As per recent study from GlobalData, the augmented reality (AR) business is expected to reach a valuation of US $ 100 billion by 2030, with the fashion retail industry standing to gain the most from it.

As retailers employ AR technology to gain a competitive edge, remain on top of changing consumer tastes, and adjust to emerging trends, the augmented reality (AR) industry, which was valued at US $ 22 billion in 2022, is expected to rise at a compound annual growth rate (CAGR) of 21 per cent over the following eight years.

Creating engaging, customised, and effective shopping experiences for customers, fashion businesses are among the leading users of augmented reality. Use of AR has increased consumer education, brand exposure, and sales for these retailers by increasing interaction.

Retailers are also taking use of AR technology’s benefits for the supply chain. The pandemic’s aftermath and geopolitical unrest have caused years of upheaval, which has made global logistics more vulnerable.

A lot of supply chains are now more complicated and linked than ever before, making them more prone to delays and disruptions. Supply chains and international relations have become more complex as a result of manufacturing outsourcing and offshoring, which is done to lower production costs and increase profits.

According to the research, there isn’t a magic AR application that will help businesses overcome their biggest problems, but making the initial investment will pay off later on.

App-based mobile augmented reality (AR), which delivers an AR experience through a smartphone app, and browser-based WebAR virtual testers and virtual try-on technology, which can be accessible both in-store and online, are the main use cases for AR in retail and fashion.

Businesses can interact and educate customers by using augmented reality technologies. With augmented reality digital overlays, customers may use the camera on their smartphone to view details about an in-store product, such as how it was manufactured, where it came from, and what materials were used. With the use of this kind of information, customers may make better-informed purchases.

Additionally, it is hoped that long-term waste reduction, particularly for garment firms, would result from the use of AR technologies like virtual try-on, which companies like Snap are showcasing, together with faster access to product information, as shops attempt to offset rising return costs in the era of “buy-try-return.”