Global Augmented Reality AR In Retail Major Players 2025, Forecast To 2034
26 Mar, 2025
How Has the Augmented Reality AR In Retail Market Size Evolved in Recent Years?
The augmented reality ar in retail market has seen considerable growth due to a variety of factors.
• The retail sector's adoption of augmented reality (AR) has experienced significant growth in recent years, with its market size expected to escalate from $2.68 billion in 2024 to $3.53 billion by 2025, reflecting a robust compound annual growth rate (CAGR) of 31.7%.
Factors contributing to this considerable growth during the historic period include heightened research and development efforts, increased customer comfort and interest in this technology, fiercer competition in the e-commerce arena, the integration of AR into online shopping experiences, and the increasingly ubiquitous nature of smartphones.
What are the Market Size and Expected Growth Rates for the Augmented Reality AR In Retail Market?
The augmented reality ar in retail market is expected to maintain its strong growth trajectory in upcoming years.
• The retail market for augmented reality (AR) is projected to experience significant expansion in the coming years, reaching a size of $10.50 billion in 2029, with a compound annual growth rate (CAGR) of 31.3%.
The factors contributing to this predicted growth during the forecast period include a surge in AR users, increased investment in AR technology, enhanced convenience and satisfaction, the growing adoption of digital transformation, and heightened user involvement in the retail sector. Expected major trends within this period encompass technological progress, cooperations and alliances, advancements in computer vision, as well as cutting-edge analytics and machine learning algorithms.
What Are The Core Factors Supporting Growth In The Augmented Reality AR In Retail Market?
Rising e-commerce needs are predicted to fuel the expansion of augmented reality (AR) in the retail market in the future. E-commerce details the internet-mediated acquisition and sale of goods or services, inclusive of online shopping, digital exchanges, and electronic payment processing. An upswing in demand for e-commerce can be attributed to factors such as convenience, a broader range of options, good pricing, the boom of mobile shopping, technological progress, and evolving consumer patterns. E-commerce augmented reality (AR) amplifies the online shopping experience by providing opportunities for virtual product trials, interactive 3D product realizations, engaging store showcases, and custom-tailored suggestions, thus, enabling customers to make knowledgeable buying choices. For instance, the United States Census Bureau, a government agency in the U.S., reported that U.S. retail e-commerce sales in the third quarter of 2024 were approximated at $300.1 billion, demonstrating a 2.6% (±0.4) growth in comparison to the second quarter of 2024. Consequently, the growing need for e-commerce is stimulating the expansion of the retail augmented reality (AR) market.
What Are The Key Segments Within The Global Augmented Reality AR In Retail Market?
The augmented reality (AR) in retail market covered in this report is segmented –
1) By Component: Hardware, Software, Services
2) By Technology: Marker-Based Augmented Reality, Markerless Augmented Reality, Projection-Based Augmented Reality, Superimposition Augmented Reality, Location-Based Augmented Reality
3) By Application: Product Visualization, Virtual Try-On, Interactive Marketing, In-Store Navigation, Customer Service
3) By End User: Retailers, Consumers, Content Creators
Subsegments:
1) By Hardware: AR Head-Mounted Displays (HMDs), Smart Glasses, AR Mirrors, Handheld Devices, AR Sensors And Cameras
2) By Software: AR Development Platforms, AR Mobile Applications, AR Content Management Systems, AR Analytics Software
3) By Services: Consulting Services, Integration And Deployment Services, Support And Maintenance Services
How Are New Trends Impacting The Size Of The Augmented Reality AR In Retail Market?
Major companies operating in the augmented reality retail market are focusing on developing technologically advanced solutions, such as in-store augmented reality (AR) solutions, to enhance customer experiences and streamline shopping processes. In-store augmented reality (AR) solutions refer to using AR technology within physical retail stores to provide interactive experiences, such as virtual product try-ons, 3D product visualizations, and real-time information, enhancing customer engagement and decision-making. For instance, in February 2023, Vyking, Inc., a UK-based 3D and virtual try-on technology company, launched the Magic Mirror, an augmented reality solution that allows customers to try on footwear in-store virtually, launched the Magic Mirror, an augmented reality solution that will enable customers to try on footwear in-store virtually. By walking up to the smart mirror and selecting shoes from a nearby tablet, shoppers can see how different styles look on their feet without physically trying them on. This innovative technology enhances the shopping experience by reducing wait times, alleviating pressure on store staff, and enabling retailers to showcase a broader product range without needing additional physical space.
Who Are the Key Players In The Augmented Reality AR In Retail Market?
Major companies operating in the augmented reality (AR) in retail market are:
• Amazon com Inc.
• Apple Inc.
• Microsoft Corporation
• Meta Platforms inc.
• Lowe's Companies Inc.
• Sony Group Corp.
• Lenovo Group Ltd.
• HP Inc.
• Qualcomm Inc.
• L'Oréal S.A.
• NVIDIA Corporation.
• Wayfair Inc.
• Snap Inc.
• Burberry Group plc.
• MAXST Co. Ltd.
• PTC Inc.
• Magic Leap Inc.
• Samsung Electronics Co. Ltd.
• HTC Corp.
• Kopin Corp.
• RealWear Inc.
• Vuzix Corp.
• Kudan Inc.
• NexTech AR Solutions Corp.
• VR Vision Inc.
• Blippar Limited
What Are The Regional Insights Into The Augmented Reality AR In Retail Market?
North America was the largest region in the augmented reality (AR) in retail market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the augmented reality (AR) in retail market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.