Augmented reality (AR) technology is becoming more prominent among both consumers and brands, with behaviours around AR usage starting to shift, according to Snap and Ipsos research, Augmentality Shift.
Among the key findings in Australia, the report found that there is a disconnect between how brands and consumers define AR use. Brands over-estimate consumer desire to use AR for fun by 1.9x, but only half (49%) of consumers think of it this way, with consumers now most interested in shifting future usage towards utility.
Shopping is the #1 reason consumers use AR, with 53% affirming that it makes retail experiences easier, better and faster overall. Three in five (60%) consumers agree that AR helps them shop in new and exciting ways.
74% of consumers believe AR has the potential to help the environment as AR helps reduce returns and help people make more accurate choices.
The research also found that Australian brands that are already using AR in their campaigns have seen positive business results:
- 80% of brands that use AR filters, lenses or effects improved their brand awareness.
- 90% of brands that use AR claim AR helps them to improve their brand engagement and appeal to younger audiences.
- 78% of brands who use AR state it helps to drive sales, acquire new customers and drive performance metrics.
- 82% of brands agree AR allows products or events to feel more accessible.
- 68% of brands think that the number of returns a customer makes can be reduced by utilisation of AR in their marketing campaigns.
Haran Ramachandran, head of creative strategy at Snap ANZ, said: “AR usage on Snapchat is surging, with over 250 million Snapchatters engaging with AR every day on average.
“There is a rise in demand for AR experiences that bring greater utility to consumers’ daily lives, and brands have an opportunity to capture consumers' attention through these immersive brand experiences.
“While Snapchatters still love to use AR Lenses for entertainment and self expression, we’re excited to see more brands taking advantage of AR’s endless potential to provide true value for consumers and drive meaningful business results.”
Eduardo Mena, research director at Ipsos, said: “A powerful theme which emerged from our study is how brands and consumers just aren’t quite in the same place when it comes to AR.
“For many Australian consumers AR is a part of their daily lives, yet most brands still think they are predominantly using AR for fun. Shopping is the main reason consumers use AR, taking advantage of its potential to contextualise products, be more environmentally friendly, and more social.
“Our research also shows the growing expectations from consumers when it comes to AR, to help them to learn, or to navigate amongst others, and the possibilities are endless for brands.”
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