Creating space for Gen Zs’ ‘personal brand’ with augmented reality

More than 3 out of 5 Gen Zs think AR will make life easier.

Gen Zs are a new breed of shoppers, having been born and bred in the digital age, and retailers have developed ways to tap into this demographic. With over three of five Gen Zs saying augmented reality will make their lives easier, retailers are now pressed to look at AR as another venue to meet shoppers’ needs. 
 
‘Gen Z’s personal brand’
 
“Gen Zs as consumers are generally well-versed in digital marketing, as more of them are engaging in building their personal ‘brand’ online,” Dan Heffernan, Head of Global Agency, APAC at Snap Inc., told Retail Asia.
 
“This means that they expect an updated media and communication planning strategy that’s not only authentic but also relevant to their lives.”
 
Heffernan observed a growing desire for authenticity and Gen Zs sit in its center. As consumers, Gen Zs seek greater transparency as they are inclined to reimagine online life and turn it into something that feels real, fulfilling, and genuinely fun.
 
“We expect that as the first truly digital generation, Gen Zs will continue to redefine the elements of personal branding with authenticity and originality in the years to come as more social media platforms continue to emerge,” he said.
 
In this light, Gen Zs as consumers give emphasis on the purpose of brands. In 2023, Heffernan noted that this market is expected to follow brands that reflect their values and motivations in their messaging and brand standing. 
 
“Gen Zs are looking for brands that can complement the spaces they are creating — spaces that are supportive and encourage self-expression and self-exploration. Brands should look to share content that authentically portrays who they truly are and what they stand for,” he added.
 
In a report, Snap found that 63% of Gen Zs expect AR to make the shopping experience easier for them, whilst 92% have expressed their interest in using AR for shopping. This gives rise to a need for retailers to invest in AR experiences and other emerging technologies.
 
Moreover, Snap reported that more than two-thirds of shoppers who used AR say they intend to purchase products after using it, while 80% of shoppers who use AR during their process say they feel more confident in their purchase as a result of using that interactive technology as it gives them a more accurate and full view of the product. 
  
Capturing Gen Zs
 
“AR has the power to re-center the shopping experience entirely around the individual consumer, and Gen Zs are starting to expect this from their brands,” said Heffernan. “They want to seamlessly interact with, try on and purchase products, and share the experience with their friends.” 
 
Snap has partnered with luxury fashion house Christian Dior Couture to offer users a realistic try-on experience for six pairs of Dior sneakers. In the case of Esteé Lauder, shoppers were able to virtually try on different products, such as a primer, foundation, and lipstick. Snap has also allowed shoppers to head directly from the app to the brand’s online shop to make a buy, bringing a more seamless shopping experience. 
 
With AR, not only can Snapchatters try on the products, they can send Snaps to their friends and family and consult them before purchasing. 
 
Heffernan noted that retailers will continue to recognize the role AR will play in improving customer experience as the market is projected to be valued at $1.2t by 2030. 
 
“Brands are increasing investments in AR experiences because they are personal, immersive, and interactive in a way that other activations simply cannot be,” he said. 
 
He added that small and medium-sized businesses as well as larger brands may be able to reach the younger and more tech-savvy audience better by building on a camera-first mentality. 
 
Future of retail with AR
 
Snap’s partnership with Dior and Esteé Lauder also covered running ads through the AR Lens in carousel and Snap Ad formats, and a Shoppable AR Lens, respectively.
 
This enabled Dior to generate a Return on Ad Spend of 3.8x and brought more than 2.3 million views from their business profile. Esteé Lauder, meanwhile, reached over 3 million people through the Lens and drive up ad awareness, brand association, and action intent.
 
Heffernan expects AR to continue changing the game in brand advertising with a real-time data-driven structure 
 
“Most advertising platforms, including Snapchat, have a learning phase after an ad is published where machine learning determines what kinds of people in the advertiser’s target audience are more receptive to the ad, so the delivery system can show it to more people like them,” he said.
 
Moreover, AR also provides social proof that allows consumers to share their reviews with their friends and families, thereby encouraging others to avail of products. An immersive experience with AR also continues to evolve as it brings consumers more realistic renderings. 
 
For instance, Snap’s Ray Tracing gives consumers a view of life-like replicas of products. “Never before would you be able to see virtual rays of light appear to bounce off digital objects and create lifelike reflections. As the first brand to leverage this technology, Tiffany & Co. is now showcasing its Tiffany Lock bracelets with near-perfect replication virtually on Snapchat,” Heffernan said.