Mobile AR is changing street advertising by making it interactive, engaging, and measurable. Brands are using AR to turn static billboards into immersive experiences, boost customer engagement, and drive sales. Here’s how AR is reshaping outdoor ads:
- AR Billboards: Extend viewer attention from seconds to minutes with QR codes that launch 3D experiences.
- Virtual Product Testing: Let consumers try products like sunglasses or makeup virtually, increasing purchase intent.
- AR Street Games: Turn ads into interactive games that encourage participation and social sharing.
- Live Data Displays: Use real-time updates (like weather or events) to keep ads fresh and relevant.
- Custom AR Experiences: Personalize ads based on user location or preferences for deeper engagement.
Quick Stats:
- AR ads boost conversions by 94% and improve memory retention by 70%.
- Younger audiences (Gen Z & Millennials) are 71% more likely to interact with AR ads.
- AR campaigns can increase sales by up to 80% and reduce costs by 59% compared to static ads.
With AR ad revenue projected to hit $8 billion by 2025, now is the time for brands to embrace this technology and create unforgettable street advertising experiences.
Unbelievable Bus Shelter Augmented Reality
Mobile AR's Impact on Street Ads
Mobile AR is changing how consumers interact with street ads. It’s not just eye-catching - it delivers results. AR ads can boost conversions by 94%, improve memory retention by 70%, and cost 59% less than static ads [6][9]. These numbers highlight why AR is becoming a favorite tool for advertisers.
Take Mini’s AR campaign, for example. They showcased a 3D model of a car, attracting 890,000 viewers who spent an average of 28 seconds engaging with the ad. The campaign tripled ad recall and increased brand favorability by 11 times [6]. Another standout is Bon and Viv’s WebAR campaign in Los Angeles and San Diego, which used virtual vending machines to let users make direct purchases and find nearby stores [4].
Younger audiences, especially Gen Z and millennials, are particularly drawn to AR. They’re 71% more likely to interact with AR content, and over 40% share it on social media [6]. This makes AR a powerful tool for reaching these demographics.
Here are a few other campaigns that show AR’s range:
- Coca-Cola UK – #TakeATaste (2023): Combined digital vouchers with interactive out-of-home screens to drive sales [9].
- Verizon – 5G Built Right: Offered a location-based AR concert experience featuring The Black Pumas [4].
- Pizza Hut – Newstalgia: Turned pizza boxes into interactive gaming experiences [4].
Brands using AR are seeing real results - 80% report increased sales and better customer acquisition [6]. Plus, AR campaigns can be tailored by tracking user interactions and engagement patterns. While AR effects can cost anywhere from $5,000 to $50,000, the potential return on investment makes it a compelling choice [5].
1. AR Billboard Interactions
AR billboards take viewer engagement to a whole new level. Instead of the usual 6–7 seconds, these interactive displays can hold attention for anywhere from 1 to 6 minutes. How? By letting users scan a QR code that launches immersive 3D experiences on their mobile devices - no special app required [3][1]. This approach not only draws people in but also delivers measurable outcomes.
Take the Modelo AR billboard campaign, for example. It racked up over 180,000 social media impressions, kept viewers engaged for an average of 3 minutes, and led to a 16.5% boost in sales in key markets. On top of that, it generated 7.2 million media impressions [3].
One of the biggest advantages of AR billboards is the ability to gather detailed analytics. Advertisers can monitor real-time behavior, track how long users interact, count unique visitors, and even see follow-up actions [11]. These insights are game-changing. AR campaigns have been shown to triple engagement compared to standard websites and cut the cost per engagement by half [11][1].
Coca-Cola’s "Playable Billboard" in Times Square is a great example of this new wave of advertising. Islam ElDessouky, Coca-Cola’s global vice president of creative strategy, summed it up perfectly:
"Engaging with a digitally absorbed Gen Z audience on the streets is increasingly challenging, so we had to innovate and create something unmissable" [10].
To get the most out of AR billboards, advertisers should focus on a few key strategies:
- Add clear instructions with visible scanning cues to guide users.
- Ensure the content is mobile-friendly for quick loading and smooth performance.
- Encourage social sharing to amplify the campaign’s reach [2].
These results show how mobile AR is reshaping outdoor advertising, turning it into a data-rich, interactive experience.
2. Virtual Product Testing
Virtual product testing through AR-enabled ads is changing how customers interact with products before buying. A growing number of brands are using AR for this purpose, with 61% of customers saying they’re more likely to purchase after trying products using AR [12].
Take Marcolin's Guess campaign as an example. From May to June 2023, they ran a street ad campaign with virtual try-ons for sunglasses. The results? Users spent an average of 19 seconds engaging with the AR feature, and virtual try-ons performed 44% better than industry standards [8].
Christian Dior Parfums took AR product testing to a larger scale during Eid 2023. Their interactive lipstick campaign reached over 4 million people in just 21 days across the Middle East. Nearly half of the consumers used the Beauty Try-On feature, with over 400,000 virtual lipstick tests and more than 2,000 screenshots taken [8].
In October 2023, Maybelline New York turned a massive 43,000-square-foot area of Kyiv's Gulliver Mall into an interactive AR mirror for their Falsies Surreal mascara. This installation generated 3 million organic views, proving that large-scale AR experiences can grab attention in a big way [8].
Toyota also jumped in with their 2023 Crown launch campaign. They let potential buyers virtually explore the car from every angle and even take it for a simulated test drive - all through a smartphone and scannable QR codes [8].
AR’s Impact by the Numbers
| Metric | Impact |
|---|---|
| Brand Loyalty | 70% of customers become loyal to brands using AR [12] |
| Conversion Rates | 5x higher conversion rates with product visualization [13] |
| Visual Attention | 1.9x higher than non-AR ads [13] |
| Return Rates | Up to 30% fewer returns for e-commerce brands [14] |
Polina Click, COO at Ffface.me, sums it up perfectly:
"People no longer engage with traditional advertising materials, and we advocate for their rejuvenation through the infusion of interactivity" [8].
With global AR ad revenue expected to hit $6.68 billion by 2025, AR product testing is shaping up to be a core part of future advertising strategies [4].
3. AR Street Games
AR street games turn passive audiences into active participants by combining real-world and digital interactions for a more engaging experience.
Taking inspiration from interactive AR billboards and product tests, these games encourage consumers to play and win. For example, Vodafone's 2023 "Elf and Seek" game attracted over 245,000 players who collected 270,000 digital elves and won up to 20,000 prizes through the VeryMe rewards program [8].
Tilly's partnered with YouTube influencer Shonduras for an AR scavenger hunt, which boosted both in-store traffic and app downloads. This campaign led to an 80% voucher redemption rate - the highest in Tilly's history [16].
Jon Kubo, Chief Digital Officer at Tilly's, shared:
"The entire campaign drove downloads of the mobile app, and the mobile app provided an experience in the store. It was a great 360-degree campaign." [16]
AR Game Examples and Business Outcomes
| Campaign | Brand | Key Features | Results |
|---|---|---|---|
| Malibu Tropical Parkour | Malibu | Side-scrolling game via Snapchat AR | Turned static billboards into interactive experiences [7] |
| QQQ Hoops | Invesco | Virtual basketball with NBA star Grant Hill | Merged sports engagement with investment education [7] |
| Vegas Slots AR | William Hill | Interactive AR slot machine | Promoted a $15,000 Las Vegas trip as the grand prize [8] |
These campaigns show how AR street games enhance other AR strategies by delivering meaningful engagement and measurable outcomes.
Melanie Blood, Head of Project Management at Ocean Labs, emphasized:
"The combination of large format out of home, augmented reality and a giant virtual slot machine introduces a real life dimension to this campaign on a scale not seen before." [8]
Key Elements for Effective AR Campaigns
To ensure success, brands should focus on:
- Clear objectives: Define specific goals like app downloads or marker scans.
- Social integration: Create shareable moments and use targeted hashtags for broader reach.
- Engagement tracking: Measure time spent with AR content and monitor conversion paths [17].
AR street games bring static displays to life, creating interactive experiences that build stronger emotional connections with audiences while driving measurable business results [15].
4. Live Data AR Displays
Live data AR displays are changing the game for street advertising by adding real-time updates that make campaigns more engaging and relevant. Like AR billboards, virtual product testing, and interactive street games, these displays give advertisers the tools to connect with audiences through timely, interactive content.
Dynamic Content Integration
These displays automatically adapt to factors like weather, time, or current events, ensuring content stays up-to-date without requiring physical changes. This flexibility helps keep campaigns fresh and boosts audience engagement.
When Viz Arena 5.4 launched in October 2024, it introduced AI-powered workflows that made live data tracking and virtual ad placement easier to manage while offering expanded capabilities [20].
Measurable Impact and Engagement
Live AR displays consistently deliver better results compared to traditional advertising formats:
| Metric | Performance |
|---|---|
| Click-Through Rate | 164% increase |
| Dwell Time | 4x longer than video ads |
| Agency AR Investment | 300% year-over-year growth |
For instance, Burger King’s live AR campaign led to a noticeable rise in app downloads and foot traffic [19].
Real-World Success Stories
Campaigns using live data integration have shown impressive results. A great example is the Electrifly Detroit AR Mural Festival. By incorporating 14 AR murals across local businesses, the campaign achieved over 1 million impressions and inspired more than 10,000 user-generated photos and videos [18].
Vizrt highlights the potential of their platform with this statement:
"Viz Arena is an all-in-one Live AR Suite for sports broadcast and venue production. It is purpose-built to keep sports fans engaged, sponsors satisfied, and costs low." [20]
Implementation Tools
Several AR platforms make it easier to create and manage live data displays. Some of the top tools include:
- Viz Arena, known for its focus on sports-related AR advertising with live data integration.
- Livshows, which combines interactive experiences with built-in analytics.
- ARCore, offering cross-platform development for custom AR applications [22].
These tools help advertisers turn traditional street ads into dynamic, data-driven experiences that resonate with audiences in real time.
5. Custom AR Ad Experiences
Custom AR experiences are changing the game in street advertising by offering personalized content that creates meaningful interactions with users. This approach opens the door for real-time adjustments based on the user's environment and preferences.
Real-Time Personalization
AR systems use live data to tailor content on the spot. Here are some key factors driving personalization:
- Location-Based Content: Can increase sales by 20% [24].
- Personalized Offers: 57% of online shoppers are willing to share personal data in exchange for special deals [25].
- Customized Experiences: 58% of consumers consider these a must-have [25].
Advanced Customization Tools
Platforms are equipping advertisers with cutting-edge AR tools to enable these personalized experiences. For example:
- Snap AR's Camera Kit: Lets developers embed AR features directly into their apps [26].
- Livshows: Provides interactive AR experiences without requiring users to download an app [21].
These tools have led to impressive results, including a 164% boost in click-through rates, four times longer engagement compared to standard video ads [21], and over 4.5 trillion AR lens interactions on Snapchat in the past year [26].
Practical Implementation
A standout example is L'Oréal Paris and its Virtual Makeup Try-On campaign. By integrating AR into its website and app, customers could test products virtually, leading to higher sales and improved customer satisfaction [23].
Key Considerations
To successfully implement custom AR experiences, advertisers need to focus on two critical areas:
-
Data Integration:
- Analyze user interactions to identify preferences.
- Use location-based services to make content more relevant.
- Apply machine learning to predict user interests.
-
Technical Requirements:
- Ensure smooth performance across different devices.
- Prioritize strong privacy measures to protect user data.
- Keep the experience accessible to all users.
AR Advertising: Limits and Growth
This section dives into the current hurdles and future possibilities for AR campaigns, building on past successes.
Current Challenges
AR street advertising holds a lot of promise but comes with its share of obstacles. High upfront costs and technical issues, like older devices struggling to support high-resolution AR, limit its effectiveness and broader adoption across platforms [27].
Financial Hurdles
The cost of implementing AR campaigns can be daunting, with multiple factors to consider:
| Cost Category | Impact on Implementation |
|---|---|
| Hardware | Requires a large initial investment |
| Software Development | Demands specialized skills in 3D modeling and computer vision |
| Content Creation | Ongoing costs for updating content |
| Maintenance | Needs regular updates and technical support |
Tackling these financial challenges is critical to fully tapping into AR's potential, as shown by earlier campaigns.
Privacy and Security Issues
Privacy concerns are another significant hurdle. For example, a global electronics company faced backlash for collecting eye-tracking data without consent [27]. Despite these issues, the market continues to expand, driven by increasing demand and new opportunities.
Market Expansion and Opportunities
The AR advertising market is growing rapidly, with projections estimating it will hit $16.55 billion by 2023, growing at a compound annual rate of 30.79% [28]. By 2027, mobile AR advertising alone is expected to generate $39.81 billion in revenue [9].
One standout example is Coca-Cola UK's "#TakeATaste" campaign, which successfully blended digital vouchers with out-of-home display screens [9].
Future Trends
Experts predict ongoing growth in AR advertising, with active mobile AR devices expected to reach 1.19 billion users globally by 2028 [29]. Key trends driving this growth include:
- Greater integration with out-of-home advertising
- Wider adoption of WebAR for easier access
- A focus on social AR platforms
- Enhanced engagement through personalized experiences
"AR Marketing and Advertising are revolutionizing consumer interaction by superimposing digital material on the real environment. It improves product interaction, provides immersive experiences, and raises brand visibility, resulting in a compelling and dynamic manner for businesses to connect with their customers."
– Academic Block [28]
Steps to Overcome Barriers
Advertisers looking to succeed in AR should consider these strategies:
- Start with small-scale pilot projects before expanding [27]
- Optimize AR tools for mobile devices
- Offer clear instructions and tutorials for users
- Strengthen data privacy practices
- Design experiences that work across a variety of devices
Conclusion
Mobile AR is changing the game for street advertising by creating direct, interactive connections between brands and consumers. With the AR market projected to reach $50 billion in 2024 [31], this technology is reshaping how advertisers think about outdoor campaigns.
Recent examples, like Verizon's AR-enhanced storefronts and Vodafone's interactive billboards, have shown how immersive digital visuals can grab attention in busy areas [30].
For brands aiming to make the most of AR, success depends on a few critical factors:
| Success Factor | Implementation Strategy |
|---|---|
| Location Selection | Target high-traffic areas with audiences familiar with AR tech. |
| Technical Execution | Partner with AR specialists to ensure a smooth and engaging experience. |
| Content Strategy | Prioritize storytelling and refresh content regularly to maintain interest. |
| Measurement | Monitor metrics like engagement, dwell time, and conversion rates. |
These approaches turn traditional campaigns into interactive experiences that are easy to track. AR lenses, for instance, have delivered a 1.67x return on ad spend, outperforming both TV and standard social media ads. With 60% of shoppers using AR for purchases, the technology offers more than just a cool factor - it provides real marketing results.
Take Wendy's "Biggie Bag" campaign with DJ Khaled as an example. By combining AR with social sharing, it generated 1.5 million earned impressions, proving how effective AR can be when paired with strong user engagement.
Looking ahead, the future of street advertising lies in blending the physical and digital worlds to create experiences that not only engage but also deliver measurable outcomes.
