2021: Customer Engagement In Luxury; How Technologies Influence The Customers

Consumer expectations are always on the move, and the one expectation that has undergone the most sizable shift is engagement.

More than half of consumers feel that brands should change the way they engage with shoppers. Digital initiatives top consumers’ wish lists, largely due to the current pandemic, but the engagement was already moving in that direction.

Chatbots handle basic customer questions, stores’ apps convert the smartphone into a wayfinding device and augmented reality is now transforming the path to purchase into a visually immersive experience. With 40 percent of shoppers willing to pay more for a product they can experience, digital is definitely worth exploring.

XR is much more than some VR headset. It is a means for allowing the customer to shape and personalize experiences with a brand. Currently, 64 percent of shoppers want brands to offer a combination of AI/AR virtual shopping assistants. Another 20 percent expect brands to provide AR tools.

This is not to say that more traditional marketing methods such as direct mail should fall by the wayside, but digital, in all its iterations, provides brands with new ways of connecting with consumers.

Augmented reality alone has influenced the majority of consumers regarding where to shop and can increase conversion rates by as much as 40 percent.

It is no wonder that more brands are adopting extended reality (XR) to accentuate their engagement efforts.
Eventually, 5G will be the norm. This will be a boon for consumers, as it allows them to download content more quickly and experience fewer delays.

The arrival of brands will usher in greater Internet of Things innovations, particularly when it comes to XR. Consumers can enjoy a richer branded experience, which can accelerate engagement to the next level.