Consumers Are Ready for AR—Is Your Brand?

Editor’s note: This column is part of a series with Snap on augmented reality. Below, David Roter, vp, global solutions, cites new research that indicates AR's potential outside the realm of commerce, specially for entertainment experiences. When it comes to the latest trends, it’s no secret that younger generations are often ahead of the game—and their behaviors drive brand advertising trends. The brands that are doing it right meet younger audiences where they are by listening to and absorbing what they need and then finding ways to authentically relate and connect to this essential audience. Some trends may be fleeting, but others will go on to reshape the way we do business—we must look to these younger generations for signals. For some time now, Gen Z has been signaling demand and setting the bar for how we use augmented reality. Brands have a unique window of opportunity to drive in, catch up and start shaping the way they deliver and exceed the expectations of this influential and growing audience. Look to consumers to understand AR’s potential There’s an AR revolution happening right now, and it’s changing the way people connect with the world around them. By 2025, nearly 75% of the global population—and almost all those who use social and communications apps—will be regular AR users. But there’s a significant disconnect between what brands think consumers want versus what they’re actually looking for. In fact, 90% of brands think AR is used primarily for fun—but only 53% of consumers think of it this way. Snap, Ipsos: Consumers Begin Turning to AR for Practical Purposes, Like Shopping To reach this important group of consumers, brands need to acknowledge the shift from AR intended purely for entertainment toward it becoming a tool with increasingly utilitarian purposes. That’s why we’re seeing companies like Walmart and JCPenney integrating AR solutions directly into their ecommerce experiences. Use AR to make lives better From shopping and trying on makeup to learning a language and tracking fitness goals, today’s consumers are using AR to enhance their everyday experiences, so brands need to consider their audience, what they want and how AR can enhance their every day. Six out of 10 people say that shopping is their primary reason for using AR, with 79% of consumers expressing interest in using it to interact with products before buying. AR goes beyond shopping, too: 67% of consumers are interested in experiencing AR at events and conferences, and 74% want to use it for entertainment at concerts and sporting events. Imagine enhancing fans’ experiences at concerts with AR creations that dazzle and excite—Live Nation did just that for the Governors Ball Music Festival in New York, allowing festival-goers to decorate the sky with Lenses, connect with friends and unlock even more AR experiences. The possibilities are endless, and audiences are craving innovative, immersive experiences. When brands lean in, they see results Consumers are already exploring new horizons in augmented reality, and they’re eager for more. Businesses that build immersive, entertaining AR experiences that put their customers at the center of their brand see increased awareness, consideration and performance. Plus, businesses benefit from the share factor. Ever hear the phrase, “Pics or it didn’t happen?” On Snapchat, AR experiences are a flywheel for brand discovery and amplification. When a consumer discovers a brand’s AR lens or filter, they’re able to play with it, personalize it and share their creation with friends, giving businesses added reach and exposure. Experiential Marketing Sells a Moment, Not a Product AR also offers a way for brands to make a real impact and stay top of mind with their audiences, with 75% of brands stating that AR improves loyalty and the customer experience. Four out of five also said it helps drive sales, performance metrics and new customer acquisition. It’s clear: AR offers incredible potential for success—and happy customers!