Once a radical-sounding technology popular among gamers and Gen Z TikTokers, augmented reality (AR) has quickly become a key component of online shopping.
Different types of AR help shoppers visualize and try products they may have otherwise been unable to, helping them make more informed purchasing decisions without ever setting foot in a store. It’s no wonder that by 2025, some 28% of US shoppers will have used augmented reality when buying products online.
To make the most of augmented reality technology in retail or ecommerce, it helps to understand how different types of augmented reality can improve shopping experiences. Here are a few ways you can liven up your offerings using the different types of AR.
What is augmented reality (AR)?
Augmented reality (AR) is a technology that integrates digital information with the user’s physical environment in real time. Through a camera or other display device, AR works by overlaying digital objects onto a real-world environment, making it possible to add computer-generated images, sound, videos, text, filters, infographics, or other sensory inputs to a user’s view of their surroundings.
5 types of AR
Depending on what you sell online, a specific type of augmented reality may best suit your offerings. Here are five different types of AR, how they work, and a use case.
1. Marker-based AR
Marker-based augmented reality—also referred to as image recognition AR—relies on a QR code or visual marker, also known as a fiducial marker, to trigger the interactive experience. A shopper scans the marker with their device’s camera, activating the visual effects. They can then move their mobile device around the static marker to see the virtual image in 3D on their screen.
The critical limitation of marker-based AR is that it can only be used with mobile devices (e.g., smartphones or tablets). Users may also need to download a dedicated app (like Google Play Services for AR for Android devices) to use this type of AR.
Arhaus’ room planner is an example of this type of AR in ecommerce. It lets users create a 3D model of their own room, then see what the brand’s products look like in a user’s space.
2. Markerless AR
Markerless augmented reality doesn’t rely on physical markers like a QR code or image. Instead, it uses location-based data like GPS or accelerometers in mobile devices to track the user’s environment and determine the location of the virtual content. This allows the AR software to understand the spatial relationships and orientation of virtual objects and surfaces in the user’s view.
With this type of AR, shoppers open the mobile app or webpage and scan their physical environment with their device to make the digital item appear on material surfaces, like the floor or a wall. Markerless AR can work on irregular surfaces, as long as there are recognizable features like corners, textures, and objects to track.
Markerless AR is usually more complex and costly to set up, but also the most popular option in online shopping and gaming, thanks to its ease of use and flexibility.
3. Projection-based AR
Projection-based augmented reality relies on projectors to display 3D imagery or digital content onto a flat two-dimensional surface, like a wall, floor, or object. It doesn’t create fully immersive environments—mainly holograms for events and movies.
You can use projection-based AR for in-person events like store openings or pop-up shops, where you might want to show holograms.
4. Superimposition-based AR
With superimposition-based augmented reality, an existing physical item is fully or partially replaced with a digital augmentation. The system identifies specific objects or features in the user’s view—perhaps a book cover, a product label, or a landmark—and then overlays relevant digital content onto the object or feature.
In physical stores, superimposition AR can give customers directions and guidance. By overlaying virtual arrows onto the environment, for example, shoppers can find their way to the products they’re looking for.
Superimposition AR can also provide customers with product details. By pointing their smartphone camera at a product, shoppers can see virtual overlays with details like price, features, and reviews.
5. Location-based AR
Location-based augmented reality is a type of markerless AR that relies on geographic data to deliver digital images at specific locations. It’s a popular type of AR for gaming. Pokémon Go, for example, relies on a user’s location for the AR to work.
Brands that want to gamify the shopping experience could use geographic location-based AR to encourage shoppers to interact with their products. For instance, you could create a virtual scavenger hunt encouraging shoppers to explore your store and collect rewards.
How can AR benefit ecommerce?
A few years ago, the only way to see a product yourself was to go to a store. As AR becomes more common, we’re no longer bound by these limitations—a boon for shoppers and sellers alike.
It’s no wonder customers want to use AR. Almost a third of consumers would be interested in using VR technology to buy retail products from a physical store. Gen Z is particularly fond of it; more than half say they’d be interested in trying to shop with brands using augmented reality.
Different types of AR can help you bridge the gap between online shopping and in-store experiences. They can also help you:
- Reduce return rates. Using AR, customers can get a more accurate representation of a product before buying it, making it less likely they’ll order the wrong size or color, for instance.
- Increase conversion rates. By letting customers view products in a virtual environment, try them on virtually, or see how they would look in their space, shoppers will feel more confident commiting to a purchase.
- Differentiate your brand. AR lets brands create unique and memorable shopping experiences, helping them stand out in a crowded retail landscape.
According to Stone Crandall, co-founder of home and lifestyle brand Magnolia, “When people come to see us in Waco, we want to make sure every detail captures the true spirit of Magnolia. Not everyone is able to visit us in person, but it was still important to us that the finer details of the in-store experience come through for those shopping online and on the go—augmented reality makes that possible.
“With this technology, users can see our products up-close to examine the intricacies that make them special and unique,” Stone says. “We always want our guests to leave feeling inspired by what they’ve experienced, and thanks to the new Magnolia app, they’ll be able to do just that—no matter where they’re located—from the palm of their hands.”
Here are a few specific use cases that illustrate how AR can benefit your business.
Virtual showrooms
AR can help you create immersive and interactive environments where customers can view and interact with virtual representations of products or services.
For example, instead of having to go in-store to compare pieces of furniture with images of their rooms, customers can point their mobile devices at their home space and virtually place the furniture where they’d like, giving them a better idea of compatibility.
Take the BMW i Visualizer tool, an augmented reality app that lets you configure and customize your dream car. You can choose the model, select colors, and customize the exterior and interior features of the vehicle, then use your smartphone camera to see a 3D model of the car in your environment, like your driveway or garage.
Virtual try-on
Using ecommerce AR, online shoppers can virtually try before they buy, making it especially useful in industries like fashion and home décor, where shoppers often like to interact with products in person before purchasing.
Customers can get a better sense of how a product looks without needing to see it in a physical store. They can virtually try on a shirt or place a couch in their living room to see if it fits—no heavy lifting required.
Accessory brand The Cambridge Satchel Company, for example, uses Shopify AR to let online shoppers virtually place a 3D image of a bag in its real-time environment, using their mobile device.
“The fact that we can offer this kind of AR experience with our budget puts us on a level playing field with people who have much greater resources than we do,” says Julie Deane, the brand’s founder and CEO. “I’ve no doubt that if big luxury brands create this kind of AR experience [in-house], they would be paying 10 times what we are.”
Camera filters
Camera filters help customers test makeup or accessories, like glasses, by using facial recognition and tracking technology to superimpose digital products onto faces in real time. It’s a type of AR that was popularized by social media platforms like Snapchat.
Take Warby Parker, for example. It lets customers virtually try on glasses and eyewear through their mobile device cameras. It solves the age-old problem of buying glasses not just online, but in person: Will they suit me?
In-store mirrors
Augmented reality mirrors are interactive displays that use AR to create a virtual try-on experience for customers in physical store settings. They save them time and effort while allowing them to quickly experiment with different colors and styles. For the retailer, it lowers the risk of item theft or damage.
Clothing brand and Shopify merchant Rebecca Minkoff installed AR mirrors in some of its stores. These mirrors let shoppers see how different outfits look on them, offer product recommendations, and let shoppers purchase items directly from the mirror.
“At a time when the savvy fashion shopper wants to be able to connect with a brand’s persona, understand the texture and structure of every bag, and envision how they’d feel wearing each piece in a collection, we’re excited to host video and 3D within our Shopify ecommerce site to bring shoppers that much closer to Rebecca Minkoff designs,” says co-founder and CEO Uri Minkoff.
The results were impressive: after interacting with products in 3D, shoppers were 44% more likely to add an item to their shopping and 65% more likely to place an order. The same went for repeat customers; some 27% of existing shoppers were more likely to place a repeat order after they’d experimented with the 3D model.
Types of augmented reality FAQ
Can markerless AR be used in a wider range of environments than marker-based AR?
Markerless AR can be used in a wider range of environments than marker-based AR because it doesn’t rely on physical markers, making it more flexible than marker-based AR. Markerless AR is a top choice if you want to build mobile augmented reality applications, filters, and lenses.
Does projection-based AR require the use of a headset or other hardware?
No. Unlike virtual reality (VR), projection-based AR doesn’t require the use of a headset or other hardware. It requires a projector to shine light at flat two-dimensional surfaces.
Are there any limitations to the accuracy of markerless AR when compared to marker-based AR?
Markerless AR is generally less accurate than marker-based AR. Environmental conditions like the shape of the physical space can impact the scaling and positioning of virtual images. Marker-based AR provides a fixed reference point, making it more reliable, while markerless AR is more flexible and adaptable to different scenarios.
What is the best example of AR?
Virtual try-ons are one of the best AR use cases. Fashion retailers can create 3D models of their apparel and let customers see how it’d look on their own body by overlaying the graphics onto their camera’s live feed.
