Virtual and Augmented Reality: Are Companies Underestimating its Power?

Both types of technologies bring great benefits for companies that go far beyond gaming to directly target consumers.

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Digital M&A firm Digi-Capital Report 2015

An increasing number of companies are finding it more difficult to communicate with consumers both offline and online, due to the amount of traffic and noise they are continually being exposed to, according to the 2015 Global Marketing Report by Razorfish.

Up to 79% of both Generation Y and X consumers are vastly redefining online-content expectations, with interactivity being a primary choice in recall. A change in how people consume content only makes technologies Virtual (VR) and Augmented Reality (AR) even more essential in engaging consumers on multi-level platforms. Therefore, companies should not simply dismiss these platforms as merely ‘hype’, but fully utilise it to benefit themselves.

Both AR and VR may co-exist but there are differences. VR is primarily about immersion, placing the viewer into the virtual world- ideal for gaming, entertainment and trainings. Yet, AR alters the real environment by placing digital into its surroundings- altering and merging the virtual into the context of the real-world.

The nature of both technologies helps consumers not only visualise what products might look like in their homes or in use, it allows them to interact with it like as if it is actually there. For example, Apple online demonstrations affords customers a 360 degree worldview. The extent of VR effectiveness lies in how the technology’s tracking and rendering engine makes products very lifelike, creating a more systematic and memorable way to remember the product.

At the 2015 Future of Storytelling Summit, Dr. Diane Dempsey highlighted how AR will fundamentally change the way we learn and experience the world. Companies are taking education a step further by using AR to help primary school students learn through visual imaging such as ZooBurst1. Another example is GeoGoggle2, which aids companies in helping the consumer direct them to their buildings.

Businesses may also target other companies such as the use of the Cimagine3 app. The software uses images of the retailer’s digital product catalogue and superimposes them onto the headset or smartphone screen.

Both types of technologies are about to become explosive growths in the markets by companies like Microsoft and Google for the HoloLens and Oculus Rift. A 2015 report predicted that both the AR and VR industries, by 2020, will be worth more than $150 billion, making it the new future for technology, according to the digital M&A firm Digi-Capital4.

The trend is predicted to be a long-term, sustainable one as both businesses and consumers jump onto the bandwagon.

The virtual world allows one to inhabit, interact and fully immerse in the experience. It can change the way one sees a product or world, changing our future in ways we did not imagine.

References:

1. ZooBurst allows students to create presentations and communicate complex ideas through virtual models.

2. GeoGoggle helps one to improve their geographical direction.

3. Cimagine– Example: Coca-Cola already uses the software to showcase their vending machines in different positions to restaurants and cinemas.

#AR #VR #Gaming #Business