Sunday, September 22, 2013

Augmented Reality Advertising - boom or bust?

Augmented Reality is a relatively new concept that is shaping the future of digital marketing. While it is early to declare it a success, it is worth noting how this nascent technology is evolving and getting businesses to interact more with their customers through their products. From Toyota to Nivea to Disney, several brands have started adapting AR advertising in the hope of increasing customer engagement.

AR advertising lets users scan real-world products (like a cereal box, soda can, etc.) that are AR-enabled, to trigger 3D content such as games, etc. to engage customers. Since over 50% of Americans own smartphones, there is significant potential in terms of the target customers. However, given the 3D gaming-like nature of this type of advertising, it might appeal more to the younger audience who are more into gaming. Nevertheless, it opens doors for businesses to be creative in the way they choose to use the power of AR advertising to develop unique content to ultimately increase the number of customers or boost sales.

Blippar, launched in 2011, is an company in this space which has recently identified an opportunity in the convergence of AR-advertising and social media. It also provides businesses a way to know more about their customers through in-depth analytics. The following article on Tech Crunch sums up the latest features of Blippar: http://techcrunch.com/2013/09/22/blippar-ar-advertising-app-launches-social-sharing-improves-image-recognition-time/

Given that there are currently as many skeptics as there are fans of AR advertising, it will be interesting to see how businesses continue to react to this technology and make decisions to use it in their own marketing efforts.

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