The AR revolution has arrived; here are 4 trends of Augmented Reality for 2023

Whether you’re a startup or an established business, it’s crucial to keep an eye on AR technologies in order to predict where the industry is headed and how to benefit from it.

By Lakshya Malu

The AR revolution has arrived. By 2025, nearly 75% of the global population and almost all people who use social/communication apps will be frequent AR users. Consumers are striding ahead and brands are catching up. AR is also a powerful tool to enrich the world around you, connect with others, and fuel self-improvement. Whether you’re a startup or an established business, it’s crucial to keep an eye on AR technologies in order to predict where the industry is headed and how to benefit from it. Here are the top AR trends to watch in 2023.

Greater adoption of AR on mobile phones

Augmented Reality is significant because it combines the power of computing with what we see and experience in real life. It enables us to use computing in a familiar setting, seamlessly integrating technology into our lives. With this in mind, the technology will inevitably see increased adoption. Smartphones will be a major driver of this adoption, as both the internet and hardware become more accessible and affordable to all.

Because of the inevitable mobile usage boom, it is estimated that by the end of 2023, approximately 40% of India’s Gen Z and Millennial population will be frequent AR users. This alone is a strong indicator of how AR will enter the market.

Further enhanced customer experience with AR shopping tools

Who wouldn’t love to try products before buying them from the comfort of their home? AR helps you do exactly that, transforming the shopping experience by allowing retailers to create an immersive experience for users. Be it virtual fitting rooms or AR lenses that allow users to try shoes, clothes, make-up, eyewear, and other accessories, AR has opened up a completely new way of shopping, especially at a time when the world needed it. From high-end global fashion brands like ‘Gucci’ to homegrown brands like MamaEarth and MyGlamm, all are adopting Augmented Reality to offer a unique and personalized AR-enabled shopping experience, it has now become a tried and tested technology for elevating the shopping experience and reinforcing customer trust.

95% of Indian Gen Z are interested in using Augmented Reality (AR) for shopping and this can be attributed to the development in this space leading to the availability of technologies. For instance, True Size Technology by Snap Inc. Such technology powers AR Try-on lenses to adapt to the user’s face and appear as if they are trying on the product in person in a frictionless manner.

As technology continues to evolve the relationship between AR and consumers, shoppers can expect a further enhanced and more immersive experience hereon. Subsequently, it is safe to say that we are yet to even scratch the surface when it comes to realizing AR’s shopping potential. The time to come will only see more brands deploy AR as the technology continues to become more and more efficient.

Aw’AR’eness

AR, like any other technology, has limitless applications. Have you ever considered how Augmented Reality can be used for good? Snapchat has numerous examples of AR being used to raise awareness about various topics. On World Restart a Heart Day, a CP(A)R- a life-saving lens assisted in raising awareness and imparting tips and knowledge about CPR, with the goal of enabling users to assist one another in the event of an unfortunate emergency.

Furthermore, AR’s interactive and attractive abilities can help people try the technology out of curiosity. While there are many testimonials on how AR has helped create positive social change, leveraging the technology for good will always trend thanks to the element of curiosity and intrigue AR lenses can generate.

AR based marketing campaigns for The Win

Over the years, we’ve witnessed drastic modifications in how brands advertise and market their services and products. Innovation has been the main catalyst for the witnessed changes. The advent and the recent innovations in AR has got various brands to jump on the wagon and use this technology in the most efficient way making it a part of a brand’s 360-degree media mix. Brands and marketers are creating interactive ads, interactive experiences in physical stores, or even creative lenses with the use of this technology.

AR’s potential in maximizing consumer deepening and strengthening efforts can be studied from a very recent example of how one of India’s leading brands used the technology in its marketing strategy. In 2022, India’s favorite chip brand, Lay’s, used AR to promote the launch of its new product, Lays Wafer Style. The brand collaborated with Snap to introduce a new AR lens that allowed users to participate in a magic trick where they see themselves disappear in smoke to push across the unique element and the tagline of their product “A chip so thin, that it disappears”. With humorous, relatable, and most notably shareable content, the launch of the lenses assisted the brand in raising awareness among its target audience, resulting in maximum visibility and ROI.

With easy access to AR for users today and the ROI witnessed from integrating AR in marketing campaigns, the technology has become an integral part of the marketing mix in the future, with revenue in the AR advertising segment estimated to reach 216.60 million US dollars by 2027.

The author is a Interim – Market Development Lead, Snap Inc.