology

Select AR types like markerless or marker-based, as per your products and target audience needs.

Apple’s ARKit and Google’s ARCore are leading platforms for developing mobile AR applications. Vuforia excels in creating versatile AR experiences across multiple devices and industries, while Wikitude provides advanced tools for AR development on mobile devices and smart glasses.

2. Create AR Content

Develop high-quality 3D models or animations using tools like Blender, Autodesk Maya, Sketchfab or Adobe Aero to closely replicate the physical product.

3. Integrate AR into Your Platform

Embed AR features into your website or app using WebAR or app-based solutions, ensuring seamless usability and cross-device compatibility.

Augmented reality is a game-changer in modern shopping. By integrating AR, businesses can elevate customer experiences, reduce return rates, and stay ahead of competitors. Embrace AR today and transform your e-commerce store into a futuristic shopping destination.

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mohan
Written By

A technology veteran, investor and serial entrepreneur, Mohan has developed services for clients including Singapore’s leading advertising companies, fans of Bollywood movies and companies that need mobile apps.

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