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5 Examples How Augmented Reality Solves Top E-commerce Challenges

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 With over 50% of purchases made from mobile — the purchasing path has changed. Many brands are losing customers or facing a slowdown in growth as consumers are getting more fastidious and pickier. And even more pressed for time.

According to Accenture’s report, 75% of them expect you as a brand to personalize your offers. Consumers want shopping experience to be centred around them across all touchpoints — mobile, web and in-store. Try on products. See them live. Taste. Wear.

But above all, they want the process to be about them. Be it unique and for them. Buy relationships with a brand, not just products. If they feel their needs are understood, they are sold.

So, how can you respond to these challenges? How to market to Gen Z given the fact that they’ll make up 40% of all consumers by 2020 and today’s strategies don’t work for them. 

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 Image source: www.besttechie.com

Here’s where augmented reality comes into play

 

  • Virtual try-on for customers to see if products suit them
  • AI skin analyzer for ultimate personalization
  • AR mirrors allowing to interact with your products and make a safe choice of the right ones

With augmented reality technologies, you can put customers at the centre of the shopping experience. Make it engaging. Fun. Help customers quickly choose products they want or need. Boost their satisfaction and eventually increase your conversions.

Here are 5 best use cases of how e-commerce brands applied augmented reality to solve their challenges and offer their consumers an innovative shopping experience.

 

1. L'Oreal Virtual Stylist for hygienic makeup testing

Researches state that millennials see in-store makeup testing unhygienic. A thing of the past. L’Oreal’s Virtual makeup stylist offers its consumers a convenient experience of trying on makeup via camera. 

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 Image source: www.sephoravirtualartist.com

You can see which lipstick suits you most and choose eyeshadows to go best with it. Test different products right on your face without leaving home. Once you find your perfect look, you can buy the products right within the app. With 35 mln downloads, Make-Up Genius got #1 lifestyle app in 47 countries. It got about 260m virtual product trials and helped L'Oreal to boost conversions.

  • 35 mln downloads
  • #1 lifestyle app in 47 countries
  • Multi-award winning, including Best Mobile AR App (Cannes Lion 2015)
  • Authentic virtual makeup app
  • Available on iOS and Android

 

2. Olay Skin Advisor for personalized product offers

The global skincare brand Olay noticed that 1/3 of women couldn't find the needed product when browsing the shelves and ended up their shopping without a purchase. They rolled out the AI-powered skin advisor to help women understand their skin type and chose products up to their needs.

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 Image source: mobilemarketingmagazine.com

With just a selfie, you get a full analysis of your skin, its age, and problems. Browse products to take care of it and buy them with a tap. Olay got 2x in conversion serving 5,000 to 7,000 users daily within the app.

  • Launched in August 2016
  • 2x in conversion rate
  • 5-min session length
  • Improved involvement of younger demographic
  • used over 1.2 million times
  • 5,000 to 7,000 users every day

 

3. Topshop virtual fitting room for in-store engagement

Shoppers who get into the dressing rooms convert more effectively. But who said it needs to be a physical one?

 

Topshop fashion retailer became the first brand to introduce AR fitting rooms where you can try on clothing virtually. What’s more, you can control the experience with gestures: waves of hands and clicking of invisible buttons directly in air. And see both the front and the back of the clothing on a 3D AR-powered screen.

  • First launched in May, 2011 in Moscow store
  • Try on different outfits
  • Real-time experience
  • Simple gestures-based virtual controls

 

4. Warby Parker Glasses for product visualization

Small products can be hard to sell as consumers prefer to visualize it. Augmented reality apps allow consumers to see themselves wearing products and buy it without leaving their homes.

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 Image source: screenshots from itunes.apple.com, Glasses by Warby Parker 

With Instagram’s "Poll” feature, realised in October 2017, users can ask questions and see the results from their friends and followers in real time as they vote. “Help me choose”/ “Vote for my best look” are today’s selfie trends for millennials that help brands to increases awareness and engage with new audiences in a creative way.

  • Released in October 2017
  • Measure facial features to find best frames
  • 4.9* rating on App Store 

I love the idea of the home try-on, which led me to Warby Parker in the first place, because I find that most glasses I’ve had prior didn’t look that great on me”.

Editors’ Notes @itunes.apple.com

Shopping for the right specs or sunnies is vexing enough without a salesperson hovering around you, claiming that every set of frames you try on looks amazing”.

HannahhtimS @itunes.apple.com

 

5. Ikea Place App for convenience

If you happened to buy a piece of furniture and then got disappointed about it since it failed to fit into your home, you are not alone. Ikea brand was among the first who introduced AR-powered shopping to their customers helping them save time and money by picking the right furniture that suits in their home spaces.

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 Image source: www.ikea.com

With the Ikea Place app, you can scan the room and place Ikea products virtually right in it.

Another Ikea’s app, The Dulux Visualiser, helps consumers pick paint for their walls by scanning a room and virtually painting it changing the colors in a tap.

Your Takeaways

  1. Among the top challenges that e-commerce face today are engaging millennials, understanding customers needs and providing personalization.
  2. Augmented reality is a great way to approach all of them. With ultimate personalization and virtual ‘home try-on’ experiences it enables, brands can boost their consumers' satisfaction and stand out among competitors.
  3. Top brands have enrolled their AR-powered apps that showed great results from boosting brand awareness to driving a significant increase in revenue. If you’re a retail or e-commerce brand looking to stay competitive, you don’t want to miss the new wave of augmented reality innovation.
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