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Augmented Reality in Retail Market | Industry Analysis and Market Size Forecast to 2025


The report "Augmented Reality in Retail Market
 by Offering (Hardware and Software), Device Type (Head-Mounted, Smart 
AR Mirror), Application (Try-On Solution, Planning & Designing), 
Retail Type (Furniture, Beauty & Cosmetics), and Geography - Global
 Forecast to 2025"
, is expected to grow from USD 1.2 billion 
in 2018 to USD 11.4 billion by 2025, at a CAGR of 38.8% between 2018 
and 2025. Increasing online shopping encourages retailers to adopt AR, 
rising smartphone penetration which are driving the growth of AR apps, 
and growing adoption of connected devices are the major factors driving
 the growth of the AR in retail market.

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AR software and services will hold the larger share of AR in retail market by 2025


Increasing penetration of AR software solutions and 
its compatibility with existing hardware devices is expected to help the
 growth of the market for software, thereby driving the AR in retail 
market during the forecast period. The apps are the major source of 
revenue for the AR in retail market. Companies focus on building 
different mobile-based AR apps to attract customers using smartphones or
 tablets. This increases user base due to the use of currently available
 devices. The market for software is set to grow because of the high 
growth of apps and platforms in the AR space.

HMDs are leading the augmented reality in retail market


The major use case for HMDs in the retail sector is 
its use as the information viewing system. Sales personnel can use HMDs 
for real-time assistance. Currently, the adoption of HMDs by end users 
for information viewing is low; however, the surge in its adoption can 
be witnessed if AR smartglasses are used as interface instead of 
smartphones. In the retail sector, smart glasses are expected to be used
 on a large scale for the workforce and sales management purposes.

Advertising and marketing application to grow at high rate in augmented reality in retail market


The advertising and marketing application is among 
the major AR applications that increases customer engagement. AR makes 
advertising more interactive, allowing advertisers and marketers to 
reach out to customers in new and improved ways. The increase in the 
adoption of AR relies on major parameters such as the emotional 
connection with AR, economical advertising with more engagement, sales 
boost, and improvement in hyperlocal advertising.

Furniture & lighting will hold the largest share in augmented reality in retail market


The adoption of AR has been gaining traction among 
furniture and lighting retailers. Increasing online furniture shopping 
has been a major boost to furniture retailers. Retailers are trying to 
come up with various techniques to woo customers. The use of AR helps 
users to virtually place the selected furniture at the desired location 
using apps through devices such as smartphones and tablets. The enhanced
 experience provided to customers with the ease of buying would be the 
key driver for the implementation of augmented reality in furniture and 
lighting. Also, by adopting AR, customers can conveniently choose 
interiors, thereby driving the growth of the AR in retail market for 
furniture and lighting.

APAC to be the fastest growing market for augmented reality in retail during forecast period


The high number of internet users in countries such 
as China, India, and Japan is the major driver of the AR in retail 
market in APAC. In countries such as China and India, the ever-growing 
internet base would boost the early deployment of AR in the retail 
sector. The furniture and lighting, and grocery shopping are set to lead
 and grow at a higher rate, respectively, owing to the high spending in 
the countries such as China, South Korea, Japan, and India. The highly 
populous region would witness a high growth of the AR in retail market 
during the forecast period.

Major players in the augmented reality in retail 
market are PTC (US), Google (US), Apple (US), Microsoft (US), Wikitude 
(Austria), Blippar (UK), Zugara (US), Marxent Labs (US), Augment 
(France), and ViewAR (Austria). The other players profiled in the report
 include Holition (UK), Ikea (Netherlands), Sephora (France), Amazon 
(US), Imaginate Technologies (India), Kudan (UK), Total Immersion 
(France), and INDE (UK). The start-up ecosystem includes Ads Reality 
(UK), XZIMG (China), VisionStar Information Technology (China), Zappar 
(UK), and Obsess (US).


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