05/02/2010
By Scott Thompson
Augmented reality is the technology for retailers to watch in 2010, according to a new report by Ovum. Whether for online, mobile or kiosk, the company, part of the Datamonitor Group, says that it is witnessing innovation from which the future standard augmented reality (AR) applications for retail will grow.
Although the term was coined nearly 20 years ago, the technology is only now coming to the fore because of advancements in areas such as GPS and analytics, combined with the growth of the smartphone market. For retailers keeping an eye on developments, Ovum believes the potential benefits will become apparent before the year is out. It lists the top examples of its current use in retail as follows:
1.) Virtual fitting rooms for e-tailers help mitigate product returns.
An example of an online shopping fitting room, 'The Webcam Social Shopper' by Zugara, is live on fashion retail site Tobi.com. The application allows online shoppers with webcams to place items of digital clothing over their own image giving an experience close to an in-store fitting room. However, the image hovers over the moving image rather than matching the shape of the body, so in Ovum's opinion, development work is required around the application can recognise body proportion and rotation before it can be of any real use to retailers.
2.) Kiosks featuring augmented reality enhance the in-store experience.
Lego is using augmented reality in kiosks to show how Lego Technic sets will look when built. When the product box is held up in front of the kiosk, the screen displays a video image of the box along with a 3D image of the assembled Lego set. The interaction with the customer via the kiosk may well be the key to converting a potential customer into a paying one, making a well considered interactive touch point such as the Lego kiosk an innovative and enticing proposition.
3.) AR does the job of 2D barcodes for consumers accessing product information and promotions.
Knowing where products are sourced, particularly food products, is becoming a key issue for the ethical consumer of today. Now consumers can use the camera on their mobile handset to scan a 2D, or QR barcode, to access information about the product such as the best before date and carbon footprint. With AR, the barcode is not necessary because the software can recognise an image, a product label for example, and display the same product source information. Although there is no clear case for this particular use of AR at the moment, there are certainly live applications of the same ilk.
Rather than decking window displays with tinsel this past Christmas, Hugo Boss took a more innovative approach to visual merchandising by using an interactive window campaign to attract customer into the store, and carry on the brand engagement after store closing. A handout was distributed to passers-by which when held up to the front of the store window, interacted to produce catwalk video content and information about a competition and in-store promotion.