While the high cost and low penetration of virtual reality headsets hinder broader application of virtual reality in business processes, mobile augmented reality applications can be accessible for over 4 billion smartphone owners worldwide.
This article provides answers to questions like:
- How is augmented reality used in business contexts?
- What are the benefits of augmented reality (AR) technology adoption?
- What factors should be considered before implementing AR solutions?
… and shares some exciting examples of using augmented reality for business purposes.
Onix has years of experience in virtual and augmented reality app development services, including preparing AR-enhanced presentations for events.
3 Universal Ways to Use Augmented Reality in Business
Let’s start with AR applications for customer experiences and relationships.
As consumers’ demands and needs evolve, businesses reimagine communication models, enrich their content strategies, and improve customer experiences using virtual and augmented reality applications.
Augmented reality business opportunities stem from its unique ability to deliver information and streamline processes.
Read also: Augmented & Virtual Reality in Marketing
Marketing and Advertising
AR can highlight things, amplify messages, improve understanding, and provide relevant data at the point it is needed. Thus AR unfolds a huge business potential for the marketing domain.
If your brand app is AR-enabled, users will be able to point their mobile camera at QR codes, bar codes, markers, or other objects and see an overlay with whatever you want them to see.
Flyers, business cards, magazines, or other marketing materials you hand out are the simplest business application of AR.
For example, Onix’s AR Magic Print project produced an innovative AR platform where printed materials come to life with captivating experiences, from interactive advertisements to educational content.
Example of AR app development by Onix – AR Magic Print
QR codes may enable customers to purchase goods, tickets, and services on the go.
Learn more: QR Codes for Payments: How to Implement and Why?
AR can make a magazine issue special by adding a dimension to the illustrations. Travel companies can use AR apps to show travelers superimposed views of the cities and sites to visit.
You can see many AR business applications in the retail sector, where forward-thinking brands are using AR to connect with their consumers meaningfully and creatively.
Here’s Onix’s demo of a supermarket AR scanner. When you scan a barcode on a product, the system quickly recognizes it and retrieves the product’s description, ingredients, visual representation, and even price comparisons.
QR codes can also serve advertising purposes within stores. For instance, a customer may scan a QR code on a promotional poster and be directed to where the promoted product is located, relative to their current position.
Retailers can enhance store windows by showing hologram models wearing the garments they sell. Advertisers can add interactivity to big boards.
AR technology makes online shopping more immersive and engaging and facilitates a more efficient buying experience. Replicas of products in AR allegedly help increase sales conversion by up to 30%.
Another major application of augmented reality in business, virtual try-ons, removes one of the worst barriers in online shopping.
For example, Onix once designed an application for trying on watches in AR mode. The user would put a QR code on their wrist. The app recognized the position where the watch should be and overlaid it with a digitally rendered wristwatch of the selected model and materials.
More sophisticated face recognition technology may facilitate online sales of sunglasses, jewelry, headwear, and even cosmetics.
Graphics can also be overlaid onto physical vehicles and other items to demonstrate their inner workings and educate customers about the products.
Below, you can see an Android project by Onix’s Unity developers. AR technology and object recognition enable the demonstration of the car parts and detailed descriptions.
Whether creating an AR app or integrating AR technology into a current offering, strive to delight your audience and let them share the experience through social networks. Snapshots of virtual try-ons can entice others to try and become your customers too.
Markerless AR allows to identify objects near the user's location and place content, such as virtual products, in the real world around them.
Wormhole Blue, another Onix’s project, is a step toward such augmented reality business applications. This social application includes interactions and engagement with AR objects known as points of interest (POIs) linked with geodata.
Quests are strategically placed at specific geographical locations worldwide. When users discover a quest, they can read the task details before embarking on the adventure.
Many quests consist of multiple steps, each with its own designated geolocation on the map. Players must visit all geo-positions for each step and fulfill all tasks.
Businesses that wish to engage consumers and drive revenue should take advantage of the increasingly accessible AR marketing campaigns and attention-grabbing advertising.
Read also: AR vacuum cleaner development
Brand Awareness, Reach, and Loyalty
VR and AR enable the three E’s – engagement, experience, and entertainment – like no other medium.
Original and extraordinary mobile apps allow brands to connect and engage with consumers in a crowded marketplace. AR still helps brands stand out by surprising and entertaining audiences.
Product packaging facilitates another exciting business application of AR. When customers point their smartphones at it, AR can instantly tell the story of your brand, show personalities representing the product, and much more.
Gamification, another amazing ability of AR, is particularly good at making brand-customer interactions more educational, engaging, and memorable. Entrepreneurs’ imagination is the only limitation to the applications of AR for brand promotion.
For instance, Onix’s specialists once made a social Tarot reading app.
Players can select a Card of the Day or pick random cards to learn about their past, present, and future, love and relationships, etc. The app then presents animated illustrations and descriptions of each card.
AR functionality enables players to view card illustrations through both rear and front cameras. In the front camera mode, the illustration is superimposed onto the player's forehead.
Screenshots from Tarot Tap, a game developed by Onix team
Players can share screenshots and videos of their Tarot reading sessions with friends and invite them to join via AirDrop or Nearby Share. Connected users can observe the host's Tarot reading and discuss them via live chat.
Now imagine a game like this designed by a clothing, beauty and personal care products, or grocery brand or retailer. Notifications would urge users to open the app daily, exposing them to the logo.
Products smartly placed among vivid images might unobtrusively remind users about shopping, and personalized recommendations and offers incorporated in a card interpretation might be useful both for the player and the stores.
If you integrate AR into an existing app, you save money and time without the risk of losing your audience.
Along with generating buzz and engaging people emotionally, AR can and should be applied in practical business arenas to solve real problems.
Improved Customer Experiences
Oil companies and hairdressers, social networks and restaurants, IT service providers and artists – all are concerned about customer acquisition and retention.
Mobile applications and AR technology enhance in-store experiences with additional content. Digital search turns a camera into a sense of vision.
Passers-by can use their smartphones to scan a store’s window display and purchase the items using their phones. Inside, patrons can scan items and instantly receive information related to products for better-informed purchase decisions.
With Onix’s supermarket AR demo, the initial in-store navigation step involves scanning a QR code, which serves as the starting point. It identifies the store within the network and loads the necessary navigation model.
A virtual 3D model of the space is overlaid relative to the code’s location. Each subsequent scan enables the app to draw a path to the customer’s destination.
On a greater scale, travel companies’ AR applications can provide their clients with itineraries, area maps, and tips about local tourist attractions, best restaurants, etc.
Learn more: AR and VR Opportunities in Travel Applications
AR-assisted ‘try before they buy’ experiences will lead to fewer customers returning the goods and more customers satisfied with the products and overall experience. They will shop more frequently. Moreover, a business can offer more personalized experiences without hiring extra staff.
Another great use case presents itself after a purchase. Comprehensive AR manuals and maintenance instructions can be created for vehicles, home appliances, medical equipment, industrial machinery, etc.
When users scan various system areas with a smartphone or tablet, an AR app will overlay them with specific functionality details, how-to information for repairs and maintenance, etc., in the desired language.
Reduced downtime and associated costs thanks to the ability to identify problems and perform repairs faster will further improve customer satisfaction.
AR technology also provides product visualization in the construction and interior design areas. 2D blueprints can be replaced with augmented models for customization. Interactive 3D walkthroughs can show the results of a planned renovation or home improvement project.
Internal Augmented Reality Business Applications
The applications of AR in business-facing departments are as varied as businesses themselves.
Companies have to train employees, improve their performance, and foster safety and job satisfaction. AR technology can assist with these needs by bringing the right content in the right format in the context of jobs and environments.
With AR, mobile workforce can be connected to remote experts who will superimpose the required markings, messages, etc., directly onto a worker's field of view. One of the best examples is the use of AR smart glasses in manufacturing, warehousing, and field service environments.
Below, you can see a concept of interactive engine disassembly instructions made by Onix’s Unity team for Apple Vision Pro visionOs that illustrates its principle.
Learn more: VisionOs App Development: Use Cases and Opportunities
Onix also once developed an app concept for HoloLens that helps monitor forklift data.
The data was collected from the engine, GPS system, and accelerometer; it was represented through UI elements and in a chart format with sampling (a week, one day, 5 minutes, and 1 minute).
AR technology can be deployed for warehouse management. Instead of spending minutes finding and counting inventory, an employee wearing an AR device looks at a container, scans it, and is directed to the next container.
The use of AR reduces confusion, improves safety, and takes pressure off engineers. AR training apps facilitate onboarding with minimal risk to the employee and workplace operations.
They speed up the employee training process, help reduce the potential for errors, streamline data collection, and facilitate report generation. The ability to train staff and apply the same training across locations is especially valuable for large franchises.
The introduction of AR also positively impacts creative tasks. AR equips artists and computer-aided design modelers with a means to render products in a 3D space. It can be used at early-stage product design and development, helping to bring designs from concept to reality.
Below, you can see how Onix’s PDF editor for HoloLens works. Users can draw rectangles, circles, and lines, choose colors and opacity, write and highlight text on PDF documents, and save edited documents with selectable layers.
In manufacturing, AR may help reduce or even avoid the costs associated with testing, prototypes, and perfecting engineering tolerances.
Considerations for Implementing AR in Business Processes
Before implementing AR in business processes and workflows, it’s essential to develop strategies for using the AR application to its full potential. Organizations, especially in traditional industries, should also be aware of possible hurdles to AR adoption.
Some of the challenges and factors to consider before implementing AR solutions include:
Identifying objectives for the implementation.
The AR application must solve a real problem for your business or your customers. The objectives should be clearly defined and aligned with your business strategy. You can drive measurable results by ensuring that the AR application fulfills a genuine need and furthers a SMART goal.
The (work) environment.
Details like stable Internet connections, indoor or outdoor lighting conditions, or work conditions requiring hands-free solutions will determine the device on which your AR solution should run and the application’s specifics.
The organization may also have to adjust the environment for the chosen AR glasses’ or mobile app’s optimal performance.
Economic considerations.
For organizations that operate on slim margins, the initial investment in AR app development, hardware, and staff training can be daunting.
Ongoing training should include regular refresher courses, updates on new features, and chats or meetings where employees can share their concerns. The management should also consider ongoing costs associated with updates and maintenance of the software and hardware.
Return on investment (ROI) considerations.
It may be difficult to define the ROI for implementing augmented reality for business purposes over a short term and long term, e.g., how much time and money the entity expects to save, whether AR app development will pay off within a short term, and so forth.
Technological infrastructure challenges.
Ensuring the new application’s seamless integration with the organization’s existing software is essential. You may need to integrate an AR solution with business software like ERP or CRM systems.
Enterprises in traditional industries often rely on legacy systems and machinery, so integrating innovative AR tools may be challenging.
Read also: 30 Ways to Transform Your Company with ERP Business Software
Adaptation for diverse platforms.
Target audiences have a variety of devices at their disposal: smartphones, tablets, smart glasses, and headsets.
Crafting AR experiences for each platform natively can be expensive and requires dedicated teams to tailor and fine-tune the experiences to each platform’s unique technical specifications, limitations, and capabilities.
Security considerations.
Safety will not be a big issue with an on-premise database that a limited number of people can access. In the case of cloud databases, the software developers would have to secure the flow of data from AR devices to the cloud and vice-versa.
Read also: mHealth App Development with an Eye on Health Data Security
Organizational culture and workforce readiness.
Employees may be reluctant or even resistant to AR-enabled solutions, viewing them more as a complication than aid. Older employees may need education and intensive training during the AR app implementation.
Future Trends and Growth of AR Applications in Business
The global AR market was valued at USD 21.2 billion in 2023, with the industrial and manufacturing segment capturing over 25% share. In 2024, it is expected to total USD 29.6 billion and, growing at a whooping CAGR of 39.5%, should approach USD 592 billion by 2033.
Organizations and enterprises use mobile augmented reality more than ever, especially for tasks like remote assistance, training, and product visualization. The mobile AR market is projected to grow at a CAGR of 30.4% and reach USD 13.72 billion by 2028.
The key drivers of the AR market growth include:
- the increasing adoption of AR technology in the healthcare industry
- growing demand for AR in retail, e-commerce,
- growing demand in the aerospace, defense, and consumer electronics sectors
The Asia-Pacific region should witness the highest CAGR in 2022-2029 fueled by
- the thriving manufacturing sector in China and Japan
- Japan’s flourishing healthcare and automotive sectors
- growing gaming industry in the region
North America, which captured 36% of the global AR market in 2023, will continue playing an important role.
The gaming, entertainment, and automotive sectors have rapidly embraced AR and VR technology; businesses in the traditional industries need to catch up in their AR adoption.
Here are several trends that are likely to determine the development and adoption of AR technology in the coming years:
AI-powered AR applications
AR technology is advancing beyond using artificial intelligence (AI) to interpret sensor and consumer data. Several AI-facilitated tasks can enhance AR experiences: generating realistic human models and object scans, object detection and labeling, text recognition, and translation.
Read also: How AI Can Transform Your Business
We can expect the integration of generative AI with AR to enhance the creation of digital worlds, artwork, and realistic characters. AI models like Chat-GPT show a lot of promise for use in combination with AR, e.g., for creating and manipulating 3D objects using natural language processing and generative AI.
Read also: Generative AI in Travel: Unlocking Personalized Experiences
Metaverse development with AR technology
Augmented reality is often associated with metaverse topics. The AR Metaverse, a convergence of physical and digital worlds, is still a buzzword in the gaming and entertainment industry.
AR Metaverse takes the form of holograms, 3D objects, or other digital elements overlaid onto real-world environments through smartphones’ cameras or smart glasses.
The new cohesive digital platform can find applications in social media, gaming, entertainment, education, shopping, and collaboration.
For example, Apple’s Vision Pro owners can use realistic avatar templates to support meaningful interactions in their visionOS apps. These ‘Spatial Personas’ use machine learning to display more body language and face tracking for more natural AR experiences.
Web AR for more accessible experiences
The most powerful AR experiences are still out of reach for most consumers due to the low penetration of dedicated devices or hardware incompatibility. However, AR experiences provided through a web browser are compatible with most devices with a camera.
Although less robust than native mobile AR applications, web AR can provide face filters, change objects’ colors, replace backgrounds, and overlay simple 3D objects that can be enough for online shopping or social networks.
AR technology will continue to evolve, offer increasingly immersive, interactive, and innovative experiences, and expand to new sectors, especially when amplified by combination with other technologies.
The Takeaway
Whether you’re looking to upgrade your mobile app or make your business innovative, it’s time to invest in augmented and virtual reality business ideas.
Read also: A Deep Dive into Adapting Your App for Virtual Reality
VR and AR offer businesses a new way of interacting with customers, prospects, colleagues, employees, and the world. The smartest companies are already taking advantage of AR in business-facing and customer-facing operations.
New VR and AR devices keep emerging. Software development companies will continue creating solutions for top market players and most creative companies. Those who exploit augmented reality business applications before the competitors will gain an edge and occupy niches.
Outsourcing your augmented reality app development may help you save the budget dramatically and accelerate your market entry.
Partnering with experienced AI developers can help you achieve your most ambitious vision.
Get in touch to find out how Onix can develop an affordable but practical VR or AR solution for you!
FAQ
How is augmented reality used in businesses across various industries?
- E-commerce and retail businesses utilize AR to enhance customer experience, e.g., through virtual try-ons and in-room product visualizations.
- Educational organizations increasingly adopt AR to create interactive and engaging learning experiences, especially in subjects like science and history.
Learn more: AR for Kids: Market Insights & Use Cases
- Healthcare organizations use AR for medical training, surgical simulations, patient education, and treatment visualization.
- The gaming and entertainment industry uses AR to produce innovative gaming formats and interactive content.
- In the automotive industry, AR is used by the design, manufacturing, and marketing departments.
How does augmented reality impact customer experiences and interactions?
AR changes the way consumers experience goods and brands. The ability to interact and immerse themselves with products before buying raises the level of customer service.
Impactful and engaging AR experiences promote purchasing decisions and increase sales of goods that typically require physical try-ons and sampling. Creative AR solutions stand out over other competitors and help build loyalty.
Is augmented reality suitable for all types and sizes of businesses?
Yes, virtually any company can utilize different modalities of AR technology both in customer-facing and internal business and production processes. The technology and hardware are becoming increasingly feasible financially and otherwise.
How can businesses start implementing augmented reality in their operations?
The best way to start using augmented reality for business- and customer-facing operations is to consult AR tech specialists, such as Onix. They can suggest optimal solutions for a company’s unique needs, identify potential pitfalls, and recommend implementation strategies.
Enterprises that perceive immediate integration of AR applications as risky can adopt a phased approach or run pilot programs testing AR implementation.
Effective adoption of AR in work environments also requires staff training. To foster a more receptive environment, companies can appoint “AR champions” to educate and help colleagues navigate the technology.
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