Augmented Reality - From Marketing Buzzword To A Better Consumer Experience

Augmented Reality: From Marketing Buzzword To A Better Consumer Experience

SHOW OF HANDS: How many of you know what Augmented Reality is?

My reaction to AR for the 1 st time…

It’s when the real world is “augmented” by computer data.

AR is not Virtual Reality or
Second Life…

AR is the future of how we will interact with digital information VIEW INTERACT ACCESS

Usually shown as reality in popular movies today…

AR looks cool, but is anybody actually using it?

Major advertising and marketing channels have started using AR

Especially online as branded engagements

Muscle Milk AR packaging

All the consumer needs: Decent Computer

All the consumer needs: Decent Computer Regular Web Cam

Often times a marker (or glyph):

And sometimes just an image:

Some AR executions require:

This is a barrier for the consumer

So beyond all the hype, what’s practical for AR in the here and now?

Online AR currently most popular
Adoption of Video Chat / Webcam Growth
Flash-based AR
Kiosk-based AR growing
Limited scale/reach but least amount of barriers for consumer
Mobile AR is not yet ready for primetime
Will be focal point of AR in the future (more on that later)

But, just because you can do AR, does that mean you should?

What makes a good execution?

Put on your “Consumer Hat” Would you hold a print magazine up to a webcam to watch a 5 minute video?

Utility is key… Are you trying to add value for the consumer or for you?

Here’s a few examples that work…

Online - THE USPS

OOH - PSA IN AMSTERDAM

POP - LEGOS’ KIOSKS

Now For The Fun Stuff… Some Actual AR Demos…

Cannonballz Augmented Reality Gaming

What’s So Special About Augmented Reality Gaming?
Future of Gaming -> You Are Part Of The Game (ex. Project Natal)
2. Ability To Tie into Social Communities for Social Gaming Experience

Cannonballz Demo

Webcam Social Shopper Augmented Reality Shopping

Shopping Offline Is An Emotional Experience.

Online, Not So Much.

The “consumer experience” has made very little progress in the last 15 years.
Amazon 1990’s Amazon 2010

But What If Consumers Could Have That “At The Rack” Experience, Online?

Webcam Social Shopper Demo

Fashionista Video

ZugSTAR Augmented Reality Video Conferencing

Video Conferencing & Chat Today Limited to conversation Little to no real-time interaction or collaboration

Video Conferencing + Augmented Reality = Ability to share and interact with content in real time

ZugSTAR Video

“ If I had asked people what they wanted, they would have said faster horses.” - Henry Ford

The Future Of AR

True Markerless Via An Average Webcam More Immersive Experience Online / Kiosk

Mobile Will Overcome:
Hardware Issues
GPS Accuracy
Compass Accuracy
No Front Facing Camera
Processing Power Issues
Issues Accessing API’s
To Become:
Central touchpoint for AR

Connected TVs Will Be A Powerful Medium

“ The best way to predict the future is to invent it.” - Alan Kay

Thank You!
Matthew Szymczyk
CEO, Zugara
[email_address]
Twitter.com/kobrakai
Facebook.com/Mhszymczyk

Market Data
In 2009, 154 million people in the U.S. bought something online, or 67% of the online population (4% more than in 2008). (Forrester Research)
80% of Gen X and 71% of Gen Y internet users buy products online. (Pew Internet & American Life Project)
Amount people spent on clothing online: $13.6 Bil. (US Census)
Amount people spent on clothing in store: $7.0 Bil.
83% of online shoppers said they are interested in sharing information about their purchases with people they know, while 74% are influenced by the opinions of others in their decision to buy the product in the first place. (Manage Smarter)
Online social network users were three times more likely to trust their peers' opinions over advertising when making purchase decisions. (Jupiter Research)
B2B interactive marketing spending will climb to nearly $4.8 billion in 2014. (Forrester Research)

Augmented Reality Statistics

Handheld platforms will transform the Augmented Reality ecosystem, with revenue associated with Augmented Reality growing from about $6 million in 2008 to more than $350 million in 2014 .
(ABI Research study “ Augmented Reality: Adding Information to Our View of the World ”)
AUGMENTED REALITY STATISTICS AUGMENTED REALITY REVENUE

Markets for webcams at $1.8 billion in 2008 are anticipated to reach $3.2 billion by 2015 , growing in response to decreases in unit costs and increases.
(Wintergreen Research - Worldwide WebCam Market Shares, Strategies, and Forecasts, 2009-2015)
AUGMENTED REALITY STATISTICS WORLDWIDE WEBCAM GROWTH RATE…

As of last March 2009, 40% of Facebook Video Uploads were via Webcam
(Businessweek – Facebook Grows As A Video Platform)
AUGMENTED REALITY STATISTICS WEBCAM VIDEO UPLOADS ON FACEBOOK

Case Study (over a one month period)

AUGMENTED REALITY STATISTICS CANNONBALLZ AR GAME STATS *Note: this number is in line with what Best Buy saw (78%) when they integrated an AR execution into a Sunday circular Unique Visitors 11,672 % Of Unique Visitors That Logged Into Facebook 11% Average Time Spent On Site 4 min 36 sec % Of Unique Visitors That Had Webcams* 80% % Of Unique Repeat Visitors 25%

Would you view an online Augmented Reality experience if it required you to download and install an Internet Browser plug-in other than Flash? (256 Votes)
AUGMENTED REALITY STATISTICS AR POLLS – BROWSER PLUG-IN

Do you have a webcam on any of your computers, or do you plan to have one within 6 months? (307 Votes)
AUGMENTED REALITY STATISTICS AR POLLS – DO YOU HAVE A WEBCAM

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Augmented Reality - From Marketing Buzzword To A Better Consumer Experience

by Matthew Szymczyk on May 11, 2010

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