1.7 Billion Mobile AR Users by 2024: Here's Why Brands Need to Invest in AR Filters Now
The AR revolution has already arrived and brands must adapt to meet the growing demand for AR experiences among consumers. While some brands have recognized the endless potential of AR filters (also known as effects and lenses), others have yet to grasp the concept.
However, with consumer spending on mobile AR expected to reach $4.18 billion by 2024, and an estimated 1.7 billion mobile AR users worldwide by the same year, the time for brands to embrace AR is now.
How Brands Can Use AR to Drive Conversions and Acquire New Customers
AR technology has the power to create extraordinary experinces across the entire consumer lifecycle, from awareness to loyalty. Brands can use AR to deliver a unique message with impact, while keeping it playful. Interacting with products that have AR experiences leads to a 94% higher purchase conversion rate, making it a powerful tool for driving conversions and acquiring new customers. In 2023, AR marketing strategies will continue to offer numerous benefits for both clients and companies.
With the market becoming more consumer-driven, businesses are shifting towards experiential marketing approaches to stand out in a crowded and competitive marketplace. By implementing AR filters into their media and marketing strategies, companies can differentiate themselves, attract new customers, and increase customer loyalty. AR can also deliver a more seamless shopping experience to consumers, driving conversions.
Recent data shows that 79% of consumers are interested in using AR to interact with a product before buying, and 67% of consumers show interest in experiencing AR at events and conferences. Furthermore, 74% of consumers are interested in AR for entertainment such as concerts and sporting events, providing opportunities for brands to engage with consumers in new and exciting ways.
How AR Filters Can Create Extraordinary Experiences for Consumers and Improve Brand Performance
Although AR technology requires some investment and expertise, companies that realize its full value can reap significant benefits. By identifying how AR can be applied to their challenges and goals, integrating AR with their data, business models, and people and organization, and moving quickly but effectively from concept to pilot to scale, companies can create immersive advertisements and customer journeys that improve their positioning and financial performance.
According to Statista's projections, the AR Advertising segment is expected to generate revenue of $1.05 billion in 2023. This segment covers in-app advertising, including pop-up, banner, and integrated advertising within relevant apps, and only considers spending on mobile apps. Internet-generated revenues are excluded, and all revenue data pertains solely to B2C transactions.
As the number of AR device users is expected to reach 1.4 billion by the end of 2023, and more organizations are investing in AR, it is essential for brands to stay current with shifting contexts and trends. Brands that leverage AR filters has seen improvements in brand awareness, sales, and performance metrics, providing meaningful opportunities to engage with consumers deeply.
The AR revolution is here, and brands must embrace it to meet the growing expectations of consumers and stay ahead of the competition. With the potential to boost GDP worldwide by $1.1 trillion by 2030, the time for brands to invest in AR is now.
In a world where consumer experience is everything, AR filters offer brands a unique opportunity to engage with their audiences, drive conversions, and improve brand performance - the question is no longer "why" but "how soon can we get started?"
The numbers
79% of consumers express interest in using AR to interact with a product before purchasing it.
4 out of 5 brands that use AR report that it helps to drive sales, acquire new customers, and improve performance metrics.
67% of consumers are interested in experiencing AR at events and conferences.
74% of consumers show interest in using AR for entertainment, such as concerts and sports events.
4 out of 5 brands that have used AR filters have improved their brand awareness.
Interacting with products that have AR experiences results in a 94% higher purchase conversion rate.
4 out of 5 brands that use AR ads say it provides opportunities for deep and meaningful engagement.
Two-thirds of consumers agree that AR helps them shop in new and exciting ways.