Instagram

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AR Try-On

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Instagram ⋆ AR Try-On ⋆

CONTEXT

AR Try-On Feature

As the social commerce landscape evolves, Instagram has become a vital platform for small to medium-sized businesses (SMBs) to reach potential customers. Instagram's foray into shopping and e-commerce has transformed the platform into a digital marketplace where inspiration leads directly to action. With features like Instagram CheckOut and Shopping posts, the path from discovery to purchase has never been more seamless.

However, despite its popularity, Instagram lacks the immersive shopping experience offered by larger e-commerce platforms, which can lead to consumer hesitation and affect sales. This case study explores the implementation of the "AR Try-On" feature on Instagram, which allows users to virtually try on clothing and makeup items from posts using augmented reality (AR). By addressing the trust gap and enhancing user experience, this feature aims to empower SMBs, increase user engagement, and open new revenue streams for Instagram.

THE MARKET

The global augmented reality (AR) market was valued at $24.2 billion in 2021 and is projected to reach $411.4 billion by 2031, growing at a CAGR of 33.2% from 2022 to 2031. In parallel, The global social commerce was valued at USD 727.63 billion in 2022 and is expected to expand at a compound annual growth rate (CAGR) of 31.6% from 2023 to 2030. Instagram, with its massive user base of over 1 billion monthly active users, is uniquely positioned to capitalize on these trends. By integrating AR technology into its platform, Instagram can differentiate itself from competitors and strengthen its position in the social commerce space

COMPETITORS

Snapchat AR Lenses:

Shopping Lenses are specifically designed to offer Snapchatters a way to seamlessly interact with, try on, and click to purchase multiple products in a single Lens by simply swiping through the Lens Product Cards — a new user interface built just for shopping.  And for businesses, Shopping Lenses are driving scale, efficiency, and performance for their key consideration and conversion KPIs.

Amazon Virtual Try On

Amazon started with Virtual Try-On for Shoes which provides customers a convenient way to visualize how a pair of shoes will look on themselves, creating more immersive experiences while shopping for fashion online. Later it is extended to other products, such as sunglasses, lip colors, and eyeshadow, clothing and accessories using augmented reality (AR). This feature is available for products from brands like Adidas, Ray-Ban, and L'Oreal.

Source: Amazon Virtual Try-On

THE AUDIENCE

Age and Demographics:

  • Young Adults (18-34 years): Instagram's largest user demographic, with over 60% of users falling into this age group. (source)

  • Gender: 43% of women and 31% of men in the U.S. use Instagram.

  • Global Reach: Instagram has over 1 billion monthly active users worldwide, with a significant presence in the United States, India, and Brazil.

Usage Patterns:

  • Shopping Habits: 70% of shopping enthusiasts turn to Instagram for product discovery, and 87% of people say influencers have inspired them to make a purchase. (source)

  • Content Engagement: Users engage heavily with visual content, including photos, videos, and stories, which are integral to Instagram’s shopping features.

Small to Medium-Sized Businesses (SMBs):

  • Who They Are: Businesses that leverage Instagram as a primary platform for selling products, particularly in the fashion, beauty, and lifestyle sectors.

  • Business Profile:

    • Size: Many of these businesses operate with limited resources and depend heavily on Instagram for digital storefronts.

    • Global Presence: SMBs on Instagram reach a global audience, with many using the platform to bypass the need for a traditional e-commerce site.

    • Engagement: SMBs rely on Instagram's visual-centric features to showcase their products, engage with customers, and drive sales.