Matt Edmundson: Well, hello and welcome to the e-commerce podcast
with me, your host, Matt Edmundson.
The E-Commerce podcast is all about helping you deliver e-commerce wow.
Yes, it is.
That's what we say.
That's what we want to do.
And to help us do just that, I'm chatting with my very special guest
today, Rich Watson, from Augmented Hype about the amazing benefits of augmented
reality marketing for e-commerce.
Yes, you heard it here first, ladies and gentlemen, the
amazing benefits of augmented reality marketing for e-commerce.
But before, Rich and I jump into that conversation, let me suggest a few of
the e-commerce podcast episodes that I think you'll enjoy listening to.
We now have an extensive back catalog, uh, and I'm always amazed actually uh, Rich,
I don't know if you how many podcasts you've done, but I'm always amazed by
the stats showing me how many people are listening to episodes from years
ago, which is, it's a beautiful thing.
So check out how not to waste a bunch of money on crappy ads
campaigns with, uh, Jarod Spiewak.
That was a great conversation, uh, and why you should stop using Facebook
ads and start Google Advertising with John Horn was also a good one.
Uh, and you can find these and our entire archive of episodes on our
website for free at ecommercepodcast.net.
Now this episode is brought to you by the e-commerce cohort, which helps you
deliver e-commerce wow to your customers.
Now, I dunno how long you have been in e-commerce.
Uh, dear listener, maybe you're starting out, maybe you are new to the whole thing.
Uh, but it's a real issue trying to keep up, especially if you're working
by yourself or working in a small team.
So cohort is here to solve that problem.
It is a lightweight membership group, uh, with what we call guided
monthly sprints that cycle through all the key areas of e-commerce.
So every month, they deep dive into a topic, an area, it may be
marketing, it may be how to do augmented reality marketing, uh,
you know, all those kind of things.
Uh, the sole purpose of cohort is to provide you with clear,
actionable jobs to be done.
You get to work with an awesome group of people.
Uh, so it's just a great way to either get stuck into e-commerce or to make
sure that you are continually growing and develop in this amazing area, of life.
So whether you're starting out or whether like me, you're a bit of a
dinosaur in e-commerce, check out ecommercecohort.com, uh, or you can email
me directly at matt@ecommercepodcast.net with any questions that you have.
Okay, so let's dive into today's guest.
Rich Watson is a strong force in augmented reality marketing.
He has spoken all over the world about the future of e-commerce and
how he's gonna be bought into Web 3.0.
Rich has over eight years of Facebook ad media.
Uh, buying experience and he is an avid believer in non fungible tokens
and the metaverse, although Rich, when we were talking, uh, before we hit
the button, you're like, people think that usually means buying pictures of
monkeys, but you're more interested in the technology behind it, right?
Rich Watson: Yeah, well I did, I was into NFTs, you know, of, you know,
when the massive spike happened and everybody started making a lot of money.
Of course, cuz there's like such excitement.
I was always interested in technology behind it.
I'm interested in blockchain technology.
I'm interested in web three in general.
So, you know, all these things sort of have more of a, you know, future vision.
Whereas this buying and selling art thing, I don't know, I think it might
die out or it would just sort of shrink to a very, very small percentage
of what it is now, essentially.
Matt Edmundson: Yeah, I, It's funny, isn't it?
I, if there are, is anybody out there listening and would like to buy any of my
photos for a couple of hundred thousand?
You're more than welcome.
Uh, just get in touch.
We'll make it happen, Uh, . But beyond that, I, like you I'm
really fascinated by blockchain technology and how that all works.
Um, but I'm equally interested in your fascination with augmented reality.
So tell me about augmented hype and what it does, what your
company does and why it does it?
Rich Watson: Yeah, sure.
So we help brands and agencies leverage augmented reality for their marketing.
So I think a lot of people have heard of augmented reality.
Um, you know, most people have heard of Pokemon Go, for example, but they
don't quite understand the connection between that, what the technology
is and how that can help them with.
You know, building this relationship with their customers, helping retain customers,
getting better marketing performance.
So that's really what we do.
We, we sort of start to work with people.
We focus on what their main bottlenecks are, and then we basically
create a bespoke augmented reality experience to harness their goal
and their objective they have.
Matt Edmundson: So let's define right here at the start.
I mean, you say most people know augmented reality.
Uh, because of Pokemon Go, um, , uh, if my mum was watching this podcast, she'd
go, I've no idea what Pokemon Go is.
Uh, and I was, I was actually, I followed a link from your LinkedIn profile to
a, um, I've got it here actually an article that was posted on the Shopify
website, um, about augmented reality.
And there's a little graph on there, which tells me that the age of users
or where augmented reality is growing specifically is in Gen Zs and millennials.
You know, those sort of age gaps not age gaps?
Age ranges, which makes sense cuz it's use of technology.
So for the purposes of those who are maybe older than the millennial age,
uh, and like myself or, like my mum, have no idea what Pokemon Go is.
Just explain what augmented reality is and how is it different, if it is in
fact different from virtual reality.
Rich Watson: Hmm, That's a really good question.
So, augmented reality is essentially upgrading your immediate
surroundings with digital assets.
That's like the best, easiest way to explain it.
And the way that differs from virtual reality is virtual reality
is essentially, you know, an entire environment that you're stepping into.
Whereas over, you know, augmented reality is just overlaying
the one you're already in.
So you just do that.
Glasses and of course, right now the majority of the time it's phones.
Uh, whereas virtual reality, you obviously you have to have a headset,
which I got, I got one of these right here, actually no it's downstairs.
But yeah, you know, you have to have this big, bulky headset on and you
are completely immersed in the world.
Whereas augmented reality, it's something that comes into,
you know, in front of you.
You put it on yourself, you put it in your surroundings mm-hmm.
, and you can still see what's going on around you.
And there's another thing called mix reality, which is essentially
a mix between both of them.
But if we go down that rabbit hole, it gets really confusing.
It's essentially like the AI onto VR, if that sort of makes sense.
Matt Edmundson: Okay.
So that's mixed reality.
Uh, when you, Okay.
learning all kinds of terms today, mum.
If you're listening to the show now, um,
So what would be some examples of companies that have used AR well,
so you talked about Pokemon Go.
Um, what are some other maybe well known examples?
Rich Watson: I think probably the, some of the biggest ones.
So Ikea have used it quite extensively for a long time now.
So it, they use it in lots of many, you know, different types of ways.
They use it to sort of, um, visualize products and catalogs, but they also
use it to enable you to have, uh, what's called a spatial AR experience.
So it basically means it's within your space.
Mm.
I'm not sure that why that's called, if that's why it's called spatial.
But anyway, um, and you can essentially have the product, you
know, the, the, the furniture within your space and you can basically
see what it's like in your house.
Because that's the, the biggest thing is like, okay, well I think that
would look good in my living room, but I don't a hundred percent know.
So Ikea definitely capitalizes on really, really well.
Um, loads of other brands have used sort of gamified versions.
So, you know, McDonald's, Burger King, they tend to use it more for
incentivizing gaming, maybe with some, uh, discount or something like that.
So the game would just be something, you know, like catching burgers in your mouth.
Something fun, you know, something that's gonna get engagement.
Um, and then recently, Mini have used it really well for showing
you their latest hatchback, I believe is one of the mini one.
Uh, you know, the, the sort of standard model they have.
And essentially you can plunk a mini down in your living room and you
can go through all the different colors and it's like, so it's, yeah.
It's quite, it's, it's used quite a lot for as is sort of like visualizing
something in your space, which is essentially like one key part of it,
but it's not really the only part.
But a lot of brands know that that's what people are expecting to use it for.
So that's sort of what they go into.
Not a lot of people have explored the realms of like, you know, what, what
really could actually be done with it and how you could dig a bit more because
it's so new and everyone's a little bit more, uh, wary of it as a new technology.
Yeah.
So that's like part of my mission is to show everyone all the
different ways it can be used.
And how that can benefit your businesses other than just seeing something
in front of you, which is a coarse call, but it's not the only way.
Matt Edmundson: Yeah, no, and we'll get into that.
We'll get into that.
But let me, um, let me just deal with this at the moment so I can, using
the IKEA app or the website, I can sit there with my phone or my iPad.
I can put the camera on, I can be in my living room and see the living room, uh,
on my screen, on my iPad, or on my phone as I and then I can overlay furniture from
Ikea and IKEA using the technology on the iPad, and the phone will figure out the
right dimensions and so on and so forth.
And you can virtually place the chair or the sofa in the corner and you can
kind of get an idea of what it's like.
Um, when I was in the beauty business, um, we saw companies
like, uh, was it Maybelline that did the shades of lipstick one?
And you could try on different shades of lipstick.
Um, Just with, you know, by pointing the camera at yourself and you
can see what you look like with the different shades of lipstick.
I've seen that the sunglasses one was probably the most obvious one.
You know, what do you look like in these?
Uh, in these glasses.
And Warby Parker, I think, have used that, haven't they?
So you, I, I get that.
You can, you can use now your phone and you can use a technology to try things
on or to see things in your space.
Um, I guess my first question here, Rich, right at the, the, the basic level of that
is, let's say I'm a guy who's handcrafting furniture and I sell the pieces online.
I'm gonna look at the IKEA website and go, There's no way I can compete or,
and there's no way I can offer augmented reality because it, it just instantly
feels like, um, I dunno the technology.
And surely that's got to be expensive to get done, right?
I need a whole stream of developers.
I don't know if that's actually the case or true.
Maybe you could speak to that.
Rich Watson: Yeah, I think that's a really good point.
And that's one of the biggest things that holds people back as well, is this
assumption that you have to have an app because that's always how it's been done.
And that's obviously how IKEA are doing it.
But we have, not only is it becoming more, you know, why there's more creators.
So it means that there's a lot, uh, different, those different ways
of using it, but also different, um, platforms are utilizing it.
So, of course we have social, we have web ar well obviously app based ar.
Um, and these are three completely different ways of
like housing the ar essentially.
And leveraging social obviously means there's already an audience
of, you know, for, for example, meta 5 billion people or 5 billion.
Yeah.
Something like that.
There's a lot.
It sounds like
Matt Edmundson: there's a fair few.
Yeah.
Rich Watson: It's 1 billion.
I've forgotten that.
But yeah, like there's obviously a load of people on there, but
whereas if you are creating an app or something, you have to be IKEA
for people to actually download it.
See it.
Otherwise it's a bit like, Oh, I'm throwing a birthday party.
I'm gonna put the invitation on a tree in a middle of a forest.
You know, no one's gonna see it, right?
Yeah, yeah.
So you're leveraging things like, um, Spark ar, which is meta's ar platform.
It means all these people can see it, but not only that, it makes it way more
affordable, cuz you can essentially work with one or two creators depending
on what your, how your concept is.
How, how complex the assets are, et cetera.
And you can have something really visually striking and really engaging, created on,
on a platform where you run ads already.
These are things that people aren't even aware of.
They think to use ar we have to have it on the website, we have to have an app.
But I'm sort of, and, and other, others like me are saying there's
social ar, which is not just Snapchat and Instagram, you know, bunny ears.
It's like ways of using AR.
And, and this is what speaks to, you know, you're going over the stats of like
the Shopify, I think it's the Shopify eCommerce, um, 3D versus 2D stats.
And they're talking about ar and of course, Gen Z and millennials are
the people who use it, um, the most.
And that's because of the exposure.
So the, the way that AR's been used so far has been for face filters
and that's, those are doing it.
But as adoption of AR goes on and we start seeing more ways of using it a
lot more people will be able to use it.
You know, older people will be able to use it and understand it more
and it'll be more relevant to them.
So, yeah.
Uh, so going back to your question, yeah, it's, it's becoming a lot
more affordable and it's becoming a lot more, um, accessible.
So you're not just happy, Oh, I'm not enough, I'm not big
enough brand to create an app.
You know, you can do that, of course.
But what I'm saying is you don't need to do that.
You just need to have a problem and a creative to
solve it, which is gonna be AR.
Matt Edmundson: Okay, so actually then the technology is becoming
more and more accessible.
It's a bit like, um, years ago in e-commerce, uh, I remember
the first, the first hoo-ha about, You've gotta have video.
You've gotta have video, you know, for, to survive in e-commerce.
And you can, like, I remember those cries.
I mean, video is such a commonplace thing now.
You know, everyone's live streaming, they're doing live shopping now.
Everyone's doing like their own mini QVC channel.
Um, so it's interesting how commonplace video is in e-commerce.
So is this where you see augmented reality sort of heading?
Is it, it's sort of gonna become quite commonplace?
Rich Watson: I think it's probably a matter of time, but
it's also a matter of technology.
Mm-hmm.
And I think, I do definitely think that the growing adoption with devices, you
know, mobile devices is gonna happen before glasses are more commonplace.
Mm-hmm..
But I do think it probably take glasses to replace things like video.
And I don't think video's ever gonna disappear.
Like it's not gonna, This is the main thing when I'm talking to people, you
know, e-commerce people, marketers.
Uh, they're like, Oh, should I use it in, what's the metrics versus a video?
It's like, well, it shouldn't be verses it should be, yeah, all in your arsenal.
You know, you don't go and get a photographer to do some photos and then
just throw the rest of the creative out.
You know, it's all complimenting each other.
It all reaches people with different sort of interests, et cetera.
So it could make it a little bit more redundant, less later down the line.
But I think it's gonna take the actual glasses coming out and not being
these huge, clunky, uncomfortable things, but something cool like Ray
Bans to, uh, for people to sort of forget about video and so forth.
Matt Edmundson: Mm, that's interesting.
And it, it be like, I'm fascinated to see where it goes, you know, and,
and, and what you can do with it.
And I'm, I'm intrigued by how people are using the technology now.
Um, I'm fascinated by the fact you talked about Spark you know, with the Spark
AR, the, the sort of Facebook's version.
Um, it's not Facebook now is it Meta's version.
Uh, of a, a platform which you can use, which makes it accessible.
Now to the guy that's doing handcrafted furniture, he doesn't
have to be Ikea, um, anymore.
Are there, I guess if I'm going back to the guy in the workshop
doing handcrafted furniture,
I've still got that barrier in my head and it might not be cost.
I mean, I dunno what costs are gonna be, but I.
I've still got that barrier in my head that actually I just don't get it.
I don't understand it.
Um, so why should I, why should I think about this?
So, so I Maybe let's talk, talk about that.
What are the benefits, I suppose, of augmented reality in marketing?
Why should I think about it?
Rich Watson: I think the biggest one that you can almost guarantee, obviously,
depending on what you're using, has crazy already, is the engagement.
And part of it's because it's essentially immersing someone into the ad, so it feels
completely personalized, essentially.
And it's very hard now, especially with meta to personalize things with
the lack of granular data we have.
Yeah.
So there's one like, and you, you can't guarantee any sort
of ROI and things like that.
Of course, anyone who's guaranteeing that you should run away.
But things I can do, you can guarantee almost because of, of the
fact there's a new technology and the fact it's, it's gonna be ultimately
thumb stopping is gonna, it's gonna make people just take notice of it.
So that's one of the biggest things to sort of, um, overcome
when you're doing ads anyway.
And then the other things are the platform likes it.
So if we're talking specifically about meta, cuz that's really
the, in my opinion, the best place to run augmented reality ads.
Uh, you can run 'em on other platforms, Snapchat, for example,
but the audience is a bit smaller.
You're able to get, So yeah.
Anyway, sort of went off a trail, but now I remember what I was talking
about, . Uh, they prefer you, they prefer I do that all the time.
That's, that's their goal is like, give people the best
experience on the platform.
And that's, you know, and then we win.
And what this does is the augmented reality keeps you
on the platform for longer.
So when you compare it to standard e-commerce video view
time, you're probably looking at six to 30 seconds, something.
Of course it completely differ, differs depending on the
Audience, the industry and things.
Um, but we, with augmented reality, we're seeing 60 seconds,
we're seeing over a minute.
And the reason is because it's you or it's your space and you're showing someone,
you're like, Oh, come look at this.
You know, all these sort of things.
Again, because it's a, a fairly new technology, maybe there's a novelty
aspect of it, but that the fact that people have longer dwell time with the
experience means the platform enjoying.
The CPMs drop down and your ad costs are lower.
And then you've also got really good engagement because it's a, you know,
completely revolutionary, uh, creative.
So all of those things compliment each other, you know, it's gonna
have better effects down the line.
So that's definitely something to, to take notice of before everybody else does.
Yeah.
And I obviously dunno when that's gonna be.
But I do think that we are seeing the, the initial bell curve, you
know, sort of dipped and it went down and then we had Covid and everything
became a little bit more accelerated.
We're sort of getting past the sort of gradual part now and we're seeing,
uh, acceleration of the adoption, which was in that graph like thing was
predicted to be a hundred, no, sorry, uh, a billion users this year and
it already passed a billion in June.
Wow.
So it's probably gonna be two, and then next year it's gonna be maybe two and
a bit, and then the year after that.
So we're gonna get, I think it's predicted to be 75% of the
population using AR by 2025.
Based on that, that prediction of model or that model.
So, You know, it's gonna be a common more commonplace thing than
we're we are seeing right now.
Matt Edmundson: Yeah, Yeah.
So that's, it's rapid growth, isn't it?
I mean, that's massively rapid growth.
And it's interesting you talked about how the, the benefits
of using it in marketing.
I like that.
Obviously one, it's gonna increase engagement with customers.
I and you, I get that.
You know, Does this furniture fit in my room, yes or no?
Yes, it does.
Okay, I'll buy you and you're kind of answering questions, which everyone
has which stops people buying, You're removing the barriers to entry.
Does this shade of lipstick look good on me?
You know, do these glasses fit my face?
Um, all the stuff that's kind of stops you buying it, you're,
you're dealing with that in quite a clever way using technology.
So I can see how engagement would increase.
I can see how, um, people can't guarantee return on investment.
I can see how actually there are use cases, which, where that
would just go through the roof, uh, when using things like that.
But I'm, I'm really intrigued by this comment you, you mentioned about how,
the platform Meta really likes it as well because you are on it longer and
Meta is doing everything it can at the moment to try and keep you on the
platform longer and longer as it's losing more and more market share is,
it is rapidly scrambling, isn't it?
And so, um, it is gonna promote and use content which
keeps people on the platform.
And I, I don't think that can be understated or under, uh,
undervalued really at the moment.
So I thought that.
I thought that was actually quite insightful.
I like that.
I've even noted it down in my little notebook.
Uh, Rich, Um, I'm still analog, still analog.
Rich Watson: Put 10 billion into it, you know, a couple years ago, VR and ar
and xr, of course, but my, completely my opinion, they lost a lot of people
with, First it was Cambridge Analytica and then there was iOS 14, and of
course, that's not their fault at all.
That's Apple.
Who are also doing their own AR stuff, by the way, but that's another discussion.
But the, the fact that they put all this money into it, I believe that
they're trying to get the best ad platform for immersive marketing.
By immersive marketing, I mean marketing with ar, with vr, with xr.
And the first to come out of all of that is ar, because it's just the
metaverse we speak of is a VR one.
Whereas I think as an AR one, because it's gonna up enhance our
actual reality first before we just jump into a ready player one world.
And they know that too.
So they're trying to re, you know, bring, bring the, uh, the dominance back.
Cause obviously TikTok are just smashing at the moment.
They just, Yeah.
Most people I talk to, I don't do Facebook anymore.
TikTok da.
So that's why I think they're focusing a lot more on this.
And they're, they're, we putting a big bet on it.
So that's why I think the platform is, is so right for the picking
for people who wanna look at this.
Matt Edmundson: Mm.
That's a very good point.
I was, I was listening.
Well, this is totally slightly but totally slightly off topic.
I was listening, someone talk about this, the big sort of TikTok
versus Facebook debate and how, um, Facebook was built on the concept
of the social graph, wasn't it?
You have to be connected, you know, and you go on there because of your social
connections, and they're showing you less and less content to do with your
social connections and more and more of the stuff which people are paying for.
So you've less and less reason to go on Facebook.
And the same now actually with Instagram.
Whereas TikTok was never built on the premise of a social graph.
It was built on the premise of we're gonna entertain you very.
You know, easily, and you're gonna get sucked in way more than you
think you're going to, but you're gonna get sucked into this world of
immersive sort of short clip videos.
And, um, and I, I, I think I, I do find this scramble of meta now quite
fascinating, you know, and how TikTok has sort of changed everything again.
Um, but they are two different platforms and I, I'm kind of
curious to see where it all goes.
So let's back to ar, augmented reality.
So you mentioned that META is the best platform to start looking
at and start doing stuff on.
Right.
And there are certain industries, rich, where I go, Okay, I get it.
I understand it.
Furniture makes sense, makeup makes sense.
Um, but I have, Let me ask you about this.
How would it work for, say this brand here?
Right?
So this is a supplement brand.
Um, Vegetology's Omega three, which is a vegan, a omega three.
Right.
Um, and full disclosure, I am part of this company and it
just happened to be on my desk.
Hence the reason I just picked it up and I thought, I'm thinking to myself, how would
I take advantage of something like that for a company like this where it's maybe
not as obvious, um, what I should do.
Rich Watson: I think so I've seen some examples for fitness brands
and, you know, I'm completely pulling these concepts uh, on my mind right
now, but it would be something to do with tying it into a routine.
So what I'm thinking is gamifying it in a way where you, I dunno, check
in every day and it, it tells you which day it is and you're like,
taking my pill or something like that.
And it's sort of, you share that on social and people can see that
you are, you know, you've got this accountability or something like that.
So it's, it's quite difficult to come up with a concept straight
from, straight, from like nothing.
But I think with something, It's really, I guess the, the AR should be based
on the emotion you want them to feel.
I mean, any advertising should be really, but you can have a much more
powerful way of doing it if you can find that concept that works well.
So usually whenever I work with someone who's a bit unsure about the concept,
it's like, Okay, what are you doing now?
What works now?
And it's like, um, oh, we have people, I don't know.
Uh, giving a gift to someone and the experience of giving the gift is
a thing that people want to enjoy.
It's like, I've given you this gift and, and then they're looking at you like, Oh,
wow, this person really thought about me.
You know, they really, So then you, Okay, how do I encapsulate that into ar?
And you know, that's, that's the sort of concept they came up with, like a
dream box that sort of opens and you tap on it and you know, the gift comes up.
So maybe something around those lines.
Maybe gamifying it in some way or giving some people some Snippet of the
emotion you want them to be having?
Yeah, by using it, in this case, I guess motivation, you know, staying vegan,
making sure that you are, uh, taking care of your body, something like that.
And also needs to be an element of showing off as well, because then
that builds the social proof and the virality of it potentially as well.
Matt Edmundson: So, Okay.
So the user needs to show off a little bit.
Rich Watson: Yeah, I think so.
Mm, I mean it could be influencers as well.
I mean, this is right for the pick influencers as well because,
you know, organic reach can be absolutely massive on this.
There was one, a guy made a, I talk about this all the time just cause
I'm dumbfounded by it, but this guy in Singapore, called Eugene, uh, is
founder of a AR firm called Dude.
He created this squid game game, which basically was the red light,
green light game, and you are the person and you are, you move forward
and then you know when the girl moves around, you stop or you die.
That reached 500 million people organically as an AR experience, and
anyone watching this or listening to this is probably remembering,
Oh, I saw that it was, that's none.
There was no paid adss or anything like that.
So you can imagine that if you found something of that effect, obviously
you'd not copyrighting anything, but if you found something of that, The amount
of organic reach you get is, is huge.
So I would probably go down that route for this, because that's, this is
more, it feels like more of a tribal thing, like people want to be part
of a community, things like that.
Matt Edmundson: Well, okay.
I sorry to throw you in at the deep end there.
I just thought, oh, randomly pick up a product and see,
see how we, see how we do.
So, gameify, gameify supplements.
Mm-hmm.
. Um, what else have you seen work in the eCommerce space, uh, work well that,
um, listeners to the show kind of go, Well, that makes sense for my business.
You know, some of those ideas.
Rich Watson: Um, yeah, quite a few.
I guess the best ones really to mention.
The ones that I can back with data.
So I mean, we've got some case studies for myself.
Um, and there's some also, there's some ones with meta.
There's a really good case study, four case studies, uh, given out
from meta from Mini actually was one I already mentioned before.
And then another one's Avon.
Yeah.
And they like use a game.
They use a game basically to, to use theirs as well.
And uh, they all found, like, so with these four examples, so the other two
one was like, um, an animation or anime.
I think from Korea.
And then there's another one that was a, um, social awareness or social impact
group in somewhere in eastern Europe.
I don't remember the country now, but they found when, you know, these, these
companies were running ads themselves.
So the, the actual examples were very different.
So it's tie in, but the, the experiment they're trying to run is okay.
What, how does the cost compare when they run the AR with
the business usual campaigns.
So they actually found that running this, uh, then compared to running
business as usual alone is they got a 59% decrease in, uh, ad inventory
costs just because of the massive, massive engagement that was there.
So I think probably I'll definitely share that if anyone wants to read that one.
Um, but for us, we've got a few case studies, so I'll probably talk
about the, the most known one is, um, the people that will probably be
able to find more relevant is this, uh, glasses brand for, uh, babies.
So it's called Babiators.
They have, uh, UV protection for, for children and babies.
Matt Edmundson: Babiators.
That's such a great name.
That's such a cool name.
If you're listening Babiators, that is awesome.
I like that.
That's really cool.
Rich Watson: Yeah, they're based all over the world, I think, and we just
work with the ones in Australia.
Um, but essentially they have, before they were having all their Ad
creative was really awesome photos, like really good photography, really
pristine and clean and also looking, but they weren't, there wasn't a.
No, there wasn't like native feel to it.
There wasn't ugc, they didn't have a lot of that.
Mm-hmm.
. So they wanted to be able to create something that created ugc, but
also, you know, just made some of the objections they were getting or some
of the, I guess like people things that are turning people off when
they're buying it make it a bit easier.
And the most common questions they found is, Styling sizing, things like that.
Like, is this gonna look good on my baby?
Basically, because it's hard to tell.
So that's where AR came in and completely, you know, improved everything.
Like drastically.
Yeah, because you know, you can actually experience it.
So what, what we created was you created a four way split where you can
try four different pairs on and tap onto one in, it zooms in full screen.
Um, and it could be potentially, if you have your child there, you
could just do selfie or you could just do back camera if you wanted.
So, You can see what it looks like on that.
And what they found was actually they got, um, increase in average order
value of uh, I think it was over 50%.
Because people, instead of buying two pairs, they were buying four now.
Right?
Of course.
Yeah, yeah.
Four.
And then they're like, Oh, I wouldn't have thought that look would look good.
And it did.
So people would increase that and that led to them getting, I think,
44% increase in return on ad spend.
So now we are also, not only that, but they were also creating ugc.
So when people were sending videos, they had an incentive like, Hey,
send this into us and you get entered into this competition.
So people were sending videos and we actually use that as the ad creative
to pull people into the AR experience.
So like free ad creative, Clever.
Yeah, it was really cool campaign.
That one I talk, I talk about that one quite a lot and there's some, a bit more
information in some content I've done if anyone wants more context on that one.
Matt Edmundson: So babiators, are they still running that campaign or
is it just like a temporary thing?
Rich Watson: They've still got the, um, they've still got the, So you can,
when you upload in meta, you can upload the AR as AR ad or as an AR experience.
And when it's an experience, it lives in the back of Instagram and Facebook, but
it's still in the back of their Instagram.
Mm-hmm.
. So I think they can still use it.
You can, this is the beautiful thing.
You have one AR asset created, you can use in ads.
You can also use it in your, all your organic stuff.
I mean mm-hmm.
. Same as all creative, right?
But for example, with this, you would just send it through my list and go,
Hey guys, check this out and then tell us what you think, or send us
a video and we enter you into this.
Uh, you can do it in Messenger, you can just do it on your website.
You can have a link to it.
All these sort of things.
So they're still using it, I think, organically to be able to run it.
But in terms of actually finding people's ads that ar, you can't actually.
Unless they actually come up on your feed organically, you can't go to ads library
and search, which is really frustrating.
Cause I wish you could Do they.
Matt Edmundson: Okay.
They don't come up in, Okay, that's interesting.
Yeah, yeah, yeah.
Rich Watson: If you actually organically comes up in your, um, not organically.
Do, you know what I mean?
If you, if it comes up your feed, then that's how you see AR ads.
But most people haven't really seen them because not many people are using them
unless they're, you know, big brands.
Yeah.
Sometimes it like Christmas time, Black Friday, you see a few but.
Yeah, it's not, it's not a hugely used creative, unfortunately.
Matt Edmundson: I mean, where Black Friday questions, I, I'm curious, have
you seen any good examples of ar used around Black Friday that were, that made
you kind of go, That's really clever.
That's, that's well thought through.
Rich Watson: Yeah, so there was one from Boohoo.
They used it.
Um, it was basically a, a game, like a hacking game.
And it had a location based AR element to it, and it's called Hack Friday.
And the whole idea of it was, I think you basically went to this location and
there was a boohoo board and you would, um, have your phone and look up at it
and it would give you some Easter egg or something, and then you would send it to
them to say, Oh, I've seen whatever it is.
So it's almost like a, an Easter, Easter hunt, like a treasure.
And then you do it with them.
That was pretty cool.
And then there's another one called goat, which was a similar idea, but the idea for
them was to find these like, um, I think they're like, they're a sneaker brand.
And the idea was to go to these locations and find these like
hidden sneakers somewhere.
So both of these were very soon after Pokemon Go.
So everyone was like, Oh, that was such a good concept.
So all the marketing people went about how do we use that for our brand?
And that's just one section.
That's what I.
Just it being a visual thing.
It can also be this gamified thing.
It can also be more of an interactive thing, all these things.
So yeah, those are the only two examples I've seen for Black Friday specifically.
But they both smashed it for them.
I think they had really, really good results on that.
And I just did a, a video on Black Friday actually, or I think I
talked through it a bit more detail.
So if anyone wants to have a look at that on Yeah, my socials.
Matt Edmundson: Okay.
Uh, and we will link to all of those, of course, in the show notes.
So, um, which will be available on the website.
So we'll, we'll put all the links in there.
Um, Chris is really, uh, Chris Rich.
I, Why I said Chris, I'm just thinking of Christmas is what I'm thinking of.
Now you've got me a Black Friday and I'm thinking Christmas.
Do I do a, do I do an augmented reality where someone dresses up as Santa Claus?
Um, the, I guess the, um, I'm sitting here listening to you and actually, uh, from,
as an e-commerce entrepreneur myself, we're in an e-commerce business, right?
I'm, my, my mindset is kind of like, this is really cool.
If I could figure out a way to make this work, I can see that
there's a lot of benefits here.
Um, so how do I get started?
Where do I, where do I begin?
Because this is all, like you say, there's, there's four people in the
world that seem to know about it.
You're one of them.
It's kind of like, how do we, how do we get started?
How do we begin if we wanna start heading down this road?
Rich Watson: I think the best way to start is where is your bottleneck?
Like what is the thing you're trying to achieve?
So there's obviously, I'll give an example.
There's something that helped with AOV that was that main focus of that one.
Mm-hmm.
. We've also worked with people who have problems with really low engagement.
So the main focus was, okay, get people engaging.
We've had things where people wanted the granular data, so
we kept the dwell time longer.
So it's like something that keeps people more engaged for a longer time.
So whatever that focus is, you can also, So obviously we
talked a lot about social ar.
You can also be using AR for your site.
You know, you actually product visualizations is most of the time,
like what people use AR and 3D site.
But then you can also use it post-purchase.
So I call it post-purchase ar, and I don't know what everyone else calls
it, but essentially it can be giving people extra utility on their product.
and the way that can be envisaged is, you know, a manual to teach
people how to use the product properly or how to maintain it.
Yeah.
Or give them some sort of game to make it even extra more fun.
This is used a lot in, you know, kids' toys and education, stuff like that.
And a lot of things have shown that studies are showing that people
actually, you know, the, the customer service queries drop because you're
showing people how to use things and they're actually looking at them.
Cuz you know, when you get people, people are manual, they're not
gonna bother looking at it.
It's a bit boring bit of.
But if you turn it into something more immersive and you know, for example,
if it's a car and it, you have an AR experience in your car to show people
where everything is that they need to know and all the latest gadgets
and everything like that, they're actually gonna look at it and use it.
And then there's gonna be less issues when they, uh, they get buyers
remorse, Oh, I don't have to use this.
It doesn't work.
Yeah.
So there's the, those are ways you can basically use it.
So going back to your question, it's really about where, what's
the area that your, your first bottleneck is, or the biggest one?
Um, what sort of creative are you using that works well now.
And also have a look at, you know, people within your, your industry directly or
who are marketing to your market and see if anyone's done any ar that's, that's
relevant to what you are sort of doing.
And, you know, just looking at more examples and of course hopefully let
you know, me talking and us sharing these ideas is it starts to get
the top a little bit in your mind.
You're like, Okay, actually I could see that.
And then it's just a matter of matching the idea with the capabilities of AR.
Because it's not a hundred percent there yet.
Well, I dunno.
Doesn't really make any sense.
I guess.
How can it be a hundred percent ever there?
It's always be different development Do, you know what I mean?
Like for example, tech is not great yet.
So if you are a clothing brand, the way we've got around it is actually
creating a virtual mannequin where you can try different outfits on them.
But if you want to try photos on yourself, it looks a bit funky, not gonna lie.
The facial tracking, the hand tracking, the foot tracking, things like that.
Really good.
Like you, most of the time you can't tell it's not real, that's the thing.
But it's, there's still limitations to it.
So know the limitations as well, cuz then you can avoid pushing your creator
too hard cuz that can happen a lot.
It's like, I want this to happen.
It's like there isn't technology that does that yet.
Um, but you know, like they always try and just do everything you tell you.
Yeah, I'll just do it.
Yeah, that's fine.
And then, yeah, I mean, that thing I was saying earlier, like what's
the experience you want 'em to have?
Like how, how do you want them feeling being in the AR experience
and how, what, what's the customer journey afterwards as well?
So I think once you've thought those, you know, four things, um, you know,
you can approach somebody who creates ar for example, augmented hype, and sort of
share your ideas, share your brands, you know, share the creatives that are working
well and have worked well in the past or.
You know, Q4 creatives that were well in the past.
And then from that you, you know, you basically create a few
concept ideas and then approve one or two, or, or many of them.
Yeah.
Um, and then putting 'em in place and start, start activating them and,
you know, start reaping the benefits.
Brilliant.
Matt Edmundson: Absolutely brilliant.
So, uh, Rich, listen, I'm aware of time, uh, and it's, it seems to be getting away
from us, but, um, uh, I appreciate that.
Uh, let me ask you a question.
Uh, you've got on your virtual reality headset, um, you and your
virtually in a Crowd of people.
, uh, you've delivered your keynote talk on how to do augmented reality
marketing to either e-commerce cohort guys, because, you know,
they sponsor the show, so why not?
Let's bring them in.
Uh, and they're, they're virtually stood up on their feet,
giving you a round of applause.
And, and, you know, crowds going wild.
Yeah.
Go Rich, go Rich.
Uh, and, um, you come back on stage and you just, you'd
say, Listen, thanks for that.
Uh, I would just like to thank dot, dot, dot.
Who would you thank a person, a book, a podcast, a film?
What, what springs to mind?
Who, who would you thank?
Who would you mention?
Rich Watson: I'm thinking just a person, but now I'm thinking a person
and a book because of As of we said.
So I think the book would, for me would be, it doesn't really sound like anything
to do with what we were talking about, but Built To Sell is probably one of
the most powerful books I've read, and it's just about taking us out, taking
yourself out of the implementation.
And trying to be the brain of the body, you know, not trying to be the, the arms
and the legs and everything else as well.
So even if it's your ideas and to sell your business within five years,
having that in, you know, what the book tells you to do in place means
that you can drive the vision.
And that's one thing I see for agency owners and business owners
in general, finding it hard to do.
They're just still in the weeds, you know, doing stuff and then
everything just goes over their head.
So that was really powerful.
And in terms of person, I think, Um, Casey Millhouse, who's my AR mentor,
essentially, she, uh, now works at Meta.
Um, she showed me the ropes of, of augmented reality and when I didn't
realize it was even a potential, a possibility, apart from I'd already
started running some AR as just to test them out, um, she took me
under a wing and showed me like, you know, what AR can do for marketing.
And since then it's just been an obsession of mine.
So, you know, I owe it all to her basically.
Matt Edmundson: Fantastic.
Well, Casey, if you're listening, thank you because, uh, it meant
that we got this episode, uh, and I'm really intrigued by it.
And it's, um, I have to be honest with you, I've not got
involved yet with AR marketing.
Um, and, uh, what you have done, Rich, is you have sparked something
in my imagination, which is there's 40,000 questions now in the back
of my head about, about the whole thing, which I'm kinda like, well,
let's, let's start looking into this.
Let's start finding out.
So I liked your points on terms of how to get started, and
so we're gonna look at that.
Um, what about you guys listening to the podcast?
You intrigued by it?
Um, and what are your plans?
Let us know.
Uh, Rich, listen, if people listening to the show wanna reach out, they
want to get in touch with you, what's the best way for them to do that?
Rich Watson: Yeah, I think.
So I have a free Facebook group called AR Ad Strategies, which
you can join absolutely free.
It's mainly for marketers and for agencies and for brand owners.
Um, and there I just give you all the juice, all the information I
have, you know, to start these ideas going ahead and uh, you know, that's
really the best place to sort of start, you know, firing off questions.
We got other agency owners in there with brands who've all done AR.
So, you know, this is community of people who are sort of at the, the
forefront and they're all testing it out and mm-hmm had great success
with it and sharing that with others.
Um, so I think that's probably the best place.
Other than that, yeah, I share a lot on socials, so, uh, my Facebook, my
LinkedIn, or my Instagram is probably the best to learn a little bit more.
Matt Edmundson: Fantastic.
We will, of course, linked to all of those in the show notes.
Um, but the Facebook group, I'm gonna go join AR ad, Is that what It's the
Facebook group's called AR ad Strategies?
Rich Watson: Yep.
That's it.
Matt Edmundson: Okay.
We'll go search that and see what comes up.
Uh, Rich, listen, thank you so much, uh, for joining us today.
It's been a phenomenal conversation.
Um, I've really, I'm honestly, I've really enjoyed it and so,
um, really, really helpful.
Yeah.
Thank you.
Thank you for being with us.
Uh, it's been, uh, it's been great.
Absolutely great.
So, A big shout out again to today's show sponsor the e-commerce cohort.
Do head over to uh, ecommercecohort.com.
Uh, for more information about this new type of community that you can join.
Uh, be sure to follow the e-commerce podcast wherever you get your
podcast from because well, we've got yet more great conversations lined
up with people like Rich, and I don't want you to miss any of them.
And in case no one dear listener has told you yet today.
You, my friend are awesome.
Yes, you are.
It's just a burden we all have to bear.
It's just the way we've been made.
We are awesome people.
Uh, the E-Commerce podcast is produced by Aurion Media.
You can find our entire archive of episodes on your favorite podcast app.
The team that makes this show possible is Sadaf Beynon, Josh Catchpole,
Estella Robin and Tim Johnson.
Our theme song has been written by Josh Edmundson and My Good Self.
And as I mentioned, if you would like to read the transcript or show notes
from today, head over to the website, ecommercepodcast.net, where coincidentally
you can also sign up for the newsletter.
So that's it from me.
That's it from Rich.
Uh, thank you for joining us.
Have a fantastic week wherever you are in the world.
I'll see you next time.
Bye for now.