Snap is using augmented reality as a new way to attract buyers, who can try on clothes and jewelry using Snapchat.
- Augmented reality is the way of the future combining elements from the real world with computer generated content.
- Snapchat uses augmented reality software to allow users to try on clothes and other items through the social media app.
- Snap executives say this software is the key to bring buyers into the world of e-commerce.
Why it’s news
E-commerce is rapidly growing as most people prefer to shop online rather than going in store.
By 2023, 22% of all retail sales are expected to be online. To give context to how much it has grown, 14.1% of global retail sales were ecommerce purchases in 2019.
Snapchat says it holds the key to the newest wave of online sales by using augmented reality. Snapchat users can try on clothes, glasses, jewelry and other products virtually and then purchase the items.
Augmented reality takes computer generated content and places it in the real world. Using the camera the app places the items on the customer so they can virtually try the items on before purchasing.
“Every day we have 250 million people engaging with augmented reality on our platform,” says Snap’s head of luxury Geoffrey Perez. “Not just to try dresses on, but also jewelry and makeup.”
Snap works directly with retailers to develop tools that let customers try on clothing virtually. Eventually, Snap could expand that into an “AR enterprise business,” charging a startup fee and small transaction fees to merchants using the technology, says Snap CEO Evan Spiegel.
Snapchat could also take its augmented reality products to the metaverse in the future to sell the items, but Spiegel said they will remain focused on the augmented reality aspect for now.