Immersive Technology in Retail Industry Market Size

Immersive Technology in Retail Industry Market Overview

Immersive technology in retail industry market size was valued at USD 6.35 Billion in 2022. The immersive technology in retail industry market industry is projected to grow from USD 7.37 Billion in 2023 to USD 42.54 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 21.5% during the forecast period (2023 - 2032). Increased sales and conversion rates, innovative marketing and advertising, data and analytics, customer engagement and loyalty, cross-selling and upselling, sustainability and green initiatives, the rising acceptance of e-commerce, the increasing adoption of 5G, are the key market drivers enhancing the market growth.

Figure 1: Immersive Technology in Retail Industry Market Size, 2023-2032 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Immersive Technology in Retail Industry Market Trends

Increased sales and conversion rates is driving the market growth

Customers are now able to interact with products in ways that were previously not feasible through traditional brick-and-mortar or e-commerce purchasing because to immersive technologies like augmented reality (AR) and virtual reality (VR). Customers can virtually place furniture in their living rooms or try on clothes without physically visiting a store thanks to augmented reality (AR) apps. In addition to assisting clients in making more informed decisions about their purchases, this improved product visualization fosters a stronger emotional bond with the goods. Customers are therefore more inclined to buy a product when they can clearly see how it will fit, look, or be useful in their own life.

Retailers may customize the shopping experience to each customer's tastes thanks to immersive technology. Retailers may provide individualized product recommendations and immersive experiences that appeal to certain customers by evaluating customer data and behavior. For instance, an AR app can suggest cosmetics based on a user's skin tone and fashion choices. This degree of personalization builds consumer engagement and loyalty in addition to increasing the likelihood of earning a transaction.

Shopping becomes a more active experience thanks to immersive technologies. Customers can actively investigate things, look at specifics, and even tailor specific features to suit their preferences. Customers can alter the color, style, or configuration of furniture pieces in real-time in a VR showroom, for example, which makes the buying experience exciting and fun. Customers are more likely to engage with a company for longer periods of time and purchase products as a result of interactive experiences.

Retailers have the chance to seamlessly cross-sell and upsell products thanks to immersive technology. Retailers can recommend upgrades or related products when buyers interact with a product in an immersive setting, hence raising the average transaction value. For instance, if a consumer is trying on virtual shoes, the system may suggest complementary accessories or extra products that will increase sales. Thus, driving the Immersive Technology in Retail Industry market revenue.

Immersive Technology in Retail Industry Market Segment Insights

Immersive Technology in Retail Industry Component Insights

The Immersive Technology in Retail Industry market segmentation, based on component, includes Hardware (Head-Mounted Display (HMD), Gesture Tracking Devices (GTD), Projectors & Display Walls (PDW)), Software/Platform, Services (Professional and Managed). The hardware segment dominated the market in 2022. The price of immersive hardware has traditionally been a major deterrent to adoption. Immersive technology is now more affordable for a wider range of shops because to continued hardware cost decreases. Lower hardware prices enable smaller businesses to experiment with immersive solutions without breaking the bank, in addition to attracting larger shops.

Immersive Technology in Retail Industry Technology Insights

The Immersive Technology in Retail Industry market segmentation, based on technology, includes Mixed Reality (MR), Virtual Reality (VR), Augmented Reality (AR) and 360 Film. The augmented reality (AR) segment dominated the market in 2022. AR-powered virtual try-on solutions are particularly popular in the fashion and beauty sectors. Customers can see how clothing, accessories, or cosmetics will look on them without physically trying them on. This feature increases the likelihood of making a purchase, reduces returns, and enhances the overall shopping experience.

Immersive Technology in Retail Industry Application Insights

The Immersive Technology in Retail Industry market segmentation, based on application, includes Training & Learning, Emergency Services, Product Development and Sales & Marketing. The sales & marketing category generated the most income in 2022. Immersive technology allows retailers to present their products in a more captivating and interactive manner. This enhanced product presentation can include 360-degree views, product animations, and detailed 3D models. Such immersive visualizations make it easier for marketing teams to create compelling product content that attracts potential customers and drives sales.

Figure 1: Immersive Technology in Retail Industry Market, by application, 2022 & 2032 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Immersive Technology in Retail Industry Regional Insights

By region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. The North America Immersive Technology in Retail Industry Market dominated this market in 2022 (45.80%). A strong e-commerce ecosystem exists in the North American market, and immersive technology enhances the convenience of online buying. To give customers immersive and interesting online buying experiences, retailers are integrating AR and VR into their e-commerce platforms. Further, the U.S. Immersive Technology in Retail Industry market held the largest market share, and the Canada Immersive Technology in Retail Industry market was the fastest growing market in the North America region.

Further, the major countries studied in the market report are The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2: IMMERSIVE TECHNOLOGY IN RETAIL INDUSTRY MARKET SHARE BY REGION 2022 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Europe Immersive Technology in Retail Industry market accounts for the second-largest market share. In Europe, both technology and art are highly regarded. Due to this cultural openness, consumers and businesses in Europe are more receptive to immersive technology in retail because it frequently mixes creativity and innovation. Further, the German Immersive Technology in Retail Industry market held the largest market share, and the UK Immersive Technology in Retail Industry market was the fastest growing market in the European region.

The Asia-Pacific Immersive Technology in Retail Industry Market is expected to grow at the fastest CAGR from 2023 to 2032. Asia-Pacific is renowned for having a mobile-first culture and a high smartphone penetration rate. For this mobile-savvy demographic, immersive technological solutions, like AR shopping apps, are especially well suited. Moreover, China’s Immersive Technology in Retail Industry market held the largest market share, and the Indian Immersive Technology in Retail Industry market was the fastest growing market in the Asia-Pacific region.

Immersive Technology in Retail Industry Key Market Players & Competitive Insights

Leading market players are investing heavily in research and development in order to expand their product lines, which will help the Immersive Technology in Retail Industry market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, Immersive Technology in Retail Industry industry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the Immersive Technology in Retail Industry industry to benefit clients and increase the market sector. In recent years, the Immersive Technology in Retail Industry industry has offered some of the most significant advantages to medicine. Major players in the Immersive Technology in Retail Industry market, including Acer Inc., Atheer, Inc., AVEVA Group PLC, Barco NV, Blippar Ltd., Carl Zeiss AG, CM Labs Simulations Inc., EON Reality, Inc., FAAC Incorporated, Google, LLC, HCL Technologies Limited, Honeywell International, Inc., HTC Corporation, Immersive Media Company, Immersive Technologies Pty Limited, Lockheed Martin Corporation, Magic Leap, Inc., NCTech Limited, Oculus (Facebook Technologies, LLC.), Samsung Group, Sony Corporation, Unity Software Inc., Varjo Technologies Oy, VI-grade GmbH, Zeality Inc. and others, are attempting to increase market demand by investing in research and development operations.

Lockheed Martin Corp. (Lockheed Martin) is a company that produces aerospace and security goods. The business is engaged in the study, creation, manufacture, and integration of high-tech systems, goods, and services. Additionally, it provides services in management, technical, engineering, science, logistics, system integration, and cybersecurity. Military and rotary-wing aircraft, airlifters, ground vehicles, missiles and guided weapons, radar systems, sensors, unmanned systems, and naval systems are among the company's product offerings.

For military aircraft, ground vehicles, missile defense systems, satellites, and space transportation systems, Lockheed Martin offers support and upgrade services. Both business clients and the US government are served by it. The Americas, Africa, Europe, Asia-Pacific, and the Middle East are all regions in which the organization conducts business. The US city of Bethesda, Maryland, is home to Lockheed Martin's headquarters.

Magic Leap Inc. (Magic Leap) is a technology company that develops computer software and user interfaces. The company creates light field display technologies for virtual animations and virtual reality experiences. It is possible to buy the Magic Leap One Creator Edition headset. You may experience both the real and virtual worlds thanks to a cutting-edge computing platform called Magic Leap. For web developers, it makes it possible to create and play games as well as browse spatially and extract content. It collaborates with academic institutions, tech firms, and businesses that make motion pictures and television shows. The retail, sports, healthcare, and entertainment sectors in the United States. Magic Leap is headquartered in Plantation, Florida, a US city.

Key Companies in the Immersive Technology in Retail Industry market include

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  Acer Inc.

  
  


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  Atheer, Inc.

  
  


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  AVEVA Group PLC

  
  


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  Barco NV

  
  


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  Blippar Ltd.

  
  


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  Carl Zeiss AG

  
  


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  CM Labs Simulations Inc.

  
  


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  EON Reality, Inc.

  
  


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  FAAC Incorporated

  
  


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  Google LLC

  
  


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  HCL Technologies Limited

  
  


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  Honeywell International, Inc.

  
  


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  HTC Corporation

  
  


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  Immersive Media Company

  
  


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  Immersive Technologies Pty Limited

  
  


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  Lockheed Martin Corporation

  
  


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  Magic Leap, Inc.

  
  


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  NCTech Limited

  
  


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  Oculus (Facebook Technologies, LLC.)

  
  


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  Samsung Group

  
  


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  Sony Corporation

  
  


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  Unity Software Inc.

  
  


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  Varjo Technologies Oy

  
  


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  VI-grade GmbH

  
  


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  Zeality Inc.

  
  

Digital Identity Industry Developments

In May 2024, Mai Labs, a Web3 company situated in Grand Cayman, introduced its metaverse platform called 'Mayaaverse' in India. During a launch event in Delhi, the business unveiled the Lumyn XR, a virtual reality headset specifically created for deep exploration of the digital realm. Mai Labs is venturing into the domains of Artificial Intelligence, blockchain, and the metaverse with these products. Mai Labs is establishing its presence as a pioneer in the extended reality (XR) ecosystem through their product, Mayaaverse. Utilizing its own Zero blockchain, the platform provides virtual environments for artists, companies, and educational institutions to interact with their communities, specifically targeting younger consumers. On Wednesday, the business presented virtual retail outlets, religious locations, and places for live concerts in Mayaaverse during a demonstration. In addition, the platform would enable visitors to delve into ancient towns and go through historical periods.

Mytheresa, a global luxury e-commerce network, has become one of the first luxury platforms to create a shopping software specifically for Apple Vision Pro. The exclusive visionOS app was launched last month. The Mytheresa app, developed in partnership with Obsess, a prominent immersive shopping technology platform and visionOS developer, offers users an immersive digital luxury shopping experience in Capri, Italy, and Paris, France. Users can explore Mytheresa's carefully curated collection of luxury fashion, showcasing renowned brands such as Loewe, Valentino, Saint Laurent, and others. The program utilizes the advanced features of Apple Vision Pro to enable users to traverse hyper-realistic surroundings using intuitive eye and hand gestures. The iconic yellow box that represents Mytheresa, together with a unique design, will mark the beginning and finish of the shopping experience.

Immersive Technology in Retail Industry Market Segmentation

Immersive Technology in Retail Industry Component Outlook

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  Hardware

  
  
  
  
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    Head-Mounted Display (HMD)

    
    
  
  
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    Gesture Tracking Devices (GTD)

    
    
  
  
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    Projectors & Display Walls (PDW)

    
    
  
  
  
  


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  Software/Platform

  
  


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  Services

  
  
  
  
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    Professional

    
    
  
  
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    Managed

    
    
  
  
  
  

Immersive Technology in Retail Industry Technology Outlook

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  Mixed Reality (MR)

  
  


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  Virtual Reality (VR)

  
  


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  Augmented Reality (AR)

  
  


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  360 Film

  
  

Immersive Technology in Retail Industry Application Outlook

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  Training & Learning

  
  


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  Emergency Services

  
  


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  Product Development

  
  


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  Sales & Marketing

  
  

Immersive Technology in Retail Industry Regional Outlook

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  North America

  
  

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  U.S.

  
  


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  Canada

  
  

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  Europe

  
  

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  Germany

  
  


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  France

  
  


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  UK

  
  


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  Italy

  
  


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  Spain

  
  


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  Rest of Europe

  
  

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  Asia-Pacific

  
  
  
  
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    China

    
    
  
  
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    Japan

    
    
  
  
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    India

    
    
  
  
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    Australia

    
    
  
  
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    South Korea

    
    
  
  
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    Australia

    
    
  
  
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    Rest of Asia-Pacific

    
    
  
  
  
  


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  Rest of the World

  
  




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  Middle East

  
  


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  Africa

  
  


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  Latin America