This text discusses the potential benefits and challenges of using augmented reality (AR) in the retail industry to enhance customer experience, increase sales, and gain a competitive advantage. The paper analyzes a Journal of Marketing article that examines the impact of AR on sales in online shopping and proposes a theoretical implementation of AR for the German home and living brand, Westwing, using their AR program, Atelier by Westwing. The article concludes that AR has promising opportunities for businesses that can be realized through effective implementation, and Westwing's use of AR can result in cost savings, decreased return rates, and a personalized customer experience.
Table of contents
Introduction
Part I: Analysis and critique of the thinking behind authors’ work
Challenges of AR in Retail
Expenses
AR limitations
Data protection concerns
Online sales are cannibalized by local retail
Product Fit Uncertainty
AR can enhance the post-purchase experience
Interaction at touchpoints
Generating traffic to brick-and-mortar stores
Part II: Application of AR on Westwing
About the brand Westwing
Westwings’ market positioning
Strategy of AR conceptualization on Westwing
Possible implications for Westwing if AR were to be applied
Conclusion
References
Appendix
Appendix 1: Differentiation between Westwing, WestwingNow and Westwing Collection
Appendix 3: Acceptance of AR in the home and living industry
Appendix 2: Cumulative gross merchandise volume per DACH customer
Appendix 4: Conceptualization of the app Atelier by Westwing
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