Augmented Reality Market

Goals

To understand the Augmented Reality Market which includes getting to know about market size, current value, growth projections, players involved, products in the market, market challenges, and the impact due to pandemic.

-10 statistics on AR technology and its future
-What is the current value of the AR market?
-How much is the market predicted to grow over the next few years?
The 10 biggest names in AR development in 2020 (List company names and their specific products)
How have companies used AR technology to elevate or benefit their products? (List company names and the names of their products)
What are the names of different AR workflows?
What do the different workflows do?
How do you choose the best workflow?
The top 5 challenges of AR development in 2020
How is AR development different from other types of development? (What are the specific elements?)
What are Google and Apple's design and UX guidelines?
5 pieces of recent news on AR development, within the last year
How has COVID-19 impacted the AR market?
Has it created any challenges for AR development?

Early Findings

This research strategy informs us that there is ample information available online, the challenging part, however, is to sort through the references and compare numbers because of a wide discrepancy in the market research numbers quoted throughout different sources. In addition, research on how COVID impacted the AR market is limited. Though, Technavio offers the COVID impact report on trial/purchase option available here.
The agenda for this preliminary research was aimed at identifying statistics related to AR market research, identify players involved, and challenges faced during the pandemic. Further research needs to be directed based on the research strategy.

Market Statistics:

  • The global market size for both Augmented Reality and Virtual Reality (AR/VR) is $18.8 billion in 2020.
  • According to Statista, the market value for AR was $1.8 billion in 2018 and $3.5 billion in 2019.
  • The AR market is projected to be worth over $18 billion in 2023.
  • According to Statista, the forecasts demonstrate that for the Virtual reality & Augmented Reality industry’s market value will be as high as $108 billion by 2021 and $162 billion by 2024.
  • According to augmented reality statistics for 2020 consumer spending on AR/VR is forecast to account for a 37.4% share of the global AR/VR customer market.
  • According to the eMarketer report, the AR users (in millions) in the US were 37.6 M (2017), 59.6 M (2018), and 68.7 M (2019). The forecast shows that the number of AR users will be 77.7 million in 2020 and 85 million in 2021.
  • In 2019, 68.7 million people were anticipated users of AR, which amounts to 20.8% of the US population.
  • According to IDC, global spending on AR/VR in 2020 will be up to $18.8 billion, up 78.5% from 2019. Businesses across the globe are trying to find ways to stay competitive as consumers are looking for richer engagement points in the shopping experiences. From 2019-2023, the global VR/AR market will see a 77% compound annual growth rate.
  • According to Forbes, AR stats for 2020 reveal that AR companies are tilting towards working on industrial applications (65%) rather than customer software.

Players and Products:

  • Key players in the augmented reality market are Google, Inc. (US), PTC, Inc. (US), Microsoft Corporation (US), Seiko Epson (Japan), Lenovo (China), Wikitude Gmbh (Austria), Vuzix (US), Daqri Llc (US), Magic Leap, Inc. (US), Zugara, Inc. (US), Blippar (UK), Upskill (US), and Maxst (South Korea).
  • Microsoft holds over 10,000 patents related to the AR/VR technology
  • According to a report from Mobile Marketer, retailers are slowly adopting AR in the buying process. Only 1% of retailers are currently using AR or VR (Virtual Reality) in their customer buying experience.

Market Challenges:

Further research is required on the developmental and marketing challenges faced by the AR industry. Here is a basic overview.

NOTE:

Numbers from some market research on market size and forecast was completely conflicting with the other sources, such as reports.valuates.com, when compared to numbers from marketsandmarkets.com. In this case, I would give preference to marketsandmarkets research because it is considered credible and cited in scientific publications. It is advised to heed caution in reporting the numbers, but as long as multiple sources give the closest match, it is advisable to use those statistics. In this preliminary research, I have cited statista, which has been quoted and cited at various other platforms.

Sources:
1. https://www.statista.com/study/38227/augmented-reality-ar-statista-dossier/
2. https://www.statista.com/topics/3286/augmented-reality-ar/#dossierSummary__chapter1
3. https://www.statista.com/statistics/591181/global-augmented-virtual-reality-market-size/
4. https://techjury.net/blog/augmented-reality-stats/#gref
5. https://www.emarketer.com/content/virtual-and-augmented-reality-users-2019
6. https://www.marketsandmarkets.com/Market-Reports/augmented-reality-market-82758548.html
7. https://www.threekit.com/20-augmented-reality-statistics-you-should-know-in-2020
8. https://www.mobilemarketer.com/news/52-of-retailers-feel-ill-prepared-to-support-emerging-mobile-tech-study-s/560947/
9. https://theappsolutions.com/blog/development/augmented-reality-challenges/


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