Individual Assignment Marketing- Technology

Individual Assignment Marketing- Technology
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Individual Assignment Marketing- Technology
For this assignment, I will analyze the journal by Tan, Chandukala, and Reddy (2022), "Augmented Reality in Retail and Its Impact on Sales.” With the emergence of augmented reality (AR) technology, marketers now have exciting new ways to engage consumers and improve their brand experience. Despite the fact that businesses are eager to invest in augmented reality, there is no evidence of its influence in real-world settings. This study compiles peer-reviewed journal publications on virtual reality in retail contexts in order to determine the current focus of academic research in this emerging field and to establish a conceptual framework that will serve as the foundation for future research (Tan et al., 2022). A thematic analysis was performed on 76 publications published between 1997 and 2020 that were found via a systematic search of high-quality peer-reviewed papers. Essentially, AR adoption-based variables with technological acceptance models, AR interaction design and attributes that affect consumer behavior, and AR retail experience and value theory arose as the three significant study lines and theoretical underpinnings from the research. The resulting theoretical model underlines the operational and experiential aspects required for a successful consumer AR experience and may be used by shops looking to engage customers with augmented shopping and render AR applications commercially feasible.
My opinion is that the writers did an outstanding job of describing what augmented reality is, how it can be used, why businesses should adopt it, and the potential drawbacks of using it. The writers were also able to identify the potential benefits of introducing augmented reality into a company's operations and how this application may be utilized to increase sales as a result of a detailed study of current literature and substantial secondary research. Augmented reality (AR) is a technology that overlays virtual goods over a real-time image of actual locales, letting customers view how these products may fit into their physical surroundings, according to their rationale. From the standpoint of the retail industry, one potential use of AR is to aid product assessment by allowing buyers to virtually try out things before purchasing (Cruz et al., 2019). Although research has highlighted the value of direct product interactions in helping consumers learn about product advantages and evaluate product fit, providing direct product experiences, particularly in online shopping, maybe a practical problem (Tan et al., 2022). The development of augmented reality (AR) has allowed customers to visually experience things in the absence of tangible objects, therefore moderating expectations and building buyer confidence. Understanding the income potential of AR is critical for justifying investments in this new technology. However, the effect of augmented reality on physical product sales remains unclear. AR might minimize product fit uncertainty, resulting in more outstanding sales, by assisting buyers in seeing objects in their consuming settings. AR, on the other hand, may deter sales if it creates the impression that the items aren't well-fitting.
Conversely, the influence of AR on sales may be minimal since the technology is unable to express experiential product qualities that may be relevant in buying choices, such as product feel or fragrance. One of the biggest reasons why firms are still reluctant to adopt AR is the ambiguity around its effect, despite the fact that most understand the tremendous prospects it presents. Handsets, tablets and smartphones, peripherals, Computers and laptops, Televisions, virtual mirrors, linked devices such as eyewear, face displays, sunglasses, and even AR changing rooms may all be used to enjoy augmented reality (Tan et al., 2022). The distinction between Augmented Reality and Virtual Reality is that AR adds virtual items to the actual environment rather than replacing them. Given increased consumer demands, traditional retail systems were ineffective.
Retailers must expand their capacity, procedures, and systems in order to handle more consumers effectively as they expand their operations abroad. AR technology is being used by software developers in retail to provide a viable proposition for enterprises. Following suit, augmented reality has developed as a cutting-edge method for marketers to communicate with customers through their mobile devices. AR delivers a unique digital experience that enhances the consumer-brand interaction and can be utilized anywhere, including at home, on mobile devices, and in retail spaces. To advertise items, retailers have historically depended on print marketing campaigns or other forms of media (Cruz et al., 2019). Print, media, and in-store marketing activities were formerly separated, but now, thanks to augmented reality, they are all combined into one seamless customer experience. The goal of using augmented reality in marketing operations is to strengthen customer relationships, increase sales, and improve the shopping experience. Retailers have the opportunity to reach out to their target audience via a variety of classic and non-traditional interactions. With so many technical advancements and increased demand and supply for commodities, earlier marketing techniques need a makeover throughout time.
Most research on AR in retail is consumer-based, according to Tan et al. 2021, and most of those studies showed that customers react favorably to AR in retail environments. AR's improvement of the shopping experience has a number of marketing-relevant results, including reduced decision-making ambiguity, increased purchase intention, increased customer loyalty, and facilitated consumer-brand interactions (Tan et al., 2022). In addition, several papers recommend that merchants should learn how to accept augmented reality apps and the features that influence the AR consumer experience, such as augmentation, interaction, personalization, vividness, and user experience (Dacko, 2017). All of these aspects, according to the authors, must be taken into account while building AR retail experiences. Finally, external variables such as body confidence and confidentiality issues may have a detrimental impact on the AR purchasing experience. The advantage of AR for customers and the AR retail environment is undeniable that it can improve the buying experience by delivering emotional and functional value, as well as boosting decision-making and leading to good behavioral intents (Cruz et al., 2019). Due to technological constraints or poor quality representation, perceived intrusiveness, and privacy issues, AR might have a detrimental impact on the shopping experience (Poushneh, 2018). Consumers may struggle to grasp the difference between buying in the actual world and shopping in the augmented world; therefore, merchants must provide practical, easy-to-use AR shopping experiences for the technology to bring meaningful value.
A company such as Nike may significantly benefit from employing augmented reality technology in its operations. In theory, the function, which is driven by powerful algorithms, would assist Nike in recommending the best shoe fits and sizing for each person. Changes in technology and the present state of affairs need a more inventive approach to business. The recent effect of the coronavirus epidemic on retail, for example, is a typical example. While individuals are required to remain indoors and only go out to acquire essential things during the lockdown, there is always the risk of coming into touch with an infected person. Furthermore, a physical retail shop is usually an expensive investment (Cruz et al., 2019). For SMEs, it might mean putting everything on the line. As a consequence, no customer equals a loss in business, which leads to the company's closure. The hedonic advantages of AR lead to prospects for study into AR as a kind of digital entertainment, mainly since live shows and product debuts give place to digital worlds during the pandemic, allowing attendance to be active members rather than passive watchers. The continued usefulness of AR-enabled ...