Over the years, retail industry has witnessed a number of passing fads. Fashions may come and go, but one thing seems certain: ways in which products are sold continue to evolve at a rapid pace. One of the techs on a rising curve, AR has the potential to revolutionize retail.

Online shopping may be all the rage now, but brick and mortar stores have not said the final word just yet. Contrary to their online counterparts, physical stores still provide shoppers with a unique possibility to see, try, smell, or taste the product live. For a number of digital-native brands, stores have turned into “showrooms.” AR gives traditional stores a chance to build on this by creating the unprecedented experience where digital and physical shopping merge together seamlessly.

Creating awareness

AR offers a unique opportunity to tailor what is presented to a shopper based on demographic profiles and past in-store behaviour. Consequently, firms can tie standard awareness-raising efforts to a live recommendation engine. Some brands already team up with AR platforms in a bid to generate interactive retail experiences for their clients. Given a growing sophistication of AR, in-store product recommendations are likely to become even more personalized.

Growing engagement

How to keep customers engaged? The majority of retailers believe in thoroughly thought out and meaningful interactions at every touch point. Augmented reality can be a powerful tool to create such interactions. Brands already offer virtual try-on experiences to raise their customers’ engagement. By using AR to give shoppers access to experiences such as product showcases, fashion shows, or celebrity endorsements, brands can enhance the shopping experience and start to effectively compete with their online-only rivals.

Converting attention to action

It remains to be seen how successful AR will be in optimizing conversion. Mobile technology is already applied by some retailers to make magazine ads instantly shoppable. In near future, shoppers are likely to see localized deals and offers within the premises of a particular store and its immediate surroundings (think of geo-fencing). These offerings can be personalized based on historical purchase behaviour and augmented with recommendations based on predictions of future shopping patterns. An ultimate goal of conversion optimisation, an omnichannel CRM system with fully automated and personalized one-to-one marketing will monitor and track shoppers between real-world and digital shopping.

Building loyalty

AR offers great opportunities when it comes to loyalty programs. The potential is huge. Presently, AR applications allow stores to incorporate AR into existing programs, bridging the gap between the online and in-person experiences of shoppers. Gradually, shoppers become more used to the idea that AR can vastly improve their shopping experience. Consequently, the integration between the online and offline will increase. Brands and retailers will then be able to develop customized loyalty programs that perfectly match shopper’s interests as well as their online and offline behaviours. A possible standard application of the future, a virtual shopping assistant will help customers make purchases from retailers both online and offline, as well as provide advice on how to best use loyalty programs.

Source: www.strategy-business.com