Strategy April 06, 2022
Q&A: Why E-Commerce and Augmented Reality Go Hand in Hand
Raphael Menesclou, chief marketing officer for e-commerce analytics platform DataHawk, shares insights on why AR is a natural fit for online shopping.
Augmented reality (AR) is moving beyond wacky Snapchat filters and critter-catching mobile games like Pokémon Go. These days, the ability to impose virtual elements onto the real world is becoming an indispensable element of e-commerce shopping. Rather than just create a virtual sample to show a client how their logo would look on particular promotional products, why not have an AR element to show exactly how that branded tee would look on them or how a sleek desk lamp might spruce up their office décor?
Earlier this year, Pinterest introduced Try On for Home Décor, a feature that uses AR to let shoppers virtually place items from retailers like Walmart, West Elm and Wayfair in their home using the Pinterest Lens camera on their phones before committing to a purchase. The social media site also has a “Try On” element for testing makeup before buying online. People are five times more likely to make a purchase after interacting with a Try On-enabled Pin than a standard Pin, according to Pinterest.
Raphael Menesclou, chief marketing officer of DataHawk, an e-commerce analytics software, shares his insights on why AR is becoming an integral part of e-commerce.
Q: What are some of the latest developments in AR, and why are they important?
A: To the general public, augmented reality may still seem to be the stuff of science fiction, straight out of “The Jetsons.” But, in reality, many companies actually are incorporating AR experiences into everyday consumers’ lives. Why? Because e-commerce shoppers during the pandemic and beyond wanted to get to know their products on an intimate level, and they can do that from the comfort of their own homes with AR.
Q: When was AR first incorporated into e-commerce, and how has it evolved?
A: I was surprised to learn that the first AR was invented in 1968 at Harvard University. But use in e-commerce came much later. In 2010, brands began using AR for “digital try-on” of jewelry and watches, and even the Apple Watch was available to be tried on using AR. Now, more and more brands are incorporating it because this deeply experiential technology does, in fact, increase product sales.
Q: How important is it to have some sort of AR functionality to let people try on or try out products before they buy?
A: It’s only important if you want to create a sense of desire for your products and, of course, boost your sales. Think about it: What makes you want to buy a car more? Seeing a 2-D photo online, or sitting in the driver’s seat? Smelling the brand-new leather, touching the steering wheel, and sliding your hands across the smooth curves of the body of the car? Which experience allows you to picture yourself owning that car more?
Q: What are the limitations of AR right now?
A: Despite the increased willingness of brands and companies to deploy AR technology, research shows that consumers are less willing to welcome anything too robotic into their lives. They still prefer to connect emotionally with brands and products and may view AR as too cold.
Q: What do you think the future of AR and e-commerce will be?
A: Taking into consideration the current limitations, industrial designers and marketers are designing AR technology to be used in e-commerce applications with a human touch in mind. It’s important to find ways to bridge the gap between the use of technology and digitization in e-commerce, and the emotional elements longed for, and which are, in fact, necessary in the buying process.