Industry Trends

AR Commerce: The Shopping Norm for Gen Z

Kenzie DeLong
September 5, 2023

A survey conducted by Snap found that 92% of Gen Z consumers want to use Augmented Reality solutions while online shopping.

This is a staggering statistic considering that Gen Z is the rising generation that looks to enter the e-commerce world. It is critical that online retailers understand this new generation and how to meet their online shopping needs with AR experiences.

Growth of Immersive Online Shopping Experiences

Snapchat conducted a research study in hopes of discovering the shopping trends of these young shoppers, who will become prominent in the e-commerce industry. The study surveyed 16,000 users in 16 different markets.

The results generated great insight into how brands and retailers will need to adapt their online shopping experience to meet this generation's demand. The study found that:

  • 92% of Gen Z prefers to use AR when purchasing products online
  • 60% of Gen Z stated that AR provides a personal feel
  • Over 50% of Gen Z would be more likely to pay attention to an ad if it featured AR

The industry is only projected to grow. Experts predict that it could grow up to $1.2 trillion globally by 2025. This new generation of shoppers cannot be ignored as 64% state that they will continue making a majority of their purchases online.

Retailers must act now to catch up with their competitors and position themselves as market leaders by providing immersive shopping experiences through Virtual Try-On, Room View, and more.

Take it from a Gen Z Consumer Herself

As a member of Gen Z, these statistics come as no surprise. I do almost all of my shopping online and can vouch for the fact that my online shopping expectations are high.

I am no longer satisfied with stock product imagery that provides no real idea of how an item will look on me. This is especially true when it comes to luxury purchases. These types of purchases are rare for me, but I still prefer to do them online. Since these purchases are so large, I like to be able to experience the product before I buy it without having to go to a physical store.

Recently, I was looking for a new bracelet and the shopping experience provided through various sites greatly impacted my buying decision. I found myself more willing to purchase a product when VTO or another AR technology solution was available. Additionally, I ended up paying more for a very similar bracelet on a competitor’s website because I was able to place the product on my wrist  and try it on before I purchased it.

Another pain point for me as a Gen Z consumer is size discrepancies when purchasing items such as handbags off websites that don’t employ AR features such as VTO or size comparisons. I want to keep up with the latest fashion trends, but my handbag also has to be practical and fit my iPhone, wallet, and sunglasses. Companies such as MCM Worldwide allow me to visualize bags on an interactive and adjustable silhouette model that I can customize to make my body type. This provides clarity as to how the bag will look on me.

MCM Worldwide additionally has a Compare To feature that allows me to visualize various day-to-day items next to the handbag. For example, this shopper bag is large enough to fit my MacBook and could be a practical work day bag; however, it may not be the perfect date night bag. These features allow me to purchase with greater confidence and limit my likelihood to return which is strenuous on both the consumer and retailer.

Retailers have to address these new demands if they want to continue to grow their e-commerce revenue. Static product imagery is a thing of the past. Consumers are demanding an interactive and engaging experience both in-store and online.

Interested in seeing how retailers are leveraging these immersive shopping experiences? Head over to the Inspiration Collection where you can browse various industries and explore the different interactive features you can provide your customers.

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