The What, Why, and How of AR Advertising

Augmented Reality entered the advertising industry with a bang a couple of years back. If you are a gaming freak, then it is not possible that you have not played Pokemon’ Go. Pokemon’ Go is an AR-based mobile game and it emerged as a commercially successful game all around the globe at the time of its arrival in the gaming industry. AR’s scope is not just limited to gaming only. AR finds its immense applications in several other industries including advertising. AR encompasses breathtaking prospects from education to healthcare to retail, everywhere. AR is on the verge of changing how the digital advertising market functions and it is surely going to be a game-changer in 2020. Let’s understand how AR Advertising works and what are the benefits of adopting it for your business.

Why is AR gaining momentum in the Advertising Industry?

Have you seen Snapchat’s Shoppable AR ads? They contributed a lot to improve Snapchat’s business growth. Why is AR Advertising so popular today? Simply, because it is cool. Right? Though the underlying fact is that AR creates an immersive and engaging experience for its customers and therefore, it is now going mainstream in the advertising industry. AR is offering a plethora of opportunities for the business to interact more with the customers and establish a long term connection with them. Even playable ads are so hot right now that AR can be seen as a boon in the advertising world.

How AR Advertising brings more interaction to the table?

Let’s go over some of the reasons why the future of advertising belongs to AR and how AR brings more customers’ interaction on the table.

#1 Establishing Emotional Connections

  • Interactive and lifelike ads.
  • Encouraging customers to make purchases.
  • Increasing brand awareness.
  • Building a company’s reputation.

#2 Reducing Advertising Cost

  • Affordable advertising.
  • Reusable AR applications for several campaigns.
  • No need for printing images.

#3 Boosting Sales

  • Increasing sales volumes.
  • Virtual accessories selection.
  • Product customization.
  • Increasing revenue.

#4 Advanced Hyperlocal Advertising

  • Advanced ML algorithms for product recommendations.
  • Proper guidance on a smartphone’s screen.
  • Attracting more customers through AR ads.

How to incorporate AR Advertising into your Digital Strategy?

The best way to adopt AR for your advertising business is to look after what others are doing. Dominos is about to bring an application through which people can create their own virtual pizza and customize its toppings, flavors, etc. It will give you more cravings even before your pizza arrives. Zara, a well-known fashion brand is revolutionizing the way people shop by launching an AR-based app through which customers can point their smartphones at store windows to see clothing lines. So the gist of the story is you have to learn how other companies are integrating AR into their digital marketing strategy and then make one for your business. 

Top 4 AR Advertising Campaigns in 2020

AR Advertising has become a must-have strategy if you want to ace the marketing game in 2020. According to a report, AR ads can capture attention for more than 85 seconds, improving click-through rates by 33%. Imagine AR ads as a source of entertainment while waiting at railway stations or standing in long queues outside of governmental institutions. Why can’t people think of such amazing ways for brand promotion?

No wait, they already have. Let’s have a look over the top 4 AR advertising campaigns in 2020.

 

#1 Pepsi

Pepsi embedded AR technology into a bus shelter in London, making it appear as if a UFO heading straight towards the people of London. The video shot for this campaign is one of the most viewed advertising campaigns on YouTube.

 

Pepsi using AR for advertising

#2 Timberland

Timberland has created a virtual fitting room for the customers to take trials of clothes and accessories before actually buying them, significantly increasing the sales conversion rates.

 

Timberland using AR for advertising

#3 Uber

Uber is also in the same line by adding virtual adventures at its Zurich main station.

 

Uber using AR for advertising

#4 L’Oreal

Women generally choose to try anything they would like to purchase before actually buying it, whether it be makeup accessories or clothes. For physical stores, it is a bit hectic. L’Oreal in association with Perfect Corp. launched a YouCam Makeup AR app to assist their millions of female customers in purchasing makeup products.

 

L'oreal using AR for advertising

 

 

Key Challenges to be overcome in AR Advertising

  • Installing several Mobile Applications: Customers need to install several AR mobile applications in order to access different AR experiences.

  • Limitations in Hardware Implementation: AR technology needs high-quality graphics to ensure an enhanced digital delivery experience.

  • Not an Easy Development Process: Developing AR-based devices and apps is not a cakewalk. It requires proper expertise in the concerned field.

Lastly, it’s time to jump on the AR Advertising Bandwagon

Marketers can enjoy an enormous amount of advantages through AR advertising. AR ads are more interactive, engaging, and efficient as compared to traditional print or video ads. As discussed, some of the leading companies have already embraced this technology and we certainly can expect more to follow suit. Hence, we say it is the right time to take a jump on the AR advertising bandwagon!