More likely to make sales with Augmented Reality

Augmented reality game changer of online advertising

With augmented reality (AR), you view the world through your phone's camera where an extra virtual layer is placed over the real world. For a long time it mainly seemed like a fun toy with which you could conjure dancing hot dogs on the street corner on Snapchat or chase Pokémons in the local park in the Pokémon Go app. Now that both Snapchat and Facebook are fully committed to this technology, however, fun and practical applications for advertisers are within reach.

Augmented reality the norm

Recently, an artist flooded Times Square in New York to show the effects of climate change. Belgian soccer player Hazard chimed in at a TV studio in Brussels after a World Cup win in Russia.

As the technology becomes more familiar to consumers, there are also opportunities for advertisers. For example, consumers can use it to virtually place furniture in their room or virtually try on accessories such as glasses or rings. Both Snapchat and Facebook offer new ad formats for this, making it accessible to advertisers as well.

Snapchat the pioneer of augmented reality

Snapchat has become big with their AR filters and lenses and was also the first to enable the use of AR in ads with sponsored lenses that Snapchatters can put over photo or video. According to Snapchat, 40% of users use the social medium's augmented reality features daily and play with a lens for between 10 and 30 seconds. This high engagement makes it a great tool for creating awareness for your brand. And since Snapchat launched the new Shoppable AR ads feature, it is also possible to add a "buy button" that allows users to purchase the product directly.

Michael Kors eyewear fitting via Facebook

Earlier this month, Facebook also announced that augmented reality ads are being rolled out in the newsfeed. At first glance, these ads look like regular domain ads but clicking "Tap to try on" will take you into an AR environment where you can, for example, virtually try on sunglasses, adjust the color and then buy them instantly. Michael Kors is the first brand to have tested this feature and by the end of this summer a number of makeup brands and home furnishings stores in the U.S. will also start using it. It remains to be seen when the feature will become available in the Netherlands.

Why augmented reality?

Interactive ads are great for grabbing consumers' attention. The interactive element is unique compared to the many other online ad forms which makes you as an advertiser more likely to get noticed. The game element also increases consumer engagement as they interact with the ad. Because they fully focus their attention on the ad, they will remember it better than a traditional static ad, resulting in a positive effect on brand awareness.

In addition, AR ads also have a practical benefit especially for e-commerce. It becomes possible to try out products virtually. You can see how those sunglasses or necklace look on you from the comfort of your armchair. This brings the online shopping experience a little closer to the experience in a physical store and even takes it a step further, as seeing if that sofa fits in your living room is impossible in a physical store.

AR ads thus lower the threshold for consumers to make an online purchase also because virtually trying on or trying on products has a psychological benefit. By seeing the products in their own environment, people are more likely to feel they belong to them. And because people are generally highly motivated to avoid loss, they are more likely to purchase the product!