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The Value of Experiential - New Augmented Reality Business Models
 

The Value of Experiential - New Augmented Reality Business Models

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A presentation by Gary Hayes at the Augmented Reality Event in Santa Clara (#are2011) California on Tuesday 17 May 2011. Looking at the true value proposition of #AR and moving through the eras of 1) ...

A presentation by Gary Hayes at the Augmented Reality Event in Santa Clara (#are2011) California on Tuesday 17 May 2011. Looking at the true value proposition of #AR and moving through the eras of 1) Interface 1990-2010 2) Connection and 3) Experiential.

Talk approaches key questions
1 - How to make AR valuable to users, glue & connection
2 - The Value of Experiential

My Definition of Augmented Reality
(from a value proposition perspective)
1 AR is an INTERFACE that better enables
2 Insight & CONNECTION into Products, Places & People
3 then a ‘sense-of-place EXPERIENCE & STORY’
There are 3 era’s - 1) INTERFACE
2) CONNECTION and 3) EXPERIENTIAL


IN SITU: Aiding sale by seeing projects & products placed in the environment before completion.
UTILITY: Selling life enhancing AR applications perceived as useful. 
TRAINING: Hands-on with complex equipment and work scenarios.
SOCIAL GAMING: Both connotations of the word, pay-per-play mixed reality games in physical space.
LOCATION LAYERS: Blended guides to new places, tourism, enhanced travelling or themed space.
VIRTUAL DEMO: Display to promote sale, of product in pre-release or remotely via catalogue etc:
EXPERIENTIAL EDUCATION: Pay-per-visit educational services to museums, ancient sites etc:
ENHANCED CLASSIFIEDS: An AR directory that promotes local 3rd parties product & services overlaid at the location.
3D VIRALS: Branded company or personal promotion & ads using ‘cool’ 3D toys.
PERSONALIZED SHOPPING: Walking around stores made relevant, opt in personalization and targeting.
COOPERATION: Service industry for augmented virtual meetings.
BLENDED BRANDING: The equivalent of hoardings, virtual poster ads.
AUGMENTED EVENTS: Pay-per-use of enhanced sport or pop concerts.
INTERTAINMENT: New form experiential TV and films. Blu-Ray seem so 18th century.
UNDERSTANDING SYSTEMS: Creating AR for internal or exploded views of complex objects.
RECOGNITION & TARGETING: Pushing ‘relevance’ to outdoor consumers – facial recognition linked to online data.

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    The Value of Experiential - New Augmented Reality Business Models The Value of Experiential - New Augmented Reality Business Models Presentation Transcript

    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes NEW AUGMENTED REALITY BUSINESS MODELS INTRO Gary Hayes AR Event 2011 Santa Clara © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes 16 AR Value Propositions & Usage Scenarios - 2009 probably why I was invited to speak :) © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes 16 AR Value Propositions & Usage Scenarios - 2009 1. IN SITU: Aiding sale by seeing projects & products placed in the environment before completion. 2. UTILITY: Selling life enhancing AR applications perceived as useful.  3. TRAINING: Hands-on with complex equipment and work scenarios. 4. SOCIAL GAMING: Both connotations of the word, pay-per-play mixed reality games in physical space. 5. LOCATION LAYERS: Blended guides to new places, tourism, enhanced travelling or themed space. 6. VIRTUAL DEMO: Display to promote sale, of product in pre-release or remotely via catalogue etc: 7. EXPERIENTIAL EDUCATION: Pay-per-visit educational services to museums, ancient sites etc: 8. ENHANCED CLASSIFIEDS: An AR directory that promotes local 3rd parties product & services overlaid at the location. 9. 3D VIRALS: Branded company or personal promotion & ads using ʻcoolʼ 3D toys. 10.PERSONALIZED SHOPPING: Walking around stores made relevant, opt in personalization and targeting. 11.COOPERATION: Service industry for augmented virtual meetings. 12.BLENDED BRANDING: The equivalent of hoardings, virtual poster ads. 13.AUGMENTED EVENTS: Pay-per-use of enhanced sport or pop concerts. 14.INTERTAINMENT: New form experiential TV and films. Blu-Ray seem so 18th century. 15.UNDERSTANDING SYSTEMS: Creating AR for internal or exploded views of complex objects. 16.RECOGNITION & TARGETING: Pushing ʻrelevanceʼ to outdoor consumers – facial recognition linked to online data. © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes Since then there has been lots of talk about a $$ bill industry - #3 billion within 4 years? But what industry, what is it? © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes AR (technical & marketing) services already reach 100 000 s Can we define future markets if we don’t know what it is? © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes But still for most users - what the hell is AR? ʻthat webcam thingʼ - ʻdots floating in the skyʼ? Whats the value again? We, as a fledgling industry need to better educate and agree about the ʻvast potentialʼ and scope of AR beyond just 3 simple areas? •Intelligent surfaces - projection mapping, tables, kiosks etc: •Locative - device aware, overlayed content •Recognition - marker and image aware content All of the above can link to or pull in content from the cloud © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes My Definition of Augmented Reality (from a value proposition perspective) 1 AR is an INTERFACE that better enables 2 Insight & CONNECTION into Products, Places & People 3 then a ʻsense-of-place EXPERIENCE & STORYʼ There are 3 eraʼs - 1) INTERFACE 2) CONNECTION and 3) EXPERIENTIAL © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes The Augmented Reality Business Stakeholders Content creators EXPERIENTIAL ERA Content owners Content distributors Software developers INTERFACE ERA Advertisers, promoters & ad distributors Service providers Portal owners CONNECTION ERA Network operators Equipment manufacturers Equipment retailers Consumers :) ERA = Every Reality Augmented © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes So the rest of the talk I want to approach key questions 1 - How to make AR valuable to users, glue & connection 2 - The Value of Experiential but first what is it and who am I? © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes about me - context for this talk © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes Content developer, consultant, service director •95-04 UK, BBC Senior Development Producer - Interactive & Broadband TV •95 - Standards body eg: Chair of Business Models TV-Anytime, MPEG, DVD •03-05 US, Interactive & Social TV Producer •05-10 Director - LAMP Advanced Media Production @ AFTRS •05- PersonalizeMedia Power 150 Media/Marketing Blog •06- MUVEDesign (Transmedia, Alternate & Augmented Reality, Virtual Worlds) •10- StoryLabs (Oz, US, UK, Canada) © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes The old un-welcome brand parallels with Second Life?! Will we see the equivalent of empty stores in #AR? © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes MUVEDesign - the most traffick’d, brand, sims in Second Life This one Telstra from 2006-2009 © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes Worldwide Brand Statistics Second Life Figures based on more than 5min dwell and proportion of time inworld BigPond Pontiac ABC TV Australia Microsoft Nissan Mercedes-Benz IBM NetG Training MTVN 13819 BigPond - MUVEDesign PA Consulting Group Starwood Hotels 11447 Pontiac Showtime (L Word) 10807 ABC Australia - MUVEDesign The Weather Channel NBC Universal 7115 Microsoft Adidas Reebok 6314 Nissan Samsung Mazda 6056 Mercedes-Benz Sony Ericsson 4165 IBM Sony BMG Toyota Dell ABN AMRO BMW AOL Reuters http://nwn.blogs.com/nwn/2007/08/taterus-mixed-1.html 0 3,750 7,500 11,250 15,000 © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes Why were these two sims (ABC, Telstra) so popular even though this had branding & advertising? 1 building community components 2 creating immersion 3 a place felt like home 4 events 5 variation/depth 6 authenticity © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes Making AR Value-able The Connection Era © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes The Connection Era 2010-2015 Insight & CONNECTION into Products, Places & People The shift to truly valuable services that engage and enrich and glue the cloud to the world around us © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes More ‘engaging’ AR concepts already in regular use? © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes More ‘engaging’ AR concepts already in regular use? © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes What the heck will happen when the cloud really descends?! Will it be seen as gimmick vs the real potential The AR industry is not an industry until it provides value AR is cheapened if it is perceived just as a: 1) A ʻfiddlyʼ link to other media (marker to video, image to iTunes store or a building (image) to a website) 2) Tiltʼilation models on their webcam © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes Value found in consumer need? Maslow’s Hierarchy EXPERIENTIAL ERA CONNECTION ERA INTERFACE ERA © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes Mapping 16 AUGMENTED REALITY BUSINESS MODELS to Eras INTERFACE ERA CONNECTION ERA EXPERIENTIAL Popular 3D VIRALS UTILITY Selling life enhancing AR Branded company or personal promotion applications perceived as useful. & ads using cool 3D toys LOCATION LAYERS VIRTUAL DEMO Display to promote sale, of product in pre- Blended guides to new places, tourism, release or remotely via catalogue etc enhanced travelling or themed space AUGMENTED EVENTS Pay-per-use of enhanced sport or pop concerts BLENDED BRANDING ENHANCED CLASSIFIEDS An AR directory that promotes local 3rd parties The equivalent of hoardings, virtual poster ads product & services overlaid at the location ADOPTION SOCIAL GAMING INTERTAINMENT PERSONALIZED SHOPPING EXPERIENTIAL Pay-per-play mixed New form experiential TV and films Walking around stores made relevant, opt in EDUCATION reality games in personalization and targeting Pay-per-visit educational services physical space to museums, ancient sites etc IN SITU RECOGNITION & TARGETING Aiding sale by seeing projects placed in the Pushing relevance to outdoor consumers - facial environment before completion recognition linked to online data UNDERSTANDING SYSTEMS Niche Creating AR for internal or exploded COOPERATION views of complex objects Service industry for augmented TRAINING virtual meetings Hands-on with complex equipment and work scenarios Low LIKELY COMMERCIAL VALUE High © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes Valuable examples? Trying on glasses, tilting cameras etc: Myles Peyton of Total Immersion © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes EXAMPLES OF REALLY BASIC VALUE - NOT YET REALISED?! PHYSICAL SEARCH © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes Useful examples? Locative AR Search. Finding product based on criteria Johnny Depp Articles Lifestyle Interview Johnny Depp Articles Latest Film DVD Clips © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes Useful examples? Locative AR Search. Finding product period Bickford’s Lime Juice $1.69 bottle © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes Useful examples? Locative AR Search. Finding product based on type 45G Protein Bars PowerLift $2.49 © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes Physical Search - finding specific criteria product Low Fat, Low Sodium BRW Peanuts $0.89 © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes Physical Search - Healthy Options & Recipe Sugar Free Popcorn $1.30 for 500g Lasagne Recipe Ingredient 4/15 Pasta $3.28 © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes Physical Search - intelligent, overlay GPS? 5 car pile-up To avoid take - estimated 45 this exit to I15 mins hold up junction 221 © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes The Value of AR Experience Design The Experiential Era 2014-the end of time © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes Draft - WIP the value of experience from AR perspective © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes Emotional story experiences – drama played out in the real world. A new form? - Locat-inima (Locative Cinema) © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes Emotional story experiences – drama played out in the real world. A new form? - Locat-inima (Locative Cinema) © ʻWitnessʼ 13th Street Universal © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes Pervasive entertainment – games played in true MMO style in real world this is one of MUVEDesignʼs Projects in progress © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes Lifestyle and aspirational - seeing experiences of others at location © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes Note: All Experiential Usage Scenarios can develop revenue through promotional/advertorial, sponsorship, subscription, peer-to-peer, pay- per-play, expansion packs and most other key digital models © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes Other Examples of Experiential Usage Scenarios - Draft WIP again... Hybrid experiences – Social Community – social/emotional, meet-ups leaving rich media in location flash groups but also competitive (how I did now you come here and try or do better, gamify rich media sharing in location Aspirational experiences already seen lots of discounts and guides in location but here we Spiritual Experiences buying ʻvirtualʼ goods to enhance elements of personal dev. Tracing See through the eyes and improve our augmented real your future or specific astrology of others... life based on your current location Gifting Experiences Mental Experiences what things will people buy Learning by doing, accredited courses virtually. Would they place gifts where the context makes sense – for others in virtual space – literature/art/history – but again also requiring them to go there? gamify to make the experience real © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes four final thoughts © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes Next Steps if any to move into the CONNECTION & EXPERIENTIAL era? • there needs to be a jump in the ease of use of current AR for USERS not just the developers. Away from clunky browsers, poor locative tech etc: Smoother animation and video • Standards are required for mass use and interoperability - we canʼt expect each new service to require users to download a new client • The education of the consumer & content creator base is critical to be clear on what AR really is and the different types • The brave new world we are evangelising requires sustainability as a foundation and critical to that is finding real value that consumers will happily pay for © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes THANKS QUESTIONS? These slides will soon be on slideshare.net/hayesg31 © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011
    • The Value of Experiential - New Augmented Reality Business Models ©© GaryPHayes © Gary Hayes CCO MUVEDesign & Founder StoryLabs @garyphayes - gary@personalizemedia.com - storylabs.com.au - muvedesign.comTuesday, 17 May 2011