logo smp X LS copy

24 key numbers you have to know about Augmented Reality (AR)

Table of Contents

60% [1] of consumers today say that they wish to be able to envision the aspect of a product in their own environment. This hints at augmented reality (AR). Consumers are ever more expressive concerning their desire for innovative brand experiences. 

As they encourage consumers to purchase, they also say a lot about a brand in its ability to be creative and capture its customers’ interest. 

Today, the retail sector is blooming with new AR features, especially in the luxury industry. Brands such as Dior, Chanel, and Coach all invested in this technology in the hope that it brings a futuristic light on their brand experience. Therefore, it is safe to say that the transition is inevitable.

Discover in this article 24 key numbers about augmented reality and examples of brands’ consumer experiences. Will you change your perspective on AR? 

What is Augmented Reality?

AR visual of Chloé bag
According to McKinsey, augmented reality is information that has no link to the reality of things.  It is the interaction of a user with a 3D visual overlaying the person’s environment. 
Transforming your consumers’ living room into a virtual showroom, AR enables consumers to visualize their product: 

 

  • in real time,
  • while it is being customized,
  • in the environment of their choice,
  • on any device (tablets, smartphones…)
  • within a 360° angle view,
  • in the slightest detail.
Learn more about augmented reality

Key Augmented Reality market statistics

Gucci's AR filter
Gucci's AR filter
The AR market has been in full growth for a couple of years already. It is a promising market in which brands continuously invest: the numbers have proven its attractiveness. Whether it is for shopping of for promotion, AR has been an attractive feature for certain brands. Let’s take a look at the AR market: 

88.4 billion

The global AR market is expected to be valued at $USD 88.4 billion in 2026 [3]
Augmented Reality solution developed by SmartPixels
  • The growth rate of the AR global market is estimated at around 13.5% [4]

     

  • The mobile AR market is expected to grow to 36.26 billion USD$ in 2026 [5]

     

  • The market will be spread to the extent that in 2025 around 3/4th of people worldwide will become frequent AR users [6]

     

  • AR consumers are expected to reach 4.3 billion in 2025 in comparison to 1.5 billion in 2021

     

     

On the market of augmented reality, we have seen that the interest in the use is diverse and represents a real opportunity: 
  • 6/10 consumers consider shopping as their number one reason to use augmented reality [7]
  •  56% of brands are interested in implementing AR to scan product information [8] 
 
The high potential of the market makes it attractive for brands to start investing. Some see it as a chance that is worth seizing and so do their customers. 

Better customer experience

AR visual of the Chloé C-bag
AR visual of the Chloé C-bag
Additionally, AR is an opportunity for marketing, retail and communication teams to take the brand experience to the next level. The possibility of a gamified consumer journey is made possible thanks to an amusing, dynamic, and simple view of the products before the client’s purchase. As such:
 

 

  • 71% [9] of consumers say they would shop more often at a store if that same store implemented AR solutions.
  • 94% of leaders in business believe that the primary motivation behind AR users is the enjoyment it brings. [10]
  • 55% of consumers think AR enables a more exciting shopping experience. [11]
  • 40% of consumers say that they would be ready to pay a premium if they could customize their product in AR [12]

     


According to a study by Snapchat and Ipsos [13]:
  • 79% of buyers have an interest in using AR to interact with a product before they buy it.
  • 65% of consumers say that Augmented Reality enables an easier shopping experience.

     

    Furthermore, in the luxury field: 

     

  • 7% of Gen X luxury buyers state that AR is a deciding factor for their purchases, in the Uk against 6% for Gen Z shoppers.  
 
Finally, it is more natural to try on furniture inside one’s home before purchase. That is possible thanks to 3D renderings and augmented reality solutions for eCommerce:
  • Apple has stated that consumers would be 11 times more inclined to buy furniture if they were offered AR solutions during the purchase. [14]
     

    Through the diverse features that can be implemented with augmented reality (product customization, full viewing of a product…), the customer experience is enhanced and so is their satisfaction. Consequently, Augmented Reality should be added to brands’ technology toolkit to boost their consumer journey.
    Be one of the satisfied users and try it out yourself
QR code to visualize a Dunhill suit in AR
Visualize a Dunhill suit in AR

Increased performance and brand image

Augmented Reality conversion rates among different age groups
Augmented Reality conversion rates across different age groups

Indeed, augmented reality can have a direct positive impact on KPIs such as: 

 
  • AR is said to increase conversion rates by 40%. [15]

     

  • 80% of brands who use AR say it helps them increase sales and performance metrics and get new customers. [16]

     

  • 3/5 e-commerce brands say that AR is essential in terms of digital marketing. [17]

     

  • 1% of retailers in the world have incorporated AR technology in their operations. [18]  

200%

AR representations of products are 200% more captivating than their non-AR counterparts. [19]
AR filter by Chanel

Still according to the study undertaken by Snapchat and Ipsos: 

 

  • 75% of brands who use AR in their operations consider it to enhance the consumer experience and their loyalty thus increasing the number of consumers for a brand.  

 

  • 79% of brands state that AR technology will help reduce returns made by customers 

 

  • Around 80% of brands that have used AR lenses and/or filters were proven to have improved their brand awareness 

 

  • 90% of brands state that with AR, the range of clothing and footwear that can be “tried on easily” is wider 

 

Therefore, adopting AR technology is beneficial to both your consumers and your brand. 

 

Brands that have leveraged AR experiences: the example of Coach

Coach's AR mirror
Coach's AR mirror

From Gucci, Dior, Burberry, Piaget, Coach, and Louis Vuitton to Valentino, all these brands have used augmented reality one way or another to embrace their innovative sides further and offer their consumers a better customer journey. 

 

Some brands created immersive experiences to promote their products to their customers such as virtual try-on features based on augmented reality technology. Dior, Nike, Prada, or Piaget have done so with various products from their collections.  

 

For example, Coach partnered with Zero 10 to create an immersive experience for their consumers through an augmented reality mirror. Passersby and customers could admire their appearance with a Coach Tabby bag exposed in real time, while the people would stare at themselves. The experience was displayed in-store and on the store’s window. 

 

Developing augmented reality solutions for e-commerce purchases or as a promotion strategy, has become an increasing part of the luxury market these days. 

Discover how brands leveraged the power of mobile AR

Explore Augmented Reality solutions for your brand with SmartPixels

If you wish to be an actor in the transition and not a spectator, then SmartPixels can help you along the way. We provide you with the right 3D file format and augmented reality experiences.  

 

Leveraging our glTF file format, you can now transform your consumer experience and renew your brand’s promotion strategy. 

Sources:

 

[1] https://apnews.com/press-release/globe-newswire/technology-business-lifestyle-79fe640885f900736beed0fe33f7d972 

 

[3] & [4] https://www.marketsandmarkets.com/Market-Reports/augmented-reality-market-82758548.html 

 

[5] https://www.statista.com/statistics/282453/mobile-augmented-reality-market-size/ 

 

[6] 2021 Global Deloitte Digital Study commissioned by Snap Inc

 

[7], [13], [16], [17] 2022 Ipsos Augmentality Shift Study commissioned by Snap Inc. 

 

[8] https://forbusiness.snapchat.com/fr-FR/augmentalityshift-us 

 

[9] https://www.warc.com/newsandopinion/opinion/how-augmented-reality-is-set-to-transform-retail/en-gb/3967 

 

[10], [11], [15], [18], [19] https://learn.g2.com/augmented-reality-statistics#:~:text=Augmented%20reality%20growth%20statistics,-The%20growth%20of&text=The%20AR%20market%20is%20projected,are%20increasing%20their%20AR%20usage.

 

[12] https://www.syniverse.com/blog/mobile-marketing/augmented-reality-hospitality-industry/#:~:text=The%20survey%20shows%20that%2061,already%20using%20AR%20while%20shopping.