What is the effect of augmented and virtual reality technology ✓ Solved

What is the effect of augmented and virtual reality technology

What is the effect of augmented and virtual reality technology on customer experience? Businesses look for ways to enhance customer and employee experience. Augmented and virtual reality can be used to improve customer and employee experiences. Augmented reality (AR) is a technology that adds layers to the current view on a screen by superimposing images, icons, texts, or numbers. Augmented reality is typically accomplished with the use of software or applications that run on smartphones, tablets, laptops, or desktop computers.

Augmented reality often does not require additional equipment. Virtual reality (VR) is a technology that creates a completely different view of the environment. This technology requires specialized equipment that the individual wears, usually over their eyes or head. The technology is an additional purchase beyond the current technology the business has on hand.

AR and VR have various business applications, such as training, virtual touring, and communication enhancement.

Augmented Reality in Action

Augmented reality (AR) is a technology used to enhance a customer's view of the real world through computer-generated images. An example of this is Watchbox, which has an app enabling users to see how a watch looks on their wrist (Calder, 2018). This innovation aims to reduce the return rates of watches. Moreover, retailers like Wayfair and IKEA utilize AR to allow customers to visualize how furniture will fit and look in their homes (White, 2018).

Virtual Reality in Business

Virtual reality (VR) technology provides an entirely new view of an environment but requires specialized headsets and equipment, presenting an additional cost for businesses. For instance, Walmart has adopted VR technology for training managers in various scenarios, including managing customer conflicts (Tuchscherer, 2019). This approach helps employees learn the correct responses in high-pressure situations, ultimately improving customer service.

The Impact of AR and VR on Customer Decisions

AR and VR technologies demonstrate their value by enhancing experiences related to product interaction and decision-making. Customers often benefit from virtual experiences since AR and VR provide an opportunity to engage with products without the commitment of making a purchase. For example, customers can visualize paint colors on their walls or virtually explore travel destinations through immersive AR and VR applications.

Enhancing Training and Safety

Training is another critical area where AR and VR can significantly impact employee development. These technologies facilitate experiential learning, allowing individuals to practice skills safely without direct risk. For instance, medical professionals can familiarize themselves with new equipment before working with real patients, ensuring safety while honing their skills.

Simulating Real-world Situations

AR and VR also offer human resource departments the ability to train employees in handling difficult, real-world situations, such as conflict resolution and emergency responses. The predictive quality of these simulations provides businesses with a way to prepare their employees effectively, reducing risks associated with unprepared staff during actual customer encounters.

Improving Communication in Remote Settings

Moreover, AR and VR facilitate improved communication among remote employees. As businesses increasingly operate with remote teams, using these technologies can help alleviate feelings of isolation. AR and VR can create virtual meeting spaces where participants interact more naturally, sharing body language and facial expressions that enhance understanding beyond verbal communication.

Conclusion

In conclusion, integrating augmented and virtual reality technologies into business frameworks significantly enhances customer and employee experiences. AR can alter perceptions of the environment to provide interactive experiences, while VR immerses users in entirely different settings. The ongoing improvements and decreasing costs of these technologies will likely lead to broader applications across various business departments.

Future Prospects

As more businesses explore AR and VR technology, it is anticipated that they will transition from traditional web conferencing tools to more immersive experiences that enrich the quality of virtual meetings and training sessions. Such advancements will not only improve productivity but also foster team cohesion and customer engagement.

References

  • White, M.C. (2018). Before you buy that couch, an app will put it in your living room. Retrieved from [URL]

  • Calder, E. (2018). Watchbox adds augmented reality feature in effort to reduce returns from ecommerce customers. Retrieved from [URL]

  • Tuchscherer, R. (2019). Walmart uses virtual reality to test new store managers. Retrieved from [URL]

  • Rauschnabel, P.A., & Ro, Y.K. (2020). Augmented Reality: A New Way of Retailing. Journal of Retailing, 96(3), 285-298.

  • Mehdizadeh, S. (2019). The Role of Virtual Reality in Retail Marketing. Journal of Marketing Management, 35(5-6), 570-602.

  • Parsons, T. (2017). Designing Augmented Reality Environments for Improved Customer Experience. Business Horizons, 60(1), 59-68.

  • Pillai, K.G., & Lesue, S. (2018). The Future of Virtual Reality in Business. International Journal of Business Research, 18(1), 23-34.

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  • Zhao, J., & Wang, R. (2021). Virtual Reality and Its Applications in Business. Journal of Innovation and Entrepreneurship, 10(1), 1-16.

  • Fang, Z., & Zhang, Y. (2015). Understanding the Adoption of Augmented Reality in Retailing: A Perspective of Innovation Diffusion Theory. Computers in Human Behavior, 58, 102-110.