Augmented Reality In Marketing Role And Applications
1. IRJMST Vol 8 Issue 11 [Year 2017] ISSN 2250 – 1959 (0nline) 2348 – 9367 (Print)
Augmented Reality in Marketing: Role and Applications
Sri Aurobindo College (Eve), University Of Delhi
In this era of technology, inventions are taking place every day. Augmented reality although a new
concept but it has grown it's roots and spread it's role in various fields such as gaming, entertainment,
education, marketing , travel and tourism, social media etc. Augmented reality is basically a
technology that present a computer generated view of the real world . It provides a composite view
about the reality. This paper focuses upon how the augmented reality has grown its role in marketing
and offered advantage of interactive and augmented customers. Marketing follow latest trends and
technologies in order to connect with the customer and beat the competition, in this path of
marketing augmented reality proves to be a good tool to grab the interest of customer and market.
Key words: Augmented reality, marketing, technology, customers.
Consumeris the king of market.In order to create, sustain and improve relationship with customers
every organization needs to stay updated with ever changing customer wants. In today‟s technology
savvy world, Augmented reality is one of the newer forms of strategies adopted by companies. It is
viewed as an ideal way of delivering persuasive messages to technology driven society. Over the past
couple of years, augmented reality has emerged as one of the latest and widely accepted concept in
marketing. Earlier, it was considered to be the same as virtual reality. Where VR is still in the
process of adoption, AR has come to the limelight. It is expected to change the way consumer thinks,
plans and indulges into purchase decisions in a short span of time and thereby helping consumers
augment their world with tailored experiences to enhance their daily lives. With the viral success of
Pokémon Go in 2016, presence of Augmented reality applications is felt. According toa Deloitte
survey, 88 percent of mid-market companies(firms with annual revenues of between $100 million and
$1 billion) are already using some form of virtual or augmented reality as part of their business.
Brands are using AR to interact with their customers and share real time experience, thereby
indulging them in purchase decisions. AR is no longer a funny or imaginative application for the
products. It is useful in creating a real-life experiences for indulging buyers in buying behavior. Due
to its increasing use in present world, it is the best time to introduce an app that will draw customer's
attention to the product or can become a part of a successful marketing campaign.
2. IRJMST Vol 8 Issue 11 [Year 2017] ISSN 2250 – 1959 (0nline) 2348 – 9367 (Print)
Augmented reality is a technology that superimposes a computer-generated image on a user's view of
the real world, thus providing a composite view. It integrates digital information with the user's
environment in real time. Unlike virtual reality, which creates a totally artificial environment,
augmented reality uses the existing environment and overlays new information. Both virtual reality
and augmented reality were introduced in gaming, now they are being used in various fields.
AR in Gaming and entertainment
The entertainment industry has been using augmented reality from a couple of years. AR apps
succeed in terms of interactivity offered by them. If used to the maximum AR can create an
environment where users can experience and interact with the movie characters. AR and gaming are
expected to go together in near future. Its ability to add super unique features add a much needed
advantage for the users.
AR in Education
The education sector has been little slow to embrace new technologies. In the current world of e
learning. Knowledge seekers are keen to learn using the latest apps, e classrooms etc. There are
various apps like Google Sky maps (learning astronomy), Geogoggle (learning Geography),
Zooburst(story telling) etc. there being a number of apps in education, only a few of AR apps can
change the face of learning in classroom. Augmented reality is a trend that is worth following as new
apps and technologies are developing to make learning interesting, innovative and fun. It brings us
one step forwards for a global society.
AR in Travel and Tourism
GPS mobile apps with AR can show tourist routes and directions, translate the signs on the street,
give information about sightseeing etc. for their desired destinations.
Augmented Reality in Social Media
Social media companies like Facebook and Snapchat are taking steps to incorporate augmented
reality into their platform.
Facebook is going to open the camera on its Facebook app to AR developers allowing them to use
location, object recognition and real-time image processing
Snapchat is headed toward being more than a photo sharing app. It changed its name to Snap Inc and
it is going to offer a 24-hour window to the brands for providing ad space.
AR in Marketing
Marketing is the study and management of exchange relationships. The American Marketing
Association has defined marketing as “the activity, set of institutions, and processes for creating,
communicating, delivering and exchanging offerings that have value to customers, clients, partners
and society at large”. In the process of delivering values to the customers, sellers are committed to
modernize their processes and delivering superior values to their clients. In this scenario, AR serves
as an added advantage over physical form of marketing. It is viewed as the ideal way of delivering
persuasive messages to technological minded audience.It has gained wide acceptance by offering
It helps consumer in creating their personalised experience as the technology is unique and
It helps them to share their personalized content i.e. viral augmented reality marketing.
It enables users to create their own unique featured products.
Interactivity maintains retention of users and promoting digital world.
3. IRJMST Vol 8 Issue 11 [Year 2017] ISSN 2250 – 1959 (0nline) 2348 – 9367 (Print)
The Concept of augmented reality is an emerging trend. It is still in the process of fixing its roots.
There being a limited application and controversy on the issue, scarce literature was found. Marius
Bulearca and Daniel Tamarjan(2010) studied the ways in which Augmented Reality Experiential
Marketing contributes to creation of customer satisfaction and thereby increasing customer loyalty,
repetitive purchase intention, positive word of mouth or greater market share.
Ana Javornik(2014) investigated uses of AR in marketing and proposed classification schemas for
Ooi Jin & Rashad Yazdanifard (2015) discussed how Augmented Reality Experiential Marketing is
used to stay connected with customers more effectively with hi-technological equipment.
Most of studies and applications support augmented reality. Its increasing applications and adoption
visualize of a future where most of consumers‟ purchase decisions will be influenced by augmented
There being a number of Purposes augmented reality can serve. The current study seeks to test as to
what extent it is going to be Successful marketing tool. For the said purpose, present uses of
Augmented reality are examined and its applications are studied. Its advantages and growth
prospects are analysed. The paper is a conceptual paper it focuses on studying augmented reality in
current scenario and drawing conclusion about its future and growth prospects.
Working of AR Applications
AR apps are designed in special 3D programs by the developer using animation or contextual digital
information in the computer program. When a computing device's AR app or browser receives
digital information from a known marker, it executes the marker's code and layer the correct images.
AR applications for smartphones typically include global positioning system (GPS) locate the device.
Sophisticated AR programs used by the military for training may include machine vision, object
recognition and gesture recognition technologies.
Augmented Reality in application
Many brands have attempted to create an engaging experience for potential clients by using AR
IBM has built an app that allows shoppers to browse through products in a store and use augmented
reality to display product information such as nutritional value (in case of food), incentives, loyalty
points etc. Consumers can set their own standards in order of their preference and use camera of their
device to identify the products that meet their standards.
Siemens uses AR-aided product demonstrations, By scanning brochures users can simulate a virtual
model of their new Acvatix product line with detailed technical specifications.
Similarly, Lufthansa has developed an AR app to promote their premium economy seats. To open
the app, the user is asked to draw an object that can fly. The object is scanned with the app and user
is shown a 3d model of the new premium economy chair and its features.
Topshop built a kiosk that shows the image of the user and overlays the selected dresses on their
bodies. Also, the person can change dresses using simple gestures as waving in the air.
Dulux has designed an app for experiencing real world experience. User can re color the walls by
using an app. By pointing the app towards the walls, the users can re-color the room in real-time.
You can also choose color schemes and take screenshots that you like and share them
Maybelline ran print ads in several US magazines giving readers the unique opportunity to virtually
try on the new range of colors.
Argos designed holiday catalogue shoppable with the Blippar app . Readers „blipp‟ the pages to
instantly buy items.
Coca-Cola, used its 250ml cans as portable interactive Spotify jukeboxes. Users could use their
smartphone to listen to the top 50 UK songs at that moment on Spotify by holding can.
4. IRJMST Vol 8 Issue 11 [Year 2017] ISSN 2250 – 1959 (0nline) 2348 – 9367 (Print)
Pepsi developed AR enabled billboard in london. While waiting for a bus, unwitting people would
be able to see flying saucers, tigers and asteroids approaching them through the advert. Proving that
AR doesn‟t just have to be contained on a wearable or smartphone.
Google Lens aims to make smartphone camera even smarter by being able to accurately identify
most objects by sight.
Jay Samit serves as the independent vice chairman for the Digital Reality Practice at Deloitte Digital
and focuses on providing virtual reality, augmented reality and mixed reality solutions for corporate
and public sector clients. Samit has more than 30 years experience in digital transformation and is
widely recognized as one of the world's leading experts on disruption and innovation. His
international bestseller "Disrupt You! Master Personal Transformation, Seize Opportunity and Thrive in the
Era of Endless Innovation" has been translated into six languages.
Fashion retailer Rebecca Minkoff have “magic mirrors” in the fitting rooms of some of their flagship
stores. It is an amazing experience for customers that in turn builds up brand loyalty.Rebecca
Minkoff‟s connected stores had a 50% increase in sales year over year from 2014 to 2015.
Role of Augmented Marketing in changing the Marketing Scenario
In the current scenario, it is very difficult for brands to reach customers through physical forms of
marketing. Social media, print ads, and online marketing have evolved as current trend. This is the
reason that marketers are assigning special importance to augmented marketing. By using tools like
online marketing and applying it to real world, AR can give a new face to the marketing process.
Multinational brands can use AR to display their products on any surface or person. Clothing
retailers using augmented reality as a virtual fitting room can help consumers see how something
looks on them before adding it to their shopping cart. Furniture stores can place virtual furniture
inside of homes, or shrink the physical space of a showroom and let customers decide what to place
there using AR apps.
Use of AR apps in marketing
There are a number of ways in which AR apps can add a value to marketing. A few broad categories
are discussed here. These apps offer marketers a big opportunity to capture a larger share of market.
Virtual showroom AR apps allow to try objects before purchase, one can see himself as if the
furniture does match with his living room without much thinking and imagination.
Another example is Roomle, a floor planning and interior design app that lets users visualize
furniture and decorations from its partner brands in their intended environment.
Google‟s Tango AR platform offers 3D mapping and physical space measurement capabilities which
can be applied to a virtual showroom experience.
BMW developed an app that allows users to import a virtual car into their surroundings and customize
it, and even save a photograph of it to their device.
It may be inferred that augmented reality is a boon for selling process. On the similar lines, by
offering the advantage of real time experience, it complements online marketing.
Virtual showroom apps confine AR technology to indoor environment, but location-based apps
provide outdoor exposure. These apps are designed to provide additional information about the world
as you explore it – can be thought of like an AR version of Google Maps.
A business which is featured in a location-based AR app enjoys the opportunity to present itself to
consumers as they explore their surroundings.
The Wikitude World Browser (now Wikitude) is a location-based augmented reality app that
integrates with sites like Wikipedia, Google Places and TripAdvisor to find information about nearby
5. IRJMST Vol 8 Issue 11 [Year 2017] ISSN 2250 – 1959 (0nline) 2348 – 9367 (Print)
A more recent example of a location-based AR app is Localscope which is specifically designed for
iPhone. It acquires draws its information from external sources like Google, Bing and Foursquare as
wikitude does, in order to provide it‟s users information about the local businesses surrounding them
as they browse their environment with its augmented reality view.
Location-based AR might be considered as the natural next stage for local SEO, as SEO is focusing on
optimizing “near me” search.
Once location based augmented reality is set up. It can be maximized by adding more features to it
and a larger share of market will be captured.
Additional content AR
Addtional content AR are those augmented reality apps which allow users to access additional
content and information as they interact with the objects in their surroundings.
Additional content AR is the most popular type of AR for marketing, brands like Maybelline, Argos,
American Apparel have been using it to create memorable and interactive experiences triggered by
their products, stores, catalogs and packaging.
Cost Of AR App Development
Augmented reality app development cost depends on various factors.
The very first step is to design the contents of application.
The cost to develop an AR app consists of three components:
The place, where additional reality should appear
The information that the user is supposed to get
The manner in which experience will be shared.
Technology that helps define the place might involve 2D and 3D image tracking and matching, face
recognition, SLAM (Simultaneous localization and mapping) and location tracking. The last one also
includes GPS, accelerometer, gyroscope, and compass.
Conclusion & Recommendation
Augmented reality is an emerging trend that offers an advantage of interactive and connected
consumers. Marketers are always committed to utilize the latest technology to attract its customers.
In a demand driven market, marketers are always bound to impress the king of the market. The
concept of augmented reality once brought into regular practice will change the way of thinking
about the advertising. other forms of marketing would have to adapt to audiences expecting
interactive advertisements to keep their attention and ultimately make the sale.
Augmented reality marketing campaigns are still rare, and require a significant investment of time
and resources, providing quite a high barrier to entry for smaller businesses and brands who want to
try AR on for size. However, the growth of augmented reality doesn‟t mean it will have to compete
with ad space, instead it will complement it. It may not be as cost effective (yet) and is much more
complex than SEO or social media marketing, but brands are looking to jump aboard the AR train.
Varadarajan, R., Srinivasan, R., Vadakkepatt, G. G., Yadav, M. S., Pavlou, P. A., Krishnamurthy, S.,
& Krause, T,2010, Interactive technologies and retailing strategy: A review, conceptual framework
and future research directions, Journal of Interactive Marketing, Vol. 24, no.2, pp.96-110.
Shankar, V., Venkatesh, A., Hofacker, C., & Naik, P.,2010, Mobile marketing in the retailing
environment: current insights and future research avenues, Journal of interactive marketing,
Calder, B. J., Malthouse, E. C., & Schaedel, U. ,2009, An experimental study of the relationship
between online engagement and advertising effectiveness, Journal of Interactive Marketing, vol. 23,
no. 4, pp. 321-331.
6. IRJMST Vol 8 Issue 11 [Year 2017] ISSN 2250 – 1959 (0nline) 2348 – 9367 (Print)
Carmigniani, J., Furht, B., Anisetti, M., Ceravolo, P., Damiani, E., & Ivkovic, M. ,2011, Augmented
reality technologies, systems and applications, Multimedia Tools and Applications, Vol. 51, no. 1,
Kotler, P., Keller, K., Brady, M., Goodman, M., & Hanser, T.,2012,. Marketing Management,
Harlow: Pearson Education.
Solomon, M. R., Polegato, R., & Zaichkowsky, J. L., 2009, Consumer behavior: buying, having, and
being, Vol. 6, Upper Saddle River, NJ: Pearson Prentice Hall.
ABI Research, 2009. ABI Research Anticipates “Dramatic Growth” for Augmented Reality via
Smartphones. Available from: http://www.abiresearch.com
Barsky, J., Nash, L., 2003. Customer satisfaction: Applying concepts to industry-wide measures.
Cornell Hotel and Restaurant Administration Quarterly, 44(5/6), 173-183. Available from:
www.ebscohost.com [Accessed: 11 February 2010
Bearden,W. O., Teel, J. E., 1983, Selected determinants of consumer satisfaction and complaint
reports, Journal of Marketing Research, vol. 20, no.1, pp. 21-28. Available from:
Bell, J., 2005, Doing your Research Project – a guide for first time researchers in education, health
and social science, 4th ed., Maidenhead: Open University Press.
Benjamin, K., 2009, Augmented Reality – Battle of the Brands, Revolution Magazine, December,
Berry, L. L., Carbone, L. P., Haeckel, S. H.,2002, Managing the total customer experience, MIT
Sloan Management Review, 43(3), 85-89. Available from: www.ebscohost.com
Bigham, L., 2005, Experiential Marketing: New Consumer Research, Jack Morton. Available from:
Chou, H.J., 2009, The effect of experiential and relationship marketing on customer value: A case
study of international American casual dining chains in Taiwan, Social Behaviour and Personality,
vol. 37, no.7, pp. 993-1008. Available from: www.ebscohost.com
Churchill, G.A. and Iacobucci, D., 2005. Marketing Research – methodological foundations, 9th ed.,
Clawson, T., 2009, Augmented Reality – Don‟t Believe The Hype, Revolution Magazine, December,
Collis, J. and Hussey, R., 2009, Business Research – a practical guide for undergraduate and
postgraduate students, 3rd ed., Hampshire: Palgrave Macmillan.
Cronin, J. J., Brady, M. K., Hult, G. T. M., 2000, Assessing the effects of quality, value, and
customer satisfaction on consumer behavioral intentions in service environments. Journal of
Retailing, vol. 76 no.2, pp. 193-218. Available from: www.ebscohost.com
Daymon, C. and Holloway, I., 2002, Qualitative Research Methods in Public Relations and
Marketing Communications, London: Routledge
Denegri-Knott, J., Molesworth, M., forthcoming 2010. Consumptions, Markets and Culture –
Concepts and Practices of Digital Virtual Consumption.
Ehrenberg, A.S.C., 2000, Repetitive Advertising and The Consumer, Journal of Advertising
Research, vol.40, no.6, pp. 39-48. Available from: www.ebscohost.com
Ennew, C. T., Binks, M. R., 1999, Impact of participative service relationships on quality,
satisfaction and retention: An exploratory study. Journal of Business Research, vol. 46, no.2, pp.
121-132. Available from: www.ebscohost.com
Farhad, M., 2009, Augmented Reality Swoops In, Fast Company, 140. Available from Business
Source Complete. Available from: www.ebscohost.com
Fill, C., 2009,Marketing Communications: Interactivity, Communities and Content, 5th ed, Harlow:
Fornell, C., 1992, A national customer satisfaction barometer: The Swedish experience, Journal of
Marketing, vol.56, no.1, pp. 6-21. Available from: www.ebscohost.com
7. IRJMST Vol 8 Issue 11 [Year 2017] ISSN 2250 – 1959 (0nline) 2348 – 9367 (Print)
Fornell, C., Johnson, M. D., Anderson, E. W., Cha, J., & Bryant, B. E., 1996, The American
Customer Satisfaction Index: Nature, purpose, and findings, Journal of Marketing, vol.60, no.4, pp.
7-18. Available from: www.ebscohost.com
Johnson, M. D., Herrmann, A., & Gustafsson, A., 2002, Comparing customer satisfaction across
industries and countries, Journal of Economic Psychology, vol. 23, no.6, pp. 749-769. Available
King, R., 2009, Augmented Reality Helps Sell the Product, Business Week. Available from:
Kotler, P., Armstrong, G., 2000, Marketing: An introduction, New Jersey: Prentice Hall.
Kunur, P., 2009, The Explainer: What‟s Augmented Reality?, Advertising Age, vol. 80, no. 30.
Available from: www.ebscohost.com
Lamantia, J., 2009, Inside out: Interaction Design for Augmented Reality, August. Available from:
Martensen, A., Kristensen, K., Gronholdt, L., 2000, The drivers of customer satisfaction and loyalty:
cross-industry findings from Denmark, Total Quality Management, 11(4,5 & 6), s544-s553.
Available from: www.ebscohost.com
Mathwick, C., Malhotra, N., & Rigdon, E., 2001. Experiential value: Conceptualization,
measurement and application in the catalog and Internet shopping environment. Journal of Retailing,
77(1), 39-56. Available from: www.ebscohost.com
Owyang, J., 2010, Disruptive Technology – The New Reality Will be Augmented, Customer
Relationship Management Magazine, vol. 32, no.2, pp. 32-33. Available from: www.ebscohost.com
Patterson, G. P., & Spreng, A. R., 1997, Modeling the relationship between perceived value,
satisfaction and repurchase intentions in a business-to-business, service context: An empirical
examination, The International Journal of Service Industry Management, 8(5), 415-432. Available
Pine, B.J. II, Gilmore, J.H., 1998. Welcome to the experience e conomy, Harvard Business Review,
vol. 76, no. 4, pp. 97-105, Available from: www.ebscohost.com
Prahalad, C.K., Ramaswamy, V., 2000, Co-opting Customer Competence, Harvard Business Review,
vol.78 no.1, pp. 79-87. Available from: www.ebscohost.com
Schmitt, B.H., 1999, Experiential Marketing, Journal of Marketing Management, vol.15, pp. 53-67,
Available from: http://www.emerald.co.uk
Shute, T., 2009. Is It „OMG Finally‟ for Augmented Reality? Interview with Robert Rice. UgoTrade:
Virtual Realities in “World 2.0.”. Available from: http://www.ugotrade.com/
Sweeney, J. C., Soutar, G. N., & Johnson, L. W., 1999, The role of perceived risk in the qualityvalue
relationship: A study in a retail environment. Journal of Retailing, vol.75, no. 1, pp. 77-105.
Available from: www.ebscohost.com
Web-Strategist, 2009, Breakdown: Lego‟s “Digital Box”, an Augmented Reality Kiosk, Available
Woodruff, R.B., 1997, Customer Value: The Next Source For Competitive Advantage. Journal of the
Academy of Marketing Science, vol. 25 no.2, pp.139-153. Available from: www.ebscohost.com
Woodsa, A., 2009, Augmented Reality: Reality Check, Revolution Magazine, April, 36-39.
Available from: www.ebscohost.com
Woodsb, A., 2009, Augmented Reality, Revolution Magazine, September, 48-49. Available from:
Wright, L.T. and Crimp, M., 2000, The Marketing Research process. 5th ed., Harlow: Pearson.
Yuan, Y., Wu, C., 2008, Relationships Among Experiential Marketing, Experiential Value and
Customer Satisfaction, Journal of Hospitality & Tourism Research, vol. 32, no. 3, pp. 387-410.
Available from: www.ebscohost.com
8. IRJMST Vol 8 Issue 11 [Year 2017] ISSN 2250 – 1959 (0nline) 2348 – 9367 (Print)
AR in marketing accessed through https://googleweblight.com/i?u=https://www.vrs.org.uk/augmented-
Deloitte case accessed through http://googleweblight.com/i?u=http://adage.com/article/deloitte-
Augmented marketing accessed through https://www.quora.com/What-is-augmented-marketing
AR apps and uses accessed through https://googleweblight.com/i?u=https://www.clickz.com/what-
Augmented vs. virtual reality accessed through
Uses of AR accessed through http://googleweblight.com/i?u=http://www.augment.com/blog/10-use-
Augmented reality meaning accessed through http://whatis.techtarget.com/definition/augmented-