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IHAF- Blurring the Lines with Augmented Reality
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IHAF- Blurring the Lines with Augmented Reality



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  • Video for Forever 21: http://www.youtube.com/watch?v=iBtPnUKn1fU&feature=related
  • Video: http://www.youtube.com/watch?v=jCcZX8qGAX0
  • Video: http://www.youtube.com/watch?v=8UxWkZtUKaI
  • Video: http://www.youtube.com/watch?v=0ZO4mkTbaj0&feature=player_embedded#!
  • Video: http://www.youtube.com/watch?v=mS6au2SJtEc
  • Video: http://www.youtube.com/watch?v=mS6au2SJtEc
  • Video: http://www.youtube.com/watch?v=P9KPJlA5yds
  • Video: http://creativity-online.com/work/ge-visible-you-installation/20889
  • Video: http://www.youtube.com/watch?v=uDTdHG_FytM
  • Stats from 8/11/2009 – 8/11/2010
  • Talking the fundamental, physical process of validating a purchase. Look at a thumbnail add to cart, purchase. Not talking about groupon, gilt or the like.


  • 1. Blurring The Lines
    With Augmented Reality
  • 2. Hello! We’re Zugara
    Snapshot: Zugara develops Augmented Reality software and robust applications that advance the way in which people are able to interact with real time digital data.
    Founded: 2001
    Location: Los Angeles
    Member: AR Consortium
    Products: ZugMO – Motion Capture
    Webcam Social Shopper – Augmented Reality E-Commerce
    ZugSTAR – Streaming Augmented Reality
    ZugMUG – Facial Tracking
    Web: www.zugara.com
    Blog: www.weareorganizedchaos.com
    Facebook: www.facebook.com/augmentedreality
    YouTube: www.youtube.com/zugara
    Twitter: www.twitter.com/zugara
  • 3. We’ve Worked With a Number of Brands
    Retail / Fashion
    John Deere
    American Racing
    Fletcher Jones Mercedes Benz
    Fletcher Jones Porsche
    Norwegian Cruise Line
    Southwest Airlines
    Sony Pictures Television
    Activision Blizzard
    Sony PlayStation (SCEA)
    Square Enix
    989 Sports
    Glu Mobile
    Tecmo Games
    Xseed Games
    Disney Interactive Games
    Red Bull
    Slim Jim
    Peanut Chews
    Consumer Electronics
    Sony Connect
    Active Media (ITV)
    Non-Profit / Government
    U.S. Air Force
    Legacy Foundation
    Domino’s Pizza
    Best Buy
    Blue Cross
    TV Guide
    Mohawk Flooring
    Crispin Porter & Bogusky
    The Martin Agency
    Weiden Kennedy
    Hal Riney
  • 4. Current Brands Using Our AR Solutions
  • 5. Show of Hands…
    How many of you know what Augmented Reality
  • 6. My Reaction to AR for the first time…
  • 7. Augmented Reality is…
    …when the real world is “augmented” by computer data.
  • 8. Augmented Reality is…
    …the future of how we will interact with digital information.
  • 9. Augmented Reality is Not…
    …Virtual Reality or
    Second Life…
  • 10. Usually shown as reality in popular movies today…
  • 11.
  • 12.
  • 13. AR looks cool, but is anybody actually using it?
  • 14. Emerging Hype Cycle- Explained
  • 15. 2008- Emerging Technology Hype
  • 16. 2009- Emerging Technology Hype
  • 17. 2010- Emerging Technology Hype
  • 18. Emerging Technology Benefit
  • 19. Brands Using AR
  • 20. Where’s The ROI?
    Since the launch of Hotels.com Virtual Vacation micro-site using AR, bookings soared by 36%
    (Hotels.com, 2010)
    70% of Dabs.com visitors engaged with their AR experience. Of that group 13% then purchased (utalkmarketing.com, 2010)
    Swiss watchmaker Tissot saw in-store sales of its watches rise by 85%
    (utalkmarketing.com, 2010)
  • 21. AR + Integrated Channels
    Major advertising and marketing channels have started using AR.
  • 22. Online has exploded with branded engagements.
  • 23.
  • 24. Online, all the consumer needs:
    Modern Computer
  • 25. Online, all the consumer needs:
    Modern Computer
    Regular Web Cam
  • 26. Often times a marker (or glyph):
  • 27. And sometimes just an image:
  • 28. And now with just a face.
  • 29. Some AR executions require:
  • 30. This is a barrier for the consumer.
  • 31. So beyond all the hype, what’s practical for AR in the here and now?
  • 32. Online AR- Currently Most Popular
    • Largest Reach / Average Spec
    • 33. Adoption of Video Chat& Webcam Fueling Growth
    • 34. Flash-based AR
  • Kiosk-Based AR- Growing
    • Least amount of barriers
    • 35. Limited scale/reach
    • 36. Highest tech
  • Interactive Installation / Event Marketing AR
    • Least Amount of Barriers
    • 37. Interactive Draw-In
    • 38. Varying Levels Of Cost Implementations
  • Interactive Billboards- OOH AR
    • Highest tech possibilities (i.e. Kiosk)
    • 39. High cost of implementation
    • 40. Public / group reach
  • Mobile AR
    • Not yet ready for primetime
    • 41. Limited processing power
    • 42. Will be focal point of AR inthe future
  • Don’t Put Technology First
    But, is AR always the best way to connect with your consumer?
  • 43. Put On Your “Consumer Hat”
    Would you hold a print magazine up to a webcam to watch a 5 minute video?
  • 44. Utility is key…
    Are you trying to add value for the consumer or for you?
  • 45. Here’s a few video examples…
  • 46. Online- The USPS
  • 47. Online- The USPS
  • 48. POP- Lego’s Kiosks
  • 49. POP- Lego’s Kiosks
  • 50. POP- WWF’s Siberian Tiger Shirts
  • 51. POP- WWF’s Siberian Tiger Shirts
  • 52. Mobile- Addison Avenue FCU’s ATM Finder
  • 53. Mobile- iButterfly
  • 54. Mobile- iButterfly
  • 55. Mobile- BMW’s AR Service Glasses (Concept Video)
  • 56. Mobile- BMW’s AR Service Glasses (Concept Video)
  • 57. Tradeshow- GE- Visible You Body Scan
  • 58. Tradeshow- GE- Visible You Body Scan
  • 59. OOH- Netherlands PSA- AR Billboard
  • 60. OOH- Netherlands PSA- AR Billboard
  • 61. Now for the fun stuff…AR demos
  • 62. ZugMoMotion Capture Gaming
  • 63. Evolution of the NUI
    Microsoft “Kinect”
    Both Sony and Microsoft will be launching motion based gaming systems this year, entering a marketplace that is currently dominated by the NinendoWii.
    People’s awareness and comfort level with this type of interface will subsequently skyrocket as we can expect robust advertising dollars to be put behind all of the gaming systems.
    Sony “Move”
  • 64. Zimon Prototype
  • 65. Cannonballz!
  • 66. Cannonballz! Game Stats
    Case Study (over a one year period)
    Unique Visitors
    Average Time Spent On Site
    4 min 44 sec
    % Of Unique Repeat Visitors
    % Of Unique Visitors That Logged Into Facebook
    % Of Unique Visitors That Had Webcams*
    *Note: this number is in line with what Best Buy saw (78%) when they integrated an AR execution into a Sunday circular
  • 67. AT&T World Cup Banner Ad
  • 68. Nesquik- Factory Game
  • 69. Nesquik- Factory Game
  • 70. The Webcam Social ShopperAugmented Reality ShoppingA Proprietary Application
  • 71. The Problem
    Shopping offline is a social and emotionally rewarding experience for Madison.
    Online is a different story. Her experience is utilitarian. It’s solitary, and has remained largely unchanged since the mid 90s.
    THE RESULT: -- Conversion Rates Are Low -- Return Rates Are High
  • 72. Webcam Social Shopper
  • 73. Fashionista
  • 74.
  • 75. Webcam Social Shopper- 2.0
  • 76.
  • 77. ZugSTARAugmented Reality Video Conferencing
  • 78. History of Communication
    Communication Technology Has Been Rapidly Evolving Over The Years…
  • 79. Smoke Signals
  • 80. Carrier Pigeon
  • 81. Telegraph
  • 82. Telephone
  • 83. History of Communication
    But Then Something Happened Which Changed Everything…
  • 84. The First Computer
  • 85. History of Communication
    Which Helped Lead The Way To Increasingly Faster Communication Advancements…
  • 86. Text Chat
  • 87. Mobile Phone
  • 88. Social Media / Real Time Data
  • 89. History of Communication
    Proliferation Of Real-Time Data Has Led Us To The Beginning Of The Video Chat Revolution…
  • 90. iPhoneFaceTime
  • 91. Skype
  • 92. Video Chat Stats
    • Markets for webcams at $1.8 billion in 2008 are anticipated to reach $3.2 billion by 2015.
    • 93. As of March 2009, 40% of video uploads on Facebook were via webcam.
    • 94. Gartner predicts that 200 million people will pay for desktop videoconferencing by 2015.
  • But What’s Missing?
  • 95. Video Conferencing & Chat Today
    Limited to conversation
    Little to no real-time interaction or collaboration
  • 96. Video Conferencing + Augmented Reality =
    Ability to
    share and interact with content in real time
  • 97. ZugSTAR*
    *Patent Pending
  • 98. ZugSTAR*
    *Patent Pending
  • 99. The Future of AR
  • 100. Advancements In Body Recognition
    True Markerless Via An Average Webcam
    More Immersive Experience Online / Kiosk
  • 101. Advancements in Facial Recognition
    Fantasy: Personalized Ads For Tom Cruise
    Reality: Personalized Ads In Japan Based On Gender / Age
  • 102. Mobile Will Overcome
    Current Limitations:
    To Become:
    • Central touchpoint for AR
  • Augmented Reality “Rights”
    Virtual Ownership…
    Who owns ‘virtual’ space in the real world?
  • 106. Connected TVs Will Be a Powerful Medium
    U.S. shipments of web-enabled consumer electronic (CE) devices that support TV applications will grow from 14.6 million in 2010 to 83.4 million by 2014.
    By 2014, over 59 million U.S. broadband households willown at least one CE device that supports TV applications.
    By 2014, the U.S. installed base of CE devices that support TV applications will be 136 million units. (IN-STAT)
  • 107. “The best way to predict the future is to invent it.”
    - Alan Kay
  • 108. Thank You!
    Matthew Szymczyk
    CEO, Zugara
  • 109. Appendix
  • 110. Proprietary Technology #1
    ZugMO (Zugara Motion Capture)
    ZugMO is a computer interface that allows people to interact with their computer via their web cam rather than their keyboard or mouse.
    With ZugMO a person’s movements, or motions, are captured by their web cam. This allows the person to interact with their system while several feet away.
  • 111. Proprietary Technology #2
    ZugSTAR (Zugara STreaming AR)
    ZugSTAR is a web based video conferencing technology that allows people in different locations to have shared AR experiences. Like other video conferencing systems ZugSTAR allows for two-way video transmissions, but with the added functionality of allowing people to interact with one another's “augmented” experience in real time.
    DID YOU KNOW? Gartner IT predicts that by 2015 over 200 million people will be paying for video conferencing.
    With ZugSTAR, Augmented Reality becomes a technology that facilitates collaboration. People no longer need to be in the same room to manipulate and discuss 3D models, as physical distance becomes less of a barrier.
  • 112. Proprietary Technology #3
    ZugMUG (Zugara Facial Tracking)
    ZugMUG is a piece of facial tracking software that allows the webcam to determine where a person’s face is within the video stream.
    With ZugMUG a person’s face can become the “marker”, subsequently allowing for Augmented Reality executions where people no longer need to hold a piece of paper up to the webcam.
  • 113. Augmented RealityStatistics
  • 114. Augmented Reality Revenue
    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”)
  • 115. Worldwide Webcam Growth Rate
    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)
  • 116. Webcam Video Uploads on Facebook
    As of last March 2009, 40% of Facebook Video Uploads were via Webcam
    (Businessweek – Facebook Grows As A Video Platform)
  • 117. AR Polls: Browser Plug-In
    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)
  • 118. AR Polls: Do You Have a Webcam?
    Do you have a webcam on any of your computers, or do you plan to have one within 6 months? (307 Votes)