Impact of Augmented and Virtual Reality in Business

Augmented Reality and Virtual Reality tops the list of most disruptive technology by worldwide tech enthusiasts. Although preferred for the entertainment industry, the technology holds serious business capabilities.

From efficient product prototyping to virtual designing of projects, AR & VR is getting used for multiple aspects of the business world.

In fact, the rapid use of AR & VR is expected to cause as much 72.8 billion U.S. dollars spending by 2024, as per Statista.

Have a look at this informative pie chart depicting shares of the worldwide spending of AR/VR among different segments.

Source: Statista

From the pie chart, we can say that AR & VR are influencing diverse industry verticals.

Significant impacts are observable on the Consumers Section with 53% share, followed by Distribution & Services (15.8%) and Manufacturing & Resources (13.8%).

But do you know what exactly defines AR & VR?

AR or Augmented Reality integrates digital elements to a view via using the camera of the device.

VR or Virtual Reality focuses on offering an immersive experience to individuals or groups in a virtual world by using specially constructed devices like HTC Vive, Google Cardboard, etc.

The best example of Augmented Reality is the Pokémon Go game that created a worldwide sensation in no time.

Here's what the CEO of Apple Inc. Tim Cook says: I do think that a significant portion of the population of developed countries, and eventually all countries, will have AR experiences every day, almost like eating three meals a day. It
will become that much a part of you.

With advanced AR & VR device development, we are already witnessing their revolutionary effects.

.Here are the Top 7 Impacts of AR & VR on Business

1. Enhanced Product Prototyping

Whether it's a cup for tea, part of the machine developing the teacups, or the entire product developing machine itself, every product undergoes designing based on its functionalities. Innovative designs require a lot of dedication and imagination.

While dedication is a different aspect, the imaginative section of product design and development can be easily visualized and implemented using Virtual Reality.

Virtual Reality facilitates precise designing and product development conveniently. It becomes much easier for the team to identify each design's possible pros and cons to implement in a particular product.

It aids in going with the best available designs ensuring minimum risk and flaws in the final product.

2. Boost's eCommerce platforms conversion rates

The eCommerce industry is facing disruptive changes since AR and VR introduction. Although VR will take some time for mass adoption in eCommerce portals, AR is leading massive impacts in the following ways:

• Augmented Reality offers a refreshing experience to users and thus boosts brand awareness.
• The conversion rate gets enhanced by up to 40% as per AI development stats by offering a try-before-you-buy experience to users.
• Multiple hefty billion enterprises like Gucci, Dulux, Ikea, and SMEs like Lenskart, Makaan, etc., are offering 3D trials of the product.
• Enterprise offering AR & VR experience to have noticed significant decrement in customer disappointment and order returns.

Multiple eCommerce firms are investing in augmented reality app development company for advanced AR integration over their website and app.

3. More connected online business meetings

While online meetings have become the norm in the CORONA Virus Pandemic, they lack an advanced level of connectivity. With VR getting more advanced and familiar, we can witness more business meetings conducted via them.

Even crucial business meets that earlier required crossing national and international borders are now getting held via VR. They offer the same level of connectivity to people that are available in a face-to-face meeting.

It saves the traveling cost and effectively trims the connectivity issues in the business meeting.

4. Enhancing brand awareness

AR & VR have become practical tools for boosting brand awareness for enterprises. As much as 67% of ad agencies are using AR for high brand awareness, as per Threekit.

Both Augmented Reality and Virtual Reality are renowned for developing highly engaging websites and mobile applications for business firms.

Offering a virtual in-store experience to clients allows companies to conduct business with zero investment in a brick-and-mortar shop.

As mentioned earlier, multiple enterprises like IKEA, Gucci, etc., have embraced AR over their website and app and witnessed a stunning rise in conversions.

5. Virtual Tours upgrading Tourism, Real Estate, etc

Virtual tours offering a direct experience of the destination is the next big thing we can expect in the tourism Industry. While they may not be an exact replacement for tourism, they are bound to boost revenues by offering a glimpse to interested tourists. VR-based tourism is a proven, cost-effective option for many.

Similarly, the Real Estate industry involving interested buyers in visiting and exploring the plots will significantly impact VR. Clients will save time and money otherwise incurred in physical traveling for finding the best.

6. An effective tool for Teaching & Training Sessions

Teaching or training sessions will witness the vast application of Virtual Reality. First of all, the need for the trainee to travel to different locations will be avoided as personalized training can be easily provided via VR.

AR and VR together constituting Mixed Reality will be helpful in both live training as well as recorded training sessions for the companies' employees. With immersive technology, the enterprises will efficiently conduct dedicated training sessions.

Here's what Bernard Marr of Forbes has to say about VR in training sessions: "VR is about putting people inside virtual environments and those environments – and their inhabitants – are likely to become increasingly intelligent over the next year…Virtual environments allow students to practice anything from construction to flight to surgery without the risks associated with real-world training."

7. Convenient interviewing of Candidates

When interviewing candidates' multiple factors like body language, overall presentation, etc., are taken into account. Large companies can develop separate infrastructure where potent candidates can effectively use VR services during the interview sessions.

Companies can also use VR environments to analyze employee's behavior by offering real-life scenarios to candidates.

Future of AR and VR in Businesses

Here's an opinion of Mark Zuckerberg: I think everyone would agree that we do not have the science or technology today to build the AR glasses that we want. We may in five years, or seven years, or something like that. But we're not likely to be able to deliver the experience that we want right now.

As per Statista, the Virtual Reality market size is to cross the $12 billion mark by 2024. In comparison, the growth of the combined market of AR & VR was expected to cross 18.1 billion in 2020 only.

The statistics indicate a bright future of the technology with rapid adoption from diverse industry verticals. Advance VR device development will play a crucial role in revolutionizing the growth and adoption of the technology.

Final Words

Certain industries like eCommerce, Gaming, Real Estate, and healthcare are already witnessing advanced Augmented Reality and Virtual Reality applications. With innovative advancements, we are sure to catch new exciting applications.
To gain an edge in business, you should not shy away from hire VR app developers for your enterprise.

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