AR & VR in Digital Marketing
AR (augmented reality) and VR (virtual reality) are big buzz words in technology right now. They have interesting histories, but their applications to marketing and creating new experiences for brands and their customers is a big area of evolution for these technologies. In this blog, our digital specialist Vivek takes us through the background of AR and VR and how brands are leveraging today in digital marketing.
History
The first VR headset was created in the 1960s, but it wasn’t until the 1990s that the first commercially available VR headset, the Virtual Boy, was released by Nintendo. AR technology was first used in the 1970s by the United States Air Force for their training simulations.

AR and VR are inextricably linked to the devices through which they are experienced. The first device that can be associated with virtual reality is the stereoscope created by Charles Wheatstone.
The first virtual simulator, called The Sensorama, was developed in 1957 by an American filmmaker and inventor, Morgan Heilig. It was a mechanical device that included a stereoscopic 3D display, fans to imitate wind, a motion chair, and even odour emitters. Unfortunately, the machine was too expensive and wasn’t mass-produced.
The first VR-AR helmet in history was developed by Harvard Professor Ivan Sutherland and his student Bob Sproull in 1968. It was called “The Sword of Damocles.” It was a bulky device that was attached to the ceiling. Ivan Sutherland also described the Ultimate Display concept, which served as a basis for VR devices. EyeTap, the first portable AR device, was created in 1980. This device superimposed a picture onto the real world. It also included a computer that was in the backpack.
In 1987, Jaron Lanier (the one who coined the term ‘virtual reality’) created EyePhone glasses and a DataGlove.
The 90s were a time of game consoles. The biggest players in this market could not ignore VR technology. In 1993, Sega released its Sega Genesis headset which, unfortunately, remained at the prototype stage. In 1995, the Virtual Boy Nintendo was released. It was sold in Japan and North America for $180.
What is AR and VR
AR/VR in advertising is an emerging tool for marketers as it offers immense potential to make ads more entertaining and engaging.
How is AR used in advertising?
As the name suggests, augmented means adding something to real-life settings. Augmented reality allows the user to modify the real-world environment. AR in advertising superimposes digital elements (images, animations, sound) in the real-world environment and provides innovative ways for advertisers to reach out to consumers. These days, brands are using AR advertising as an effective tool to enhance customer experience.

Benefits of adopting AR advertising for brands
- Increases customer engagement
- Builds brand awareness
- Drive more conversions
- Maximize your sales
How is VR used in advertising?
Virtual reality advertising allows brands to advertise their products using VR technology in a virtual world. Such technology offers big potential for brands to interact with their customers and develop close relationships. VR allows brands to create immersive advertisements to provide memorable experiences to customers.

Benefits of adopting VR advertising for brands:
- Engages your customers
- Introduces new products in the market
- Demonstrates your customer journey
Differences between AR and VR
AR focuses on augmenting the physical world with digital artifacts, images, videos, or experiences overlaid with computer-generated images (CGI) and 3D models. VR aims to create a virtual experience with headsets and tracking to place the user in a different world.
Advantages of AR
The advantage of augmented reality is its ability to combine the physical world with a digital interface, creating a new experience of the world. Doing so also creates new ways of experiencing the world, from how you monitor manufacturing machines to how surgeons learn about the human body. AR also provides new ways for you to interact within the digital environment.
Advantages of VR
VR has advantages similar to AR, including its advantages in education by allowing learners to explore the physical world in ways not possible without virtual reality. VR gives users a safe space to experience or train for things that might be dangerous or fearful in the physical world without putting them in harm’s way. VR also allows users to travel anywhere in the physical world through a virtual experience.

Brand Examples
AR Examples
- IKEA – Visualizing Furnitute at Home
- Nike – Shoe Try-on
- Pepsi Max – Surprising Bus Shelter
- Gucci – AR Product Try-on
VR Examples
AI tools were used for research and images in this blog.