Global AR in Retail Market Insights and Forecast to 2028

Due to the rapid expansion of easy convenient shopping and eCommerce, the need for accurately addressing the pain points of consumers has risen considerably. Augmented Reality(AR) helps in better customer care leading to an enhanced consumer experience. Thus increasing internet penetration, huge investments in IoT technology, and the need for better customer experience are expected to provide ample opportunities for the growth of Augmented Reality in the Retail Market during the forecast period.

Increasing adoption of smart AR mirrors in the clothing and jewelry industry

The rapid use of virtual try-on solutions in the clothing and jewelry industry is leading to the widescale adoption of Augmented Reality. The try before you buy system in the virtual clothing fitting and virtual try-on solutions in jewelry stores are driving huge demand ultimately creating lucrative opportunities for the growth of Augmented Reality in the Retail Market. Also, lower costs of storage, lower inventory, and engaging user experience will drive the market growth during the forecast period. Moreover, AR will enable brands to interact with consumers in a unique way eliminating unnecessary costs and escalations. Product launches will become easier with direct showcasing of clothing lines without the need for shipping and return costs thereby providing the consumer with an immersive experience.

Growing usage in the advertising, decoration, and marketing space and easy compatibility with hardware devices

AR is being increasingly adopted in the advertising and marketing space for providing more engaging marketing campaigns leading to better conversion rates. AR helps marketers connect emotionally with their consumers and provides them with a fun, interactive experience that is also affordable in comparison to traditional forms of advertisement. Augmented Reality(AR) is compatible with existing hardware devices such as smartphones, tablets, wearables that can be used to drive brand awareness and attract consumers in a fast way. Further AR helps customers in furniture decoration, automotive interior design by digitally putting items so that customers can plan and design accordingly by getting a sense of it in the real world. Thus increasing usage in the advertising, marketing field and easy compatibility with various hardware devices will accelerate the growth of Augmented Reality in the Retail Market during the forecast period.

Decreasing return costs and satisfied purchase

AR helps retailers offer the product in full 3D visualizations in real-time and in their intended environment so that customers can gauge whether the product will look good in their homes or not. This enables shoppers to make better judgments, verify the features of the product, decrease friction between viewing and buying the product and reduce the temptation for ordering multiple items for trying out and then buying one while returning others, etc. This makes shoppers satisfied with their purchase leading to a lower rate of returned products. Thus lower return costs and engaging customer experience will significantly drive the growth of Augmented Reality in Retail Market during the forecast period.

AR in Retail Market Share Analysis

AR in Retail Market by Type