Boston Consulting Group: AR is here to stay. You in?
A new study from Boston Consulting Group outlines the impact camera marketing will have on advertising and the millions of people that experience AR.
The smartphone camera’s portability and internet connectivity has transformed the way we view the camera, and the human behaviors associated with it. In 2017 alone, people took 1.3 trillion photos — nearly four times the number taken in 2010 — and the majority of them were taken on the camera in their pockets.
Smartphone cameras aren’t just used for photos, either. Today, 80 million people in the US — about one-third of all smartphone users — engage with augmented reality at least once a month. According to Boston Consulting Group (BCG), that number is expected to jump to 120 million by 2021, and the smartphone camera will be at the center of those experiences. For advertisers, being a part of the smartphone camera means getting in front of where people are increasingly spending their time.
In Boston Consulting Group’s latest whitepaper, “Augmented Reality: Is the Camera the Next Big Thing in Advertising?,” — commissioned by Snap Inc. — BCG surveyed more than 50 CMOs and senior marketing executives from the top 200 advertisers in the United States. The study recognizes the smartphone as a new and powerful way for marketers to advertise through a camera-driven lens. And while camera marketing is still in its early days, BCG concludes that AR advertising represents a major and growing opportunity to be where the eyeballs are headed.
Some key takeaways:
- The Opportunity: More than 80 million people in the US already engage with AR applications at least once a month; these are mostly younger consumers that represent an attractive segment for advertisers.
- AR Today: Most large advertisers are either already using, or planning to use, AR in their campaigns for objectives across the marketing funnel. The majority of this usage, however, is still at the experimental stage.
- The Barriers to Wider Usage: Because AR is a nascent channel, companies are wrestling with multiple hurdles related to market maturity, impact and measurement, and internal capabilities.
- Stepping Up the AR Game: Overcoming the hurdles will require concerted efforts by advertisers themselves. To prepare their organizations to execute successfully, they will need to take action along five dimensions.
On Snapchat, everything starts with the camera. From Lenses that transform, to 3D Bitmojis that dance, our app is host to features that are uniquely tied to the smartphone camera powering it. Our advertising products are no different. 40% of our community plays with AR experiences every day, for an average of three minutes, making Snapchat the largest platform for AR usage in the world.
AR on Snapchat is a full funnel solution:
Advertisers of all sizes and industries have taken advantage of our AR ads to drive business results across the funnel. From our AR-focused measurement solutions, to Lens Studio and our Certified Partners that specialize in AR, we’re continually working to make Snapchat the best place for camera marketing. If you’re interested in learning more about how to best use AR for your business objectives, you can learn more about our solutions at forbusiness.snapchat.com.
Full whitepaper: Augmented Reality: Is the Camera the Next Big Thing in Advertising?
- Source: Snap Inc. Internal Data
- Source: BCG Whitepaper, Augmented Reality: Is the Camera the Next Big Thing in Advertising?