Photo by istock.com
by Rob Weaver
Source: www.retailcustomerexperience.com, January 2021
Rob Weaver, chief revenue officer at Vertebrae, explains how augmented reality technology supports the blended experiences that will continue to dominate shopping in the new year.
Many retailers are saying “good riddance” to a year fraught with challenges — but as they turn their sights toward 2021, the only accurate prediction is that uncertainty will linger.
With consumer behaviors changing rapidly, it’s crucial to prioritize experiences that seamlessly bridge online and offline worlds starting with immersive commerce, which supports an array of key 2021 priorities.
There’s no doubt that 2020 was transformational for retail. With an 87% uptick in e-commerce penetration, online shopping has seen a decade’s worth of growth within a few short months, and consumers are unlikely to go back. Not only did shoppers flock to their screens during widespread stay-at-home orders in the spring, but they’ve stuck with the habit through the summer and the holiday season, when a third of all retail purchases are set to occur online.
The sudden shift means that even as shoppers return to stores in greater numbers in 2021, digital experiences will dominate — requiring retailers to re-center their businesses and prioritize online and omnichannel offerings. Immersive commerce, which uses augmented reality and 3D to bridge online and offline worlds, should be a priority, especially when delivered via a web-based platform that maximizes agility and potential delivery touchpoints.
3D and AR shopping supports key omnichannel goals including:
Mobile sales growth. With consumers away from office workstations relying on their smartphones more than ever to shop, it’s crucial to provide engaging experiences unique to the medium. By marrying smartphone camera input with life-like product renderings, merchants deliver memorable experiences that also provide information crucial to driving purchase decisions. Shoppers can gauge accurate size and scale in context with surroundings and zoom in to view items from every angle — a stark contrast with traditional mobile shopping interfaces, whose inadequate images and sparse product information presented hurdles to purchasing.
Indeed, four in 10 shoppers in a recent Vertebrae survey said AR was beneficial because it helped them make informed purchase decisions, while 30% said it enables up-close examination of products. Vertebrae partner goodr, which makes sunglasses for runners and other outdoor athletes, found shoppers engaging with virtual try-on experiences on its mobile site were 41% more likely to convert than those who don’t.
Online-to-offline transitions. While immersive commerce is proven to boost the e-commerce bottom line, it also helps boost engagement and sales organization-wide. Shoppers viewing products in 3D and AR online can hone their search to a small selection of products, then make appointments or reservations to continue their consideration in-store, enabling physical outlets to create bespoke clienteling experiences that pick up the conversation in context. Toyota used Vertebrae’s platform to create 3D and AR experiences for half its U.S. model lineup, enabling shoppers to walk around virtual models of cars “parked” in their own driveways and to activate call-out descriptions of details and features — priming them for test-drives at the dealership.
New ways to share shopping fun. With 38% of shoppers in Vertebrae’s survey saying they still won’t touch or try items in stores because of fears around COVID-19, immersive commerce provides a viable alternative, with accurate size and scale features that display products in proportion to users’ bodies and facial features. Close to half of Vertebrae survey respondents said AR gives them a try-before-you-buy experience.
Furthermore, Web-based immersive tools can increasingly be syndicated to social media platforms, giving shoppers the opportunity to share potential finds prior to purchase. A third of consumers in Vertebrae’s survey said they found AR fun and engaging — giving retailers the opportunity to recreate the sensation of fanciful shopping exploration with friends.
Streamlined store inventory. In 2020, retailers got a crash course in rapid-response supply chain and inventory management — and the future promises more of the same, whether due to pandemic flareups and shutdowns, climate change-related weather interruptions, international trade conflicts, or all of the above.
Additional agility is in order as sellers retool store footprints to accommodate ship-from-store and online order pickup services, potentially reducing inventory; some brands have gone so far as to operate “inventory free” outlets that function more as showrooms or ateliers. Immersive tools can help bring merchandise to life that’s not on store shelves, showcasing brand innovation and boosting confidence in purchasing items without physically experiencing them in person.
Retail brands that have withstood the onslaught of challenges in 2020 are heading into uncharted territory in 2021 — a journey they must undertake with agility and a willingness to remake their businesses with digital experiences at the center. Immersive commerce is key to sellers’ readiness to face whatever opportunities and challenges await.
Rob Weaver is chief revenue officer at Vertebrae