2019 Edition CMO Trend Brief Augmented Reality

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What is Augmented Reality? Augmented Reality (AR) refers to the ability to integrate digital data and information with the physical environment. Well-known examples of AR include Snapchat lenses or the yellow “First Down” line visible to viewers during televised football games. In either case, images of real things are augmented with digital elements that aren’t part of the physical environment. AR technology blends the real and digital to create a composite view of something. The technologies of AR are gaining adoption in sports, medicine, education, and marketing. Unlike Virtual Reality (VR), AR doesn’t require special video headsets. AR is usually experienced via smartphones and tablet computers. ANA Marketing Futures focuses on the innovations and trends that will shape the future of marketing to prepare brands for the challenges and opportunities that lie ahead. CMO Trend Brief Augmented Reality 2019 Edition

Transcript of 2019 Edition CMO Trend Brief Augmented Reality

Page 1: 2019 Edition CMO Trend Brief Augmented Reality

What is Augmented Reality?

Augmented Reality (AR) refers to the ability to integrate digital data and information with the physical environment. Well-known examples of AR include Snapchat lenses or the yellow “First Down” line visible to viewers during televised football games.

In either case, images of real things are augmented with digital elements that aren’t part of the physical environment. AR technology blends the real and digital to create a composite view of something.

The technologies of AR are gaining adoption in sports, medicine, education, and marketing. Unlike Virtual Reality (VR), AR doesn’t require special video headsets. AR is usually experienced via smartphones and tablet computers.

ANA Marketing Futures focuses on the innovations and trends that will shape the future of marketing to prepare brands for the challenges and opportunities that lie ahead.

CMO Trend Brief

Augmented Reality

2019 Edition

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Why Should Marketers Care?

Creating outstanding, memorable customer experiences is a strategy that has proved most effective as a differentiator and builder of customer loyalty. AR presents brands with a powerful new means of delivering immersive customer experiences and content.

An AR experience is highly innovative, and there is value in the awe that such an experience can create. Good AR experiences also produce better engagement that keeps consumers connected with brands and their content.

Engagement is one of the best indicators of conversion, and when trig-gered by a cool AR experience, it gets customers talking about and sharing brand stories.

Lead Stat

eMarketer forecasts that in 2019, 68.7 million people will use Augmented Reality at least once per month. This represents 20.8% of the population.

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“Simply put, we believe augmented reality is going to change the way we use technology forever.”

Tim CookCEO Apple

Expert Perspective

C M O T R E N D B R I E FAUGMENTED REALITY

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CASE STUDY Ruffles AmiGORuffles was the industry-leader among adolescent Brazilians for more than 30 years, but a national recession resulted in a dramatic decline in sales. Furthermore, the brand’s positioning and messaging were outdated, and no longer resonated with its target audience. The brand needed to reconnect with Brazilian teens, stop sales from falling further, and return to growth in the long term.

The brand’s strategy was built on a simple insight: teenage years are filled with stress and confu-sion, and friends are the one crucial element that can help young consumers find relief. Ruffles set out to connect friends even when they’re apart via a mobile AR game called “AmiGO.”

To participate, a user activated the camera on their phone and put in headphones. Their friends could see what the phone’s camera saw, while the user saw what the game showed them. The friends would see Ruffles chips “floating” around the user, and they could send voice commands to guide the user to “grab” the chips.

The user had to follow their friends’ directions since only they could see the Ruffles. The more chips the user grabbed, the more points for everyone. The points went into a weekly ranking, and top scorers were announced on the brand’s social media accounts.

AmiGO was downloaded more than 26,000 times during the two-month campaign, and users engaged with the app for an average of six minutes every day. AmiGO was among the 10 most talked about campaigns on Twitter during its run, and Ruffles was ranked as one of the 15 most valuable brands in Brazil, the only new brand on the list. Most importantly, after six months of decline, Ruffles raised its sales by 43 percent and consumption increased because of its repositioning campaign.

C M O T R E N D B R I E FAUGMENTED REALITY