5G & Augmented Reality Market Research Results

The results are in. Technology has caught up to where the majority of consumers can actually enjoy the ads targeting them. All thanks to Augmented Reality. 

Compelling new research shows that users of 5G interact positively, even enthusiastically, to AR experiences. Keep reading below to learn how the implications of this research are great news for marketers and brand builders.

Why 5G Users Specifically?

The next generation mobile network 5G gives users faster speeds and more reliable data connectivity than the previous 4G on their phones. 

This is great news for the Augmented Reality medium, which relies on fast load times to give that “live” interactivity feel with the customers’ environment.

On 4G, Augmented Reality ads are best experienced on WiFi. Whereas, 5G is powerful enough for these ads to engage audiences just about anywhere. 

This advancement in technology expands the possibilities of AR for brands. AR used to be confined to apps such as Pokemon Go, requiring the customer to take the time and effort to download and register before using it. This creates a barrier of entry to engagement. 

Now the consumer can be in a store connected to their normal data plan and simply scan a QR code from an item on a shelf. This code connects them to a browser that instantaneously places them in the AR experience, interacting with the environment right where they stand. This is known as Web-based AR (WebAR).

While the potential of this improvement in technology sounds exciting on paper, it’s still important to research how customers actually respond to it in real time. Fortunately, the results of the new study exceeded even our expectations, justifying the industry excitement surrounding AR ads.

The Study

To survey the public perception of 5G users of AR content, the Ericsson Emodo Primary Survey Research Study collected data from 300 respondents across all demographics. These participants were exposed to three unique Augmented Reality experiences interwoven carefully as to not bias their opinions.

Of these 5G users, half said that 5G was not a determining factor at all when buying their new phone. 69% reported they got a “great deal” on their phone, suggesting promotions from a carrier were a major driver when buying, not for the purpose of upgrading to 5G speeds.

But even if 5G isn’t the determining factor for most people buying a new phone, the satisfied reactions to the change from 4G speak for themselves. 80% of 5G owners report noticing a compelling speed difference. 

Even among the people who didn’t care about 5G at time of purchase, 65% noticed a speed improvement. This suggests that even without being led by the knowledge of 5G’s existence, the majority of consumers can’t help but observe the power of 5G first hand.

The Study’s Results

Drumroll, please! 

Out of all the participants exposed to AR, a whopping 70% agree or strongly agree that they would “like to see more Augmented Reality ads in the future.” 

Perhaps more significantly, 74% responded that “these ads would be more likely to capture my interest or attention than normal ads.” 

The implications of these results can’t be understated. 70% of people who engage with AR ads want MORE ads like these. 

How often are ads enjoyed to the point where the consumer wants more of them? The only other example that comes to mind are Super Bowl commercials. In that case, a lot of people tune in SPECIFICALLY to watch the ads.

When digging a little deeper, this connection makes sense. What draws people to Super Bowl commercials and AR experiences are the heightened production value and creativity behind them. People discuss those infamous ads perhaps even more than the games themselves.

The very intention behind AR advertising is to immerse the consumer in a new kind of entertainment. Its appeal is the interesting experience it provides.

The study found that 2 out of 3 users who didn’t find 5G important when choosing a new phone ask for MORE Augmented Reality ads. This shows that the majority of consumers, unswayed by the allure of significant tech improvements, genuinely enjoy the AR advertising experience. 

Even better, this finding is consistent across factors such as age, ethnicity, race and gender.

What This Means for AR Advertisers

As 5G cements itself as the next generation of all smartphone users, the medium of Augmented Reality has significant room to grow. Word of mouth of AR could even help spread the news about 5G’s potential, motivating those still on 4G to consider upgrading.

The more AR experiences become available in the meantime, the more those still on 4G will see the benefits of 5G. Plus, they’ll look forward to experiencing what they couldn’t before. Curiosity and “fear of missing out” is a powerful motivator.

Also, when generating AR experiences, it’s important to note that only about a third of study’s participants were iPhone users. Since the majority of 5G users are not using Apple, it’s important for brands to make AR experiences available to all brands of phones, not just ones downloadable from the Apple Store. 5G allows anyone with any brand of phone to use their phone’s browser to access the AR experience.

Another important statistic is that 68% agree that AR experiences reflect the brand positively. So, brands shouldn't be hesitant about how the engagement of this kind of advertising might affect how they are perceived.

Some brands prefer a more subliminal approach, and Augmented Reality is by its very nature more engaging. But this study demonstrates that by entertaining your customer with technology, a brand can generally build goodwill with the consumer.

What Brands Can Do Next

As a brand you may be somewhat familiar with Augmented Reality campaigns, but your own experience is just scratching the surface. There are many kinds of AR campaigns, and the best one for your company will depend on its unique strengths to capitalize on this new method and reach customers.

A wide range of companies have immersed customers with AR to successfully outreach, including food products, health care, and sports.

Augmented Reality Solution Providers

At Aircards, we have worked with individual entrepreneurs and Fortune 500 companies. We take brands to the next level with AR marketing campaigns that consistently reach 40% engagement rates and higher. The results of this study have us even more excited with the knowledge of how the consumer thinks when engaging in this advertising form. 

If you would like to learn more about how your business can take advantage of this rising trend, we can help strategize and develop a vision that best suits your business’s needs. Contact us today for a free demo and consultation.