What Is Augmented Reality and How Can It Drive Growth?

What is proven was once only imagined.

Little did William Blake know his words would continue to inspire multiple technological innovations.

Imagine walking into a Zara showroom, sifting through the latest collection, and trying on your choicest clothes before someone dibs on them. All, without the wait and in the comfort of your home.

Sounds too good to be true, isn’t it? 

Known as the great extent of the human eye, Augmented reality is a harbinger of a hi-tech metaverse that has transformed experiences. Businesses have designed online avatars to woo their audiences in a way no one has, and turned their pies into profit!

Augmented reality is defined in a number of ways; an immersion into a metaphysical universe or a set of expanding APIs to enable interaction between apps, platforms, and people in a way that binds their purposes.

In decor studios, companies use augmented reality software for very detailed customer profiling to predict furniture requirements. Be it in the store or at home, people get to experience the look and feel of a certain product to make informed purchase decisions.

The world’s leading companies are adopting AR technology at a frantic pace. By creating immersive customer experiences and interactive product interfaces, companies can scale their production processes, attain decent market share, and drive success.

History of augmented reality

Chances are most of us think about AR as something that emerged from a sci-fi movie. However, augmented reality dates all the way back to the 1950s.

Sensorama, 1957

Cinematographer Morton Heilig invented Sensorama, considered one of the earliest concepts of augmented reality. Nicknamed the "Cinema of the Future”, this immersive, multi-sensory device emulated the look and feel of an ongoing movie. 

The Sensorama, patented in the US in 1962, was an iridescent device consisting of color palettes, display films, odor emitters, a studio sound system, and a motion chair. People peeked into it to experience phenomena like sunlight, winds, or rain as if they were there. 

Sword of Damocles, 1968

Shortly after Heilig’s creation, two renowned US scientists, Ivan Sutherland and Bob Sproull invented the first head-mounted AR device. It was known as the "Sword of Damocles." Because it was so bulky, it had to be suspended from the ceiling. 

The Sword of Damocles displayed virtual data overlays as the output of a manually coded computer program. It also layered 3D images over real objects as the user moved their head, providing a personified experience!

The origin of the term “augmented reality”

Thomas P. Caudell and David Mizell of Boeing, the world's largest aerospace company, launched their first successful AR venture in 1992. Boeing was among the first to virtually train its manufacturing staff using AR. 

Apart from using the Computer-Aided Design (CAD) technology, employees at Boeing used heads-up display (HUD) headsets to diagnose, identify, and fix manufacturing defects with improved precision. HUD displays were smart AR wearables that helped visually locate aircraft's defective parts. Once identified, workers fixed those defects and re-engineered the aircraft. 

Design, testing, selling – every complex process of an aircraft manufacturing cycle was broken down this way, ultimately leading to desired results.  It was after this that Caudell coined the term “Augmented Reality”.

“AR will one day be as important in our everyday lives as eating three meals a day.”

Tim Cook
CEO, Apple Inc.

How does augmented reality work?

The working mechanism of augmented reality is pretty simple. For this, you just need an input device for image recognition like your smartphone’s camera. As you point your camera at a real-world object, the camera lens switches to grayscale for faster image processing. 

After the initial object detection, the built-in AR software extracts important features and stores them in the system’s available memory. In real-time, the details captured are object coordinates, length, width, relative distance, and main features like shape, color, size, etc.

Once the data is stored,  the camera and the object form a relationship. The software looks in the device’s brain, retrieves the most relevant content, and sends it out in a straight path to overlay the object. In some cases, it downloads virtual content on the host server, also known as AR Cloud.

With the help of correct software and hardware, companies can execute the right kind of AR content to elevate users' sense of perception. Overlaying snippets of digital content that patrons can consume through different sense gestures is the core purpose of augmented reality.

AR has yielded promising results across a chain of commercial businesses. Today, augmented reality marketing is deemed to be the pulse of new businesses as it creates unique and empathetic experiences, rather than standard promotional content.

Core components of augmented reality

AR devices are mainly system processors, sensors, input devices, GPS, cameras, and displays. Gadgets like smartphones can prove to be extremely compatible AR devices, for they come pre-configured with all of these. Processors like RAM, flashcards, Bluetooth, and scanners are used to process 3D images and sensor signals. The input devices are mostly cameras or webcams, and the sensors include GPS, gyro meters, or accelerometers which capture the position coordinates, distance, and relative velocity of the object.

Reflectors, such as smart mirrors are an integral part of AR devices as it overrides the physical background with virtual overlays for the viewer. An array of concave or convex mirrors can be used to align image illumination with the user's vision and hype up the perception of reality. 

Smartphones, in general, are perfectly equipped with everything required to run AR-enabled applications smoothly.

What is augmented reality software?

AR application software consists of a suite of tools that allows organizations to create, optimize and overlay content. The content can be visual, audio, or textual, depending on the specific product. 

This type of software model is versatile in functioning and runs independently across all operating systems, i.e. Android or iOS. Developed on built-in augmented reality markup language (ARML) syntaxes, it tracks, analyzes, and measures all the aspects of a real-world object without external help from processors or input devices. After contact, it replaces the object's coordinates with the most relevant virtual images on its own.

Implementing AR in consumer products requires organizations to choose compatible software development kits (SDKs) that comply with the design and functioning of their overall product. Investing in the right AR SDK software facilitates the entire development process while keeping in mind the design constraints of the product and preventing potential wear and tear.

Critical capabilities of augmented reality software

AR software lets us independently run our electronic devices from the comfort of our homes. In practice, AR is dispensed across three major dimensions: visual registration, live instructions, and real-time interaction.

Here are the three critical dimensions of AR-based applications, broken down into detail:

Visual registration

AR powerfully registers a connection with real-world objects through virtual image feature mapping. Users can see, analyze, and understand virtual graphical content or animations by pointing their AR-enabled devices directly at the object i.e. a pterodactyl running atop a tree or a dragon reining in a carnival.

Live instructions

AR is a fast-paced technology that dispenses live holograms of business systems and walks employees through the required modules they need to complete training. As employees can learn and grasp everything faster, organizations are relieved of spending exorbitant amounts of time, money, and resources for training purposes.

Real-time interaction

Initially, people interacted with electronic appliances using knobs, buttons, and switches. An AR visual panel anticipates a user's hand gestures, gaze, or voice commands to perform specific tasks like switching on or off the light, air conditioner, curtains, etc.

Optimum convenience comes as a cousin with augmented reality. Users can be cozying up on their couches, studying their daily work planners, forecasting a week's schedule in advance, and planning investor meetings or audit calls via AR trackers.

Types of augmented reality

As the big tech giants like Apple, Google, and Intel work on extending their footprint across their value chains and MVPs, many other early adopters are also leveling the playing field.

The question is: How? Easier asked than answered. To better understand how you can use AR, let's walk through the different types and see examples of each.

Marker-based AR

Marker-based AR works solely on the ground of image recognition of the real-world object. This technique requires either an optical marker reader (OMR) or QR reader to act as a pointer or a fiduciary marker between the AR device and the real-world object. As the user points the camera at the image, the embedded application scans and analyzes its information. 

It then compares the image’s details with a whole bunch of different cells in the system's storage to provide a digitally-illustrative experience. Marker-based AR is also called “projection mapping.”

Anne Frank's House in Amsterdam uses this projection mapping technique. Her life story is depicted as a feature film and projected over non-sensory stimuli (walls of her house) to attract visitors.

Markerless AR

Unlike marker-based AR, markerless AR uses other types of information to register a connection with real-world objects. It analyzes features like color, shape, density, texture, temperature, and environmental impact. You need to launch the AR application, and the system takes care of the rest.

The relevant information passes from the object to the system as you point your camera at the still life. After determining the relationship between the object and the camera's target angle, the most relevant image gets downloaded off the server. Once that’s done, the user can see virtual images in the original place of the object.

Location-based AR

Location-based AR ties digital content to a specific place. The objects are mapped out so that when a user's location matches the predetermined spot, it is displayed on the screen. 

Pokemon Go, the game that brought augmented reality to the masses, is an example of location-based AR. The experience brings virtual Pokemon to your world through smartphones and encourages users to find as many characters as possible.

Superimposition AR

Superimposition AR recognizes an object in the physical world and enhances it in some way to provide an alternate view. This can include recreating a portion of the object or the whole thing in its entirety. Doctors or radiologists use this technology to examine medical X-Ray examinations or diagnose the progression of diseases.

It also identifies the exact degenerative damage caused to the bones by superimposing XRay laser vision on top of the actual camera images of the human body.

Superimposition AR is most effectively implemented during military or sting operations. Users can target far-flung, specific emplacements planted by the enemy without any extra overlay of information blocking vision. Games like PUBG and Virtua Cop 2 are examples of it.

Projection-based AR

Projection-based AR doesn’t require a mobile device to display content. Instead, light projects the digital graphics onto an object or surface to create an interactive experience for the user.

Projection-based AR is used to create 3D objects that the user can interact with. It can be used to show a prototype or mockup of a new product, even disassembling each part to better show its inner workings.

Outlining AR

Outlining AR recognizes boundaries and lines to help in situations when the human eye can’t. Outlining augmented reality uses object recognition to understand the user's immediate surroundings. Think about driving in low light conditions or seeing the structure of a building from the outside. 

In self-driving cars, outlining AR tells the driver exactly where the middle of the lane is to keep them out of harm's way. Similar applications include parking your car and having the boundaries outlined to see exactly where the parking space is.

Use cases of augmented reality

AR can cater to myriad purposes, solve business-related challenges, and let businesses expand their global footprint.

As people become more receptive to augmented reality and its essence, companies invest more hours in exploring extensive use cases. Here are some examples of AR’s usability across business domains:

Employee training

AR customizes corporate training processes as per the employee’s cognition. Say goodbye to weighty instruction product manuals and create live 3D holograms of the organization’s training literature for workers to explore and understand. 

The labeled form of virtual information acts as a self-supervisor for employees to train themselves. This optimizes training expenses, frees up staff bandwidth, and cuts down on expensive site visits. 

Accenture, the multinational consulting organization, has recently launched "Accenture Extended Reality (XR)". It enables their connected employees to remotely access data and digital systems whenever they want. 

The round-the-clock employee connectivity sets a performance benchmark to deliver everyday tasks in a much more efficient, accurate, and responsive way within the premises of a safe environment.

Observing clear results of this maneuver, Accenture has been able to cut down on training costs, training turnaround, and system downtime in the long run, all while delivering an excellent employee experience at scale.

AR collaboration tools are also being used to process large volumes of data, train employees, and share meaningful information for real-time communication. 

E-learning

Through AR, teachers, and educators can explain abstract learning concepts virtually to students. Microsoft is among the first tech companies to take on the e-learning initiative via AR. Launched in 2015, Microsoft Hololens is changing the face of education by introducing the technique of experiential learning.

Hololens is a pair of mixed reality glasses that a person can wear comfortably as it simulates a virtual learning environment for students. It fosters learnability, mentor interactions, and convenience for students. It also increases their capability to adapt and grasp concepts quickly. 

Automobile windshields

AR-enabled HUDs enable drivers to navigate their way effortlessly while driving. Map pointers are displayed on the car windshields and on the path ahead of the driver to compute reaction time. 

The driver's action triggers specific GPS instructions. This strengthens focus on the road and mitigates the risk of a potential collision. AR coupled with AI systems can develop autopilot system cars, like the ones by Tesla.

Disaster management

AR software can forecast disasters and check the preparedness level of emergency crews beforehand. It achieves this by creating a hypothetical scenario of the disaster and overlaying visual information on top of it. For example, it outputs the details of tectonic plates to anticipate the probability of an earthquake, tsunami, volcano, or forest fire.

AR headsets like head-mounted displays (HMD) or wearables like magic leap’s smart glasses can save lives by providing an absolute time position of the disaster to aid in evacuation and allow victims to receive remote help from medical professionals.

Retail Experiences

Leveraging augmented reality has proven to be a boon in the retail sector. Creating an initial buzzword about product launches and displaying interactive videos can generate high volumes of traffic to a brand’s website.

Top names like L'oréal and Pepsico host their commercial marketing content in AR cloud-based software. They use AR software to tell a story about their product, bringing something unique and building upon people's curiosity. This creates brand recall in customers’’ minds and drives their minds to a successful deal. Loréal’s Modiface, the international leader in AI and AR for beauty, has also recently launched its long-term AR collaboration with Facebook. Through this venture, it reinvented the entire experience of cosmetic purchase. 

AR has leaped far and beyond in creating state-of-the-art advertisements for the people. It allows businesses to tap into customers’ intent and personalize marketing efforts.

Military operations

Augmented reality is bound to transform the way the military conducts operations. The US Army uses this technology to create, operate, and maintain their complex assets and provide their soldiers with a wealth of IoT data during reconnaissance missions.

AR-driven procedural guidance expedites their service processes, upskills their workforce, and comprehends latent information via HMDs or AR glasses to predict oncoming danger.

Healthcare administration

Healthcare has been one of the most prominent sectors with a wide range of applications of AR across its domains. Accuvein, a Medtech startup, uses AR to identify body veins during incisions, simplifying an otherwise difficult process. 

The coordinates of heat emitted by the patient’s veins are merged with a virtual image. Then, the image is overlaid in the exact same place on the skin, making it easier to carry out blood tests and other vascular procedures.

AR has also proven its mettle in assisting field medics or hospital staff in providing emergency medical treatment in a combat zone. Using computer vision to track, analyze, align and overlay the medical guidance of doctors, the on-field medics can stabilize many situations. AR also increases their ability to perform emergency surgeries with maximum success rates.

Augmented reality vs. virtual reality

Augmented reality's well-known contender, virtual reality (VR), has an entirely different origin story. Virtual reality and augmented reality appear similar in working mechanisms but differ in character. Let’s shed some light on their differences.

As discussed, AR is a way to virtually blot digital content onto real-world accessories and redefine how we decipher the world around us. It emphasizes driving connectivity among people of diverse backgrounds and changing our day-to-day experiences.

Virtual reality is a digital mechanism that completely emulates our real world through computer-programmed elements. While AR brings virtual objects to the same environment as real objects, VR immerses a user in a virtual world. VR helps shut out the physical world and creates a user’s alter-ego for the animated world.

 VR lets you immerse yourself in an entirely different computer-mediated reality via HUD headsets or AI systems. The users are temporarily aligned with an imaginary world. Diving deep into the nuances of this world, you can catch a glimpse of penguins sauntering in the snow or polar bears trying to catch fish.

 Here are some more distinguishing features of augmented reality and virtual reality:

Benefits of augmented reality

We are becoming more receptive to AR experiences and welcoming its creative charm with open arms. Our “I’ll believe it when I see it” attitude inspires marketing teams to create groundbreaking customer experiences through AR. 

By depicting 3D video instructions over products, marketers can save a lot of effort and money while getting required traffic. Here are five major consumer benefits of AR that can help businesses create a legacy:

Affordability

In the coming years, augmented reality apps will penetrate virtually every aspect of a business funnel. Companies will even find a way to automate AR functions and eliminate expensive hardware like HMD (Head-mounted displays) to right-size their marketing budgets smartly.

Using appropriate AR SDKs, they will be able to develop cost-friendly AR applications and create full-scale interfaces to re-establish their visibility, brand positioning, and value.

Demand forecasting

The self-reliance on the internet has prodded customers to trust businesses with much more personal information. Businesses can utilize customer data to predict demand fluctuations and keep a thorough check on their inventory management processes through augmented reality.

Though augmented reality has been bubbling under the surface for B2B, B2C, and D2C companies, it’s expected to take a leap in the near future. AR is a key to many companies’ ability to forecast expected sales, manage their orders, and fallback supplies with precision. 

Fueled by powerful machine learning algorithms, AR will improve the scope of every functioning unit in the supply chain of an organization. 

Improved user experience

Augmented reality enables businesses to build seamless and friendly user interfaces. Many e-commerce websites nowadays have pre-integrated AR codes into their brand catalogs that walk their customers through the live experience of the product.

Google’s AR core and Apple’s ARKit are some of the few SDK platforms that develop mobile-friendly augmented reality applications at a fraction of the cost of standard enterprise applications. 

Companies can share their content with anyone anytime through the application programming interfaces (APIs) present in these kits. This develops an affinity in a customer's mind and steers them toward buying the product or service.

Acquisition and retention

Augmented reality creates a product’s virtual cues and highlights top features, usability, affordability, and market advantage.

Companies incorporate AR in their lead generation strategies to create state-of-the-art marketing experiences and gain a desirable impact on all society levels. With AR, businesses are can widen their customer pool and draw engagement at all levels of the business funnel to achieve positive conversions. 

In-depth analytics

Along with reposing brand value, companies can evaluate their business performance via AR metrics. Using advanced dashboards and several 3D benchmarking tools, they can track, measure, and optimize their campaigns in real-time to enhance their reach, customer interaction, and ROI.

By analyzing other metrics like unique visitors, traffic source, click-through rate, dwell time, and bounce rate, businesses can dominate internet searches with ease.

Challenges related to augmented reality

No matter how enticing augmented reality is, companies are risk-averse to relying on it as a standalone tool for business growth. As for the majority of consumers, there still are potential gaps in knowledge.

Here are some challenges with AR that need careful understanding before using it in full swing:

• Lack of educational understanding: Being a novel technology, many are still clueless about AR's significance. Not many universities offer programs with AR/VR specialization. Hence, there is a lack of theoretical expertise in the frontline workforce.
• Training curve: AR Engineers need to be efficient with programming languages such as C++, C#, JavaScript, and Python. Further, working with game engines like Unity or Ubisoft is pivotal in constructing 3D settings. Employees need to be thoroughly trained in these aspects to execute AR-related tasks. 
• Security and privacy issues: Security and privacy issues also pose a huge concern for organizations. As AR is new, it is susceptible to data exposure. Due to the negligence of employees and little knowledge of AR devices, there is a chance of data theft, phishing, and other malware.
• Design incompatibility: While developing application software, maintaining performance standards is very important. AR software must work in cohesion with other design modules of the overall company product. Since AR has freshly arrived in the commercial sector, many products are still incompatible with AR software.
• Hardware dependency: AR hardware devices are usually tethered to an external computer manually. Although it can be a good idea to use smartphones as an alternative for AR applications, it still doesn’t work smoothly. As smartphones are designed for 2D capturing, they cannot be used professionally for executing 3D images. Signals in the air also continuously bring down the capability of smartphone cameras.
• Health concerns: Using AR devices can sometimes also prove to be a risky activity. Submerging yourself in a semi-digital universe can make you lose your connection to your real-life environment.

Even with these limitations, AR is steadily being adopted across the globe to automate, manage, and hyper-scale businesses.

What does the future look like for augmented reality?

People say,  “AR is the future,” but AR is now. Be it the Gen Z flux or the industrial revolution 4.0, augmented reality has marked a paradigm shift in the way we perceive the world.

As humans, our responsibility is to collect, organize, and streamline all proponents of our physical and digital ecosystems to enhance how we interact with each other around the globe.

Augmented reality emerges as an enormous promise of the human race: to break the current inconveniences of everyday problems by creating innovative, long-term solutions.

Bring your dream metaverse to the office with the right virtual reality software! Imagine, create and deliver innovative experiences to fuel exponential growth.