Article By Thomas Harding
Here’s a bold statement, 2024 is the year of AR for brands. Queue marketers typing furiously on their keyboards…
“He means AI right? RIGHT!?”
“AR is too expensive/complex/confusing/time-consuming for my brand”
“It’s great for brand awareness and all but how does that help me at the bottom of the funnel?”
“We tried AR but couldn’t make sense of the results”
“What year is this, 2019?”
Yes I mean Augmented Reality. No, it’s not 2019. We’ll break down the rest of the points shortly but first things first, let’s start with why.
At the very heart of my logic sits the gap between consumers’ willingness, and receptivity, to AR and the application of it by advertisers. Looking at the numbers, 1.73B mobile users are expected to actively engage with AR in 2024. Snap alone recently announced that 300M+ Snapchatters engage with AR per day, on average.
According to Ipsos, 75% of consumers are interested in using AR to interact with a product before buying. I repeat 75%. And it’s not just about purchasing decisions, that same study highlighted a broad range of AR experiences that consumers are hungry for that brands are seemingly apathetic to fulfill.
Name me another example from the last 10 years where consumer demand is this much higher than brand delivery and I will personally buy you a coffee.
The craziest part of this whole situation is that the brands who are already adding AR into their advertising mix, are seeing some seriously impressive results. A study by Meta showed that brands were seeing:
- 3x boost in brand lift in campaigns that combine BAU ads and AR ads vs. BAU campaigns.
- 59% lower cost for campaigns that incorporated AR effects compared with the BAU-only campaigns.
Furthermore, ARtillery Intelligence predicts a staggering $58 billion in AR-influenced consumer spending by 2025, a substantial jump from near-zero in 2019, showcasing the impact of 3D and AR on businesses, especially in e-commerce. AR proves its versatility by impacting all sales funnel stages, from brand awareness to purchases. In fact, according to a report by Shopify, they have experienced up to 200% conversion rate increases with 3D and AR integration.
Dispelling the misconceptions
So with the scene set, let’s take a deeper dive into some of the common barriers that are holding brands back.
AR is only for brand awareness campaigns.
Don’t get me wrong, AR is excellent for the top of the funnel, but this is just a sliver of its potential for marketers. When COVID accelerated the consumer shift to online shopping, AR stepped up to fill the needs of consumers wanting to try before they buy.
From trying on makeup and clothing to placing furniture in your living room, AR lets consumers visualize their purchasing decisions from the comfort of the couch… and then purchase.
I can’t measure it
I’ll be quick on this one, AR measurement across the major platforms (Meta, TikTok, Snap) has seen significant investment over the last few years and now has all the data a marketer needs to track and measure campaign performance. Reach, Impressions, Shares, Play Time, Conversions, you name it.
The only call out here would be that if you are running a Community Effect on TikTok, you will not be able to link an external CTA from the content directly. In this situation, we recommend using a tool like Bit.ly to create a short and memorable URL specifically for your campaign. You can then track users from your AR experience through to conversion using either the built-in Bit.ly analytics or GA.
It’s too expensive/complicated/time-consuming
Given that AR first landed in the marketing tool kit with some truly eye-watering minimum buy prices ($500k+), you could be forgiven for thinking that it is out of reach for most. Thankfully, over the last few years, the foundations of making AR more accessible have been forged in three key ways:
- AR ad units can now be purchased on both Meta and Snap through their ad auctions. As well as effectively eliminating spend minimums, brands can set their objectives and let the platforms handle the optimization.
- There has been major investment from Meta and Snap into their AR development tools, Spark AR and Lens Studio respectively. These tools both make it easier to develop as well as provide access to the latest technologies for more deeply engaging creative. Admittedly, these tools do still require reasonably deep technical know-how but that brings us nicely to the last point,
- Meta’s Creator Marketplace and Snaps Lens Network Partners now make it incredibly easy for brands to find and connect with agencies and individuals to help produce AR content. There is a really wide variety of creators that cater to brand needs across the different technical requirements as well as costs.
Cheeky self shout out here – VMG Digital has just been named as one of the latest Snap Lens Network Partners.
How can AR add growth to your marketing strategy?
The needs and demands of your customers are more crucial than ever. Through AR, you can simplify the process of getting conversions if done right.
Promotes your brand effectively.
The very nature of AR being immersive and engaging bridges great marketing and advertising opportunities and can drive amazing performance.
Allows Virality.
AR is new, fresh, entertaining, and has the ability to go viral. Consumers love seeing something new from time to time and AR is shareable across all social media platforms.
Guides Purchase Decisions.
AR offers more informed consumer purchasing decisions which in return can help reduce your logistics or return costs.
How can VMG Digital help you create AR experiences?
We are TikTok & Meta-partnered creative agency, giving us special access to different AR trends, best practices, insights, and more. We have already produced 300+ AR projects to date all with an overall 96% customer satisfaction rate.
We’ve been recently recognized by Sprout Social to be one of the best TikTok Creative Agencies in 2023. Read more about our recent campaign here (spoiler alert: 1B+ views in the first two weeks)
Our talented pool of editors, designers, and animators will also make sure that we deliver high-quality & world-class output with a fast turnaround time. Through the help of our dedicated client services managers and our Create Technology (one-stop collaboration platform), we will guarantee a seamless collaboration experience.
Email template on how to start with AR. (Use this template to email your boss)
Perhaps you’re wondering how in the world you will be able to pitch this great opportunity to your boss, especially now that your time might be a little constrained with summer getting so close (Don’t panic, we deliver projects fast!). Let’s get prepped before sending your email.
Subject: We Need Augmented Reality Ads
Hey (Insert name),
I bring great news!
While I was searching online for a possible marketing strategy for our summer campaign, I came across Augmented reality or AR. This technology has grown exponentially and has become highly popular and is now being adopted by some of the biggest retail businesses in the world. Gucci, Louis Vuitton, Coca-cola, Amazon, Walmart, Apple, and Microsoft are a few of them. AR can also make your brand viral through AR filters on Facebook and Instagram, and branded effects on TikTok, partnered with hashtag challenges. It’s immersive, engaging, fun, and fresh, and brings unique consumer experiences! The demands for AR are scorching hot and surely something we miss out on!
Don’t worry, I already found the best agency to kick this project off with! VMG Digital is a global creative agency that specializes in creating high-impact & high-performing AR ads. They are a Meta & TikTok creative agency partner with 300+ successful AR projects with an overall 96% satisfaction rate. Sprout Social has recently recognized them to be one of the top 5 creative marketing agencies in the world. Plus they offer a free 30-minute creative consultation and a 10% discount on our first project with them which is insane!
Please let me know your thoughts and I’d be happy to schedule a creative consultation with them.
Cheers.
(Insert name)
Other Useful Articles On TikTok For Businesses
Frequently Asked Questions About AR
How can AR be used in business?
From virtual try-ons, product demonstrations, virtual tours, in-store demonstrations, marketing, and advertising, AR has proven to work effectively and efficiently. It is being adopted by almost every industry around the globe.
How do you create AR for advertising?
Creating AR experiences for advertising purposes may not be possible internally unless you are equipped and experienced to do so. Your best bet is to hire a creative agency like VMG Digital that is fully packed with experience, research, and insights, and equipped with highly-talented animators, designers, and editors, to do the hard stuff for you. Learn more about AR Ads.
How do you create an AR filter?
Creating an AR filter can be a little technical and might require professional work. Sign up for our free creative consultation promo here and we will explain to you how.
No idea where to start? Don't worry!
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