The latest visual communication technologies have radically altered the way prospective car buyers shop, and the automotive industry in particular has seen considerable traction.
Previously, information about cars
was mostly from the dealership’s sales staff, and customers had to physically
visit a showroom floor to learn about the car they were interested in.
Digitalized online showrooms changed this, and transformed customer
expectations as well.
The new car buyers of today spend
much more time shopping online and, as a result, visit fewer dealerships when
they decide to actually buy a car. In order to be relevant to them, OEM brands
and dealers have to adopt new technologies and implement them at their
facilities quickly.
In this article, we will point out
how two of the most promising trends, Augmented Reality (AR) and Virtual Reality (VR), are making waves in the vehicle industry, and how they are
transforming the car buying journey.
Driving Sales Performance
Together, VR and AR are redefining
the way cars are sold in the automotive retail industry, and they are playing a
big part in improving customer experiences.
More potential consumers than ever
before are beginning their car buying process on the internet, and they have
access to huge piles of data at every step of their journey. This has resulted
in automotive retail shifting from a product-driven sales approach to one
that is customer-centric. Car dealerships and other auto businesses are being
made to bring about these changes, and new tech such as VR and AR are helping, by
paving the way for digital car showrooms.
Entire product catalogs can be
showcased on smartphones that are connected to a VR headset, thereby enabling
interested customers to add or remove optional accessories, see what the paint
color would look like in real life, and even listen to the car’s engine note.
This isn’t a far fetched sci-fi idea. German car maker Audi has already put
this technology to use in one of their London showrooms.
This level of customer interaction
connects very deeply with car buyers, and it can yield impressive results, since
purchasing a new car certainly includes an emotional element.
Changing Auto Marketing
In the case of car dealerships,
technology such as augmented reality offers an improved way to exhibit their auto models.
Customers can check out different
specifications and trim levels, and then engage in customizing them in the
comfort of their home or on the showroom floor itself.
With AR, very realistic
representations of cars can be placed in real world environments in order to
enable potential customers to see what they will actually look like.
View Infinite Combinations Immediately
This is especially appealing in
the case of high end and luxury car manufacturers. Many such OEMs offer
customers a wide range of personalization options to make their car truly
exclusive, and this means that several thousands of trim level and option
combinations are possible.
Car dealerships are obviously
unable to stock every single type of vehicle, and therefore customers could
never see what their customization would look like, until they take delivery.
With AR and VR, this problem can be eliminated.
Limited Inventory
Auto dealers were always plagued with
the problem of being unable to display all the variants and colors of a particular
vehicle to interested customers, due to limited inventory. Thanks to VR
headsets, potential buyers are now able to experience the exteriors and
interiors of these vehicles. They can even change colors and trim levels
without the dealer having to unnecessarily add anything to their inventory.
Buyers can also specify their new
car to the exact configurations they wish, and immediately see what the end
result will look like.
Improving Customer
Awareness
Providing customers with access to the technical aspects of a vehicle, such as DIY tips, is an integral part of the automotive sales process. AR offers customers a unique way to view and experience the features of a vehicle in a way that is easily understandable.
This is quickly becoming a trend, and automotive dealerships are
actually using sales tools today that are based extensively on AR, in order to
enable new buyers to visualize working on their car in an almost real world scenario.
The highlight of VR and AR is that
car dealerships can create a rich and involving experience for clients. Right now, it’s being used for basic applications such as to
see what a car looks like in different environments, and to give clients simple
car care tips. However, with time, the potential of VR and AR technology is
limitless.
For more information on how VR and AR can influence automotive retail, Contact Us.