Why Using Augmented Reality in Advertising?
AR technology is already present in various industries, and it is also growing in the advertisement sector. According to the Drum reports, AR can capture people’s attention for over 85 seconds, increase interaction rates by 20 percent, and improve click-through rates to purchase by 33 percent. The digital advertising market is growing: worldwide spending on digital ads is expected to reach $517 billion by 2023, while in 2018 the worldwide spending was 283 billion.
This cutting-edge technology has a strong engaging potential. In fact it has the advantage to create a stronger emotional connection with consumers thanks to the very immersive aspect of the ad. The interaction creates entertainment and involvement that increase the memorability of the experience and the engagement of the consumer toward the brand.
Augmented Reality ads are very immersive, the consumer is much more involved by the ad, does not see it simply with a distance as for traditional ads, but sees it almost as if it was in real life around him. He and/or his reality become part of the ad, and this induce stronger emotions for the person experiencing the AR ad. So, because of this lifelike and involving ad, an emotional connection is more easily created between the brand and the potential consumer.
Emotional connections are important for building brand awareness. People recall easily brands that had an emotional impact on them and it also increase the probability of turning occasional buyers in loyal customers. The use of Augmented Reality creates positive associations with the brand using it in the mind of consumers, and in particular it gives to the brand an innovative image.
Boosting The Conversion Rate
Not only can an ad in augmented reality boost sales through better brand awareness and associations, but also thanks to the possibility of turning a simple ad in direct selling point. For example a fashion magazine in which you can see fashion models pictures, could also have a feature in AR in which a person could directly buy the piece of clothes he likes by simply framing it with his smartphone. Same could be done with an ad in the street or on a shop’s vitrine for instance.
This would help increasing the conversion of people into consumers because of its convenience aspect, but also because it gives the opportunity for the company that is advertising of benefiting from impulsive purchases.
AR ads can strongly increase revenue while decreasing costs at the same time since AR ads are relatively not expensive compared to printed ads, augmented reality is a powerful tool that is going to bloom soon!