How P&G increased its revenue due to Augmented Reality mobile apps

2015-08-06 by Marina Astapchik

According to the latest findings from Juniper Research, the use of augmented reality apps is to generate $2.4 billion revenue in 2019, up from $247 million in 2014. Since mobile apps development is to continue its upward trend spawning a variety of businesses, retail and e-commerce are becoming the strongest adaptors of augmented reality apps to promote their products. The research says that the skyrocketing rise of the revenue is explained by "new heights" that augmented reality apps have reached due to software improvements and significant efficiency for businesses. Besides, augmented reality apps are also forecasted to overtake smartphones and tablets as the preferred AR device beyond 2019.

Some businesses have already jumped on the trend and have experienced higher customer retention and engagement as well as revenue factors. Today's customers are rigid enough searching experiences tailored to their needs. In turn, app developers are focused on giving businesses an ability to be engaging. Augmented reality apps are still in their infancy as compared to other kinds of mobile apps development but seems to be highly successful ensuring new experience with "old" products.

When a product is launched on the market, like other new things, it becomes an object for extreme customer interest. A little bit later, customers' engagement fades away, sales drop. There are few exceptions to the rule, even if we speak about trusted names.

Below you'll find a real example how augmented reality technology for iOS app development catalyzed gains for famous brand P&G.

P&G was seeking an absolutely revolutionary means to promote its new Ariel with Micro Boosters and Pantene Pro V shampoo. Commercials have become overexposed, websites — too monolithic. How could the company explode customers and provide them with an impulse of engagement? In cooperation with Elinext's app developers P&G managers came up with an idea of augmented reality app as an innovative way to maximize the sale potential of the new P&G's brands.

What do the augmented reality apps look like? How do they function?

Both the applications run on iPad. Users accumulate scores popping Pro V capsules in Pantene Pro V interactive game and collecting micro boosters in Ariel Deep Down Cleaning and pass through certain game levels. After the game is over, they are rewarded with either physical gifts, or virtual ones. Thus, P&G has two kind of problems solved: they acknowledge people and increase conversion rates.

Here both P&G and the app developers started the augmented reality apps with the understanding that getting customers in the store is challenge number one. Challenge number two is to make the physical in-store environment truly addicting and interactive. Another thing that spurred thinking of the app developers was that if they make getting customers happen, both businesses and consumers should benefit from it. Therefore, both the iOS app developments showbrand products from an unusual side. In order to achieve it, the app development company integrated into the augmented reality apps 3D images with Unity 3D game engines. 3D models also make a great play with Micro Boosters and Pro V capsules that are announced to be innovative components of both the products correspondingly.

Both the augmented reality apps provide high resolution and image quality. Customers who already have their retina displays wouldn't be satisfied with anything less amazing what might influence on their shopping behavior. Friendliness, high resolution and image quality, immersive user experience. Here are the distinctive features of augmented reality apps launched by P&G to increase revenue.

In their annual report 2014, P&G announce that they generate higher sales and profit per unit, which enables the company to capture a greater share of the value – profit and cash. As for figures specific to our products, P&G declares to have approximately 60% share of U.S. laundry market sales, but earn approximately 85% of the profit and cash generated in the category. According to some research by statista.com, Pantene Pro V was one of top shampoo brands in the U.S. in 2014 based on sales. Another statistic shows the results of a survey conducted from January 2013 to March 2014 among approximately 24,000 American adults on the usage frequency of Pantene Pro-V shampoo in the U.S. within 7 days by the people living in their household. According to this survey, 4 percent of American households reported to have used Pantene Pro-V shampoo 1 – 3 times within 7 days.

Many analysts still agree that both app development companies and businesses have a lot to work on as regards augmented reality apps. However, no one doubts that AR technology has a big potential for businesses to provide hands-on experience, offer ways to visualize and "recover" products, improve conversion rates, bridge the digital and physical business world and be on the bandwagon.

Elinext Group mobile applications:

Pantene Pro-V Game Case Study
Ariel Deep Down Cleaning Case Study

Industries and Technology Areas:

Industries: retail

Technology Areas: mobile application development, augmented reality, iOS, Android

TAGS

RELATED ARTICLES

Elinext-Group-Included-in-Two-Key-2016-Belarus-Service-Providers-Lists

Elinext Group Included in Two Key 2016 Belarus Service Providers Lists

Information technology is a big deal these days and it seems like new vendors and agencies are emerging daily. It’s...
READ ARTICLE

Unique development bridge helps Elinext Group Create Healthcare Analytics Platform for a US Company

The healthcare industry, like many other businesses, is facing rapidly increasing volumes of data. At Elinext Group, we believe leading...
READ ARTICLE

Elinext iPad App for Life Insurance Automates Examination Process

The life insurance process (along with applying for a policy, getting a quote and coverage) requires underwriting, which means getting...
READ ARTICLE

Software development company and digital agency alliance

Elinext takes pride in its successful cooperation with Bitsens and is eager to conquer new heights and expand new horizons...
READ ARTICLE

CASE STUDIES