Closing the Customer Imagination Gap with Augmented and Virtual Reality

Abstract:
The “imagination gap” is experienced by customers when they struggle to envision product benefits or service outcomes. It continues to be a significant challenge across industries. This gap often leads to delayed or abandoned purchases, resulting in substantial revenue losses for companies. Businesses are increasingly turning to extended reality technologies such as augmented reality (AR) and virtual reality (VR) to address this issue. AR projects digital content into physical environments, allowing customers to visualize products in their surroundings and make more informed purchase decisions. VR, on the other hand, transports users to digital environments, creating immersive experiences that enhance learning, healthcare and other applications. Both AR and VR technologies have the potential to bridge the imagination gap and provide value to businesses and consumers. Strategic considerations include assessing the bottom-line impact of purchasing decisions, selecting the appropriate technology for specific objectives, deciding at what stages of the customer journey to deploy AR and VR and addressing privacy and falsity concerns. Looking ahead, neuro-enhanced reality, enabled by brain-computer interfaces, holds the promise of even more immersive experiences.