AR E-Commerce And The 5-8 Foot Experience


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Presentation I gave at the New Digital Economics Conference in SF on March 28th, 2012. This was a presentation focused on how AR E-Commerce and NUI is both gaining traction as a user interface and is also gaining adoption with younger generations.

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  • Hi, my name is Matthew Szymczyk and I’m CEO of Zugara. We’re a company based in Los Angeles that has been focused on Augmented Reality E-commerce for the last 3 years. Prior to 2009, our company focused on Interactive Strategy, User Interface and User Experience for Fortune 500 Clients such as Toyota/Lexus, Sony, Reebok and others. As a result, we have a different DNA than most AR companies as we think User Experience and Strategy first before we think technology.
  • When we entered the AR space, we focused on a key problem – that online shopping had not changed in over 15 years. As consumers became BUSIER, MORE CONNECTED, HAD TO MULTITASK MORE, the online shopping experience hasn’t evolved to match consumers expectations. Online Shopping still sees conversion rates stuck at 2 to 3 percent for years now compared to offline shopping which often has conversion rates from 20 to 40 percent. There’s a simple reason for this. When you shop offline at retail it’s a very social experience, where you can get instant feedback from friends and family members on your purchase decision. How many of you have been shopping at a store, pulled an item off the rack, held it up to yourself and asked a friend or loved one, “How does this look?”
  • As a result, we created the Webcam Social Shopper which replicates the At The Rack moment online. Shoppers can use our software to see how the style and color of an item looks while also sharing a photo with friends and family members on social networks to better validate purchase decisions. And our software works for 2 very simple reasons. For consumers, there are no downloads and our software works with average PC specifications. This helps provide for a seamless shopping experience . For retailers, our software can use existing inventory and be integrated in a few days.   We are only focused on color and style right now because fit online is not a practical solution. I also mentioned how we use a retailers existing inventory. Creating 3D models of items that will not solve fit anyway, is also not a cost effective solution for any retailer.
  • When Christine had initially asked me to be part of this event, I mentioned to her that we’re currently not focused on Mobile AR development. We are focused on the mobile consumer and the 5-8 foot experience. For current tablets and smartphones, you have a 1-2 foot experience that is not practical for a full-length or mirror effect. You can only hold smart phones or tablets at arms length. However, this will work for glasses, hats and some accessory items. The 5-8 foot experience is better suited for kiosks, Web enabled TV’s, PC’s and even laptops. At home, in retail and in the digital living room. 1.5 billion computers are in use worldwide and Intel has stated that 1 million PC’s are sold each day throughout the world. So we are focusing on an audience and market that exists today. And our plan is to be on every retailers site.   When the mobile and Interactive TV markets mature, we’ll also be ready for those specific platforms.
  • I guess I need to answer why we’re innovative so I’ll list a few reasons:   1. Real people use our tech every day . 13 global retailers and 3 global brands are using our e-commerce software currently and we have seen great adoption. Reference Barbie. 2. We’re solving a problem for shoppers and retailers. Consumers can now visualize the color and style of an item like they could never do before Retailers are seeing their conversions improve. LazyLazy - 17% of their shoppers are using the Webcam Social Shopper and converting 2-3X more than regular shoppers. 3. We were first to market in 2009 - many of the features that are now industry standard. We also have pending patents on many of the innovations in our space. 4. And finally, I have a bit of an announcement to make that we’re very excited about. We have recently signed a deal with a major e-commerce platform that will now be offering our solution as a module for their 120,000 retailers. This will launch next month and help define our software as the standard for the Augmented Reality E-commerce Experience.
  • In closing, I wanted to share a quick video with everybody. This is not specific to any form of AR. We are all exposed to AR concept or marketing videos and what the future of AR might look like. The video I am about to show you is from an event in NY last month. This shows real women using our software and their candid interaction and reactions. I’d ask that you focus on the Behavioral aspect of the women as they interact with the system. Though we talk about the future of AR, younger generations are already adopting all forms of AR and gestural interfaces…
  • Thank you and to answer a question I usually get asked – I have in fact seen enough of the color pink to last me a lifetime
  • AR E-Commerce And The 5-8 Foot Experience

    1. 1. Since ‘95 The Shopper’s Changed, Their Experience Hasn’t
    2. 2. We’re Changing That
    3. 3. Today We’re Focused On The 5 – 8 Foot Experience
    4. 4. A Few Things To Know About Us
    5. 5. Real Life Interaction… Insert Video
    6. 6. Thank You! Matthew Szymczyk CEO Zugara @kobrakai