Encouraging customers into physical stores has become more challenging as ecommerce shopping continues to grow year on year. In fact, the global e-commerce market is projected to reach $6.3 trillion this year, increasing from $5.8 trillion in 2023. With many physical stores shutting their doors, there is a need to drive more shoppers into physical locations such as shopping malls and high streets. Augmented Reality (AR) is emerging as a powerful tool in this regard, transforming the way businesses engage with consumers and driving increased footfall. Here’s how AR can be used to help create a better customer experience in-store.
1. Interactive AR Navigation
Finding the shop you’re looking for, in a large shopping mall, or even from an outdoor location, can be daunting. AR-based wayfinding navigation apps can guide customers through complex layouts, directing them to their desired destinations with ease. Many brands, like McDonald’s, also run “proximity marketing” on outdoor billboards and screens, prompting users to visit the nearest store or restaurant. AR activations on these ads, triggered by a simple QR code, can offer both a redeemable offer to drive footfall along with turn by turn wayfinding to let AR walk the customer to the store. Tommy Hilfiger recently used AR to engage users in Piccadilly Circus and drive footfall to their flagship store on Regent Street, London.
2. Improving In-Store Engagement
AR can turn window shopping into a captivating experience. By pointing their smartphones at store windows or product displays, customers can unlock special offers, product information, or engaging immersive content like 3D models, virtual try-ons and how-to videos. With storefront AR activations, customers can be driven to shop online even when the physical store is closed.
3. Gamification and Incentives Using AR
AR can transform shopping into a game, encouraging more foot traffic through interactive campaigns and rewards. For instance, treasure hunts using AR can lead customers to different parts of a mall or high street, increasing exposure to various shops. Brands like Pokémon GO have demonstrated the effectiveness of AR in driving real-world exploration and footfall. Retailers can create similar experiences where customers collect virtual items or earn rewards redeemable in-store at a store, high street, mall or even city level.
4. Creating Memorable Experiences with AR
Ultimately, AR creates memorable and shareable experiences that encourage word-of-mouth marketing and repeat visits. When customers have a unique and enjoyable experience in a mall or at an event, they are more likely to share it via word of mouth. A more interactive experiential activation can produce user generated content via social media, broadening reach. AR experiences, which are relevant and exciting can go viral, amplifying their impact.
AR enables the creation of virtual events that can attract footfall without the need for expensive physical setups. These virtual spaces can offer exclusive products, limited-time offers, and unique experiences accessible only through AR. One use of this could be in empty shopping units. Churchill Square in Brighton, UK used AR to create a bowling alley experience in the windows of an empty store, enticing shoppers into the mall and making use of the “dead” space.
5. Enhancing the Tourist Shopping Experience
AR can bring historical sites, museums, and landmarks to life with interactive tours and guides. Tourists can use AR apps to view historical reconstructions, detailed information and entertaining anecdotes about the places they visit. Read our blog on Checkpoint Charlie and our case study on the Mayfair Walking Tour for more information on this.
From a retail perspective, AR can help promote local businesses by integrating them into the tourist experience. For instance, tourists using an AR app, for wayfinding or perhaps a walking tour, can discover local restaurants, shops, and services they might otherwise have missed. This in-app promotion not only benefits the tourists by enriching their experience, but also supports the local economy.
Conclusion
Augmented Reality is more than just a technological novelty; it is a strategic tool that can significantly boost footfall and sales for shopping malls, high streets and independent shops. By enhancing the customer and visitor experience, simplifying navigation, gamifying interactions and creating memorable experiences, AR is transforming the retail landscape. Businesses that use AR effectively will not only attract more visitors but also build stronger relationships with them, ensuring long-term success in an increasingly digital world.
Implementing AR in your retail strategy and media is becoming a necessity to stay competitive and relevant. So, are you ready to step into the augmented future of retail? Get in touch with our team to find out more about AR for retail.
