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Augmented Reality and Virtual Reality Market Trends in the Automotive Industry
Augmented reality and virtual reality technology has exploded in the automotive industry, within both the self-driving and standard markets. Continental, HARMAN International, Microsoft, Visteon, Volkswagen, HTC, NVIDIA, Unity, AutoVRse, Bosch are some of the industry’s top leaders, and each manufacturer has something unique to offer to its consumer base. By enhancing road safety and accessibility for a wide variety of vehicles on the market, check out the main augmented reality and virtual reality trends that are growing in the automotive industry. SEAMLESS SHOPPING EXPERIENCE Before drivers even leave the lot, virtual reality is changing the way customers shop for new vehicles. For people who prefer to shop exclusively online, virtual reality gives shoppers a much clearer picture of their prospective purchase. While photos can show the appearance of the vehicle, VR showroom apps allow the customer to “test drive” the car from the comfort of their home. Virtual reality applications include helpful functions like: * Virtual “behind-the-wheel” view * Simplified technical details * Improved engagement with the vehicle’s features * Real-time customization * Ability to test the vehicle virtually through various terrains and driving conditions PREVENT BUYER’S REMORSE AND IMPROVE CUSTOMER SATISFACTION Nowadays, shoppers don’t want to spend more time than necessary during the selection process. They come to the dealership with research and data in hand, and want to leave with their dream car as soon as possible. 360-degree walkthrough videos and immersive presentations give buyers even more preparedness before they sign on the dotted line. This provides customers with an additional sense of security and confidence in their purchase. In addition to improving your conversion rate, this can also add to your dealership’s client satisfaction rate and reputation. REDUCE COSTS FOR DEALERS Furthermore, using virtual and augmented reality tech to sell cars (both online and in store) can reduce costs dramatically for dealers by reducing inventory and operational costs. Since customers can test the car without physically entering a test vehicle, you can give an unlimited number of virtual test drives via a digital program or application. Additionally, potential buyers can customize their virtual vehicle anyway they like – from exterior color to interior material to choosing the bells and whistles they want. Customer engagement is another factor that heavily influences a dealership’s profitability over time. When there are so many brands in the auto sale industry, this is one tech upgrade that can truly set dealers apart from their competition. Using this system to market inventory allows sellers to downsize and reduce the amount of units they keep onsite. This can heavily impact staffing costs, leasing fees, and more. PROVIDE REALISTIC TEST DRIVE CONDITIONS You can only learn so much about a car on a drive around a city block. For more adventurous drivers who plan on taking more rugged drives, this kind of test does little more than show off the car’s interior. Virtual reality programs and built-in augmented reality capabilities can give drivers a real-life idea about how a car will perform on steep hills, uneven roads, or even sandy dunes. Using motion-detection and projected objects in coordination with the actual movement of the vehicle, potential buyers can get more out of a controlled-track test drive than they would with traditional methods. Not only can this increase the customer’s level of confidence in their purchase, but the same technology is improving safety and functionality during the initial prototype testing phase. By working out potential bugs and issues before the car ever hits the lot, this technology is reducing recalls and after-market adjustments for top auto manufacturers. From the service line to the customer’s driveway, virtual reality and augmented reality is making the driving experience safer and more enjoyable for all types of drivers. RISING DEMAND FOR DRIVING SAFETY Perhaps the largest motivator for augmented reality and virtual reality innovation is the demand for increased consumer safety. Utilizing advanced sensor technology that includes radar, imaging, display projections, and other peripheral visual guides can increase driver and passenger safety significantly. In-vehicle safety includes a variety of components, from distracted driving to lack of navigation support. Augmented reality and virtual reality platforms can provide drivers and passengers, respectively, with all of the information they need to guarantee a seamless drive. Using peripheral or superimposed displays over the individuals direct line of sight, users can view information without impairing their vision and causing danger for anyone on the road. Standard applications and tools currently include: * Dynamic navigation and directions * Traffic information * Weather reporting * Automobile maintenance data * Blindspot protection Instead of relying on difficult-to-use auxiliary devices to follow your driving route or keep up on auto repairs, AR/VR technology removes these cumbersome distractions from the equation. [https://relaycars.gryffin.com/wp-content/uploads/2021/01/image-30.jpeg] ENHANCED SENSOR TECHNOLOGIES Cars often come equipped with anti-blind spot sensors, but applying this technology to augmented reality adds another layer of depth and dimension to these tools. Sensor tech that was first pioneered by video game engineers is now becoming available as a feature for consumer vehicles. Augmented reality uses sensors to create a 3-D image of out-of-view objects, which can improve the driver’s blind spot view using stereo vision. Compared to standard sensors which use proximity and motion to alert the driver, this method gives the driver a comprehensive view of everything that surrounds the vehicle. From pedestrians to animals to road blockages, using augmented reality to enhance your visibility and blind spot protection is just another simple way to keep everyone safe on the road. IMPROVED ADVANCED DRIVING SYSTEMS (ADS) While many vehicles have already been incorporating a surface-level AR integration, virtual reality and augmented reality technology is now helping drivers make helpful predictions. From service alerts to traffic warnings, autonomous driving predictions and ADS tech is another aspect of the market that is keeping auto owners safe. This level of protection is revolutionary for standard and electric vehicles. By displaying stereoscopic visual guides, drivers can safely view: * Guidance hints * Navigational information * Destination points * Construction/safety alerts * Operational information * Fuel/mechanical/maintenance data Additionally, the incorporation of holographic imagery provides a higher level of visibility, but a lower level of opacity, compared to LED projection technology. Depending on the amount of information that’s displayed in front of the user, this can transport the driver into a virtual reality experience. Instead of treating the display as a monitor or screen, the driver is able to see the structure of the road while also viewing digital elements simultaneously. [https://relaycars.gryffin.com/wp-content/uploads/2021/01/image-31.jpeg] VEHICLE INTERCONNECTIVITY Did you know that more than half of consumers who use virtual or augmented reality programs also use the tech via their smartphones? Interconnectivity is becoming increasingly important for users of this revolutionary technology, and now AR-enabled vehicles can communicate with each other for greater road safety. Self-driving cars have used visual technology like cameras and radar to identify objects on the road, including other cars. While this allows the vehicle to gauge valuable information like object proximity and speed, traditional methods provide limited details about the vehicle. Using augmented reality, the vehicle can “see” the entire road, camera networks, other cars, and even changes in speed limit or road regulations. This higher level of spatial awareness provides a higher level of protection for pedestrians, other drivers, and other self-driving cars that are sharing the road. This technology has the potential to drastically reduce dangers and collisions for manual and self-driving vehicles. For those who are worried about the practicality of a TRUE auto-pilot function, this additional level of security will give drivers and passengers added peace of mind. More and more vehicles are becoming fully or partially autonomous as a result of higher AR/VR integration. As this grows in the automotive market, “drivers” will be able to improve defensive driving procedures that can drastically reduce vehicular collisions and casualties. IMMERSIVE EXPERIENCES FOR PASSENGERS AND SELF-DRIVING CAR USERS The concept of sitting in a fast-moving vehicle with a screen over your eyes is enough to put off anyone with motion sickness. Thanks to adaptive technology that incorporates the car’s movement with the VR content, even the most sensitive passengers can enjoy an immersive adventure during every car ride. Combining interesting storylines or impressive graphics with the directional motion of the vehicle, users can be transported to a fully virtual world. Even better, there aren’t any real-world distractions to impact the experience. Whether you’re looking for a way to entertain children on long car rides or you want to add some excitement to your auto-piloted commute, virtual reality is the answer consumers have been waiting for. Augmented reality and virtual reality systems are finding their way into a wide range of industries, but these innovative technologies are completely transforming the automotive market. As more manufacturers dive into this dynamic sphere, self-driving, electric, and standard-operation vehicles are using augmented reality and virtual reality trends to improve road safety, data security, and ease-of-use for drivers and passengers.
4 Ways Augmented Reality Will Transform the Automotive Industry
The automotive industry is fiercely competitive, which is why companies often embrace new technologies in order to set themselves apart from their competitors. One of the technologies that is expected to make a major impact in the automotive industry is augmented reality. Augmented reality technology allows you to superimpose digital elements, such as text, images, and sounds, into your real world environment. For example, the widely popular gaming app, Pokemon Go, used augmented reality technology to superimpose interactive images of Pokemon characters into the gamer’s real world. But augmented reality isn’t just for gamers. In fact, a number of automotive manufacturers, including BMW, Jaguar, and Mazda, have already started to integrate this technology into their vehicles. The use of augmented reality in the automotive industry is still fairly new, but it’s expected to continue to grow in popularity over the next several years. When it does, here are four of the many ways that this innovative technology will completely transform the automotive industry: [https://relaycars.gryffin.com/wp-content/uploads/2021/01/image-21.jpeg] AUGMENTED REALITY ADVERTISING In the 1970s, the average consumer encountered about 500 advertisements per day. But that number has grown exponentially since then. Now, it’s estimated that the average consumer sees over 5,000 advertisements on a daily basis. This massive number could climb even higher thanks to the integration of augmented reality in the automotive industry. Many experts predict that brands will begin to spend a significant chunk of their marketing budget on augmented advertising within vehicles. [https://relaycars.gryffin.com/wp-content/uploads/2021/01/image-22.jpeg] How will it work? Imagine driving down the street and seeing advertisements pop up on your windshield. As you pass the mall, an ad promoting a sale at one of the department stores appears in the corner of your windshield. As you pass the movie theater, an ad appears that lists the showtimes for a newly released action movie. Then, as you drive by a pedestrian on the street, an ad appears for the brand of shoes he was wearing. These are some examples of how brands could partner with the automotive industry to use augmented reality to deliver location-based ads to you while you sit behind the wheel. No automotive companies have begun to incorporate augmented reality advertising into their vehicles like this quite yet. However, several automotive manufacturers have used augmented reality advertising to promote their vehicles. For example, Land Rover relied on augmented reality technology to promote the launch of the New Discovery Sport in 2015. Before the vehicle was available to view in showrooms, the company used augmented reality to allow consumers to explore a virtual model. Consumers could walk around the entire virtual vehicle to examine its exterior from every angle. As they moved around the vehicle, animations would appear to highlight certain features. The driver’s door of the virtual vehicle even opened to give consumers a peek at the interior of the new model. Using augmented reality in this manner allowed Land Rover to create buzz and excitement leading up to the official release of the New Discovery Sport. [https://relaycars.gryffin.com/wp-content/uploads/2021/01/image-23.jpeg] ASSISTED PARKING Nearly every driver has struggled to squeeze their vehicle into a parking spot at some point. This is a common issue that many drivers face on the road, especially when attempting to parallel park or navigate in a poorly lit parking garage. For years, automotive manufacturers have used augmented reality technology to make parking easier for drivers. In fact, this is one of the most common uses of augmented reality in the automotive industry today. Countless vehicles are currently designed with front and/or rear view cameras that allow drivers to see a live feed of what’s in front of and behind them while they try to park their car. Augmented reality is used to superimpose lines, arrows, and other images onto this live video feed to help the driver see where they are headed and safely park their vehicle. Some automotive manufacturers, including BMW, also use augmented reality to project virtual images of the vehicle into the parking space that the driver is trying to back up into. This shows the driver whether or not their vehicle will safely fit within the lines of the parking space. This way, they will know whether or not they need to give up and try to find a new spot. But in the future, automotive manufacturers will use augmented reality technology to provide drivers with even more parking assistance. Experts predict that automotive manufacturers will use augmented reality to help drivers find parking spots in crowded parking garages, parking lots, and streets. How will it work? As you travel through a parking lot, for example, a small notification may pop up on your windshield to let you know you are approaching an empty parking spot to your right. This pop-up notification may also tell you how much it costs to park in that spot, how many hours you are allowed to park there, and other relevant information. These features would make parking easier, more convenient, and safer for all drivers. ENHANCED SAFETY FEATURES Automotive manufacturers constantly look for new and innovative safety features they can incorporate into the designs of their vehicles. Now, many automotive manufacturers may rely on augmented reality technology to make the driving experience safer than ever before. PSA Groupe, which owns several different automotive brands including Peugeot and Vauxhall, has already started to integrate this technology into its vehicles to keep drivers safe. Many of PSA Groupe’s vehicles use augmented reality to provide drivers with lane keeping assistance, adaptive cruise control, obstacle warning, and pedestrian detection. For example, these vehicles are designed to scan the surrounding environment to identify any pedestrians that the driver is approaching. If a pedestrian is detected, a warning sign and red lines will appear around the person to alert the driver of their presence. These vehicles also use augmented reality to provide adaptive cruise control to drivers. Say you choose to set your cruise control to 70mph. The vehicle will maintain this speed as long as it is safe to do so. But if another car cuts in front of you on the road, the vehicle will automatically lower the speed to ensure you don’t collide with the vehicle. Where does augmented reality come in? As your vehicle adjusts its speed, graphics will be projected onto the windshield to highlight the vehicle that cut in front of you so you understand why you started to slow down. These are several examples of how augmented reality is already being used to enhance vehicles safety features. But it is predicted that in the future, automotive manufacturers will continue to use this technology to bring new and exciting safety features to vehicles. Experts believe that future vehicles may use augmented reality to tell drivers how close they are to other vehicles around them, warn them of bad weather that is quickly approaching, and provide other relevant information. [https://relaycars.gryffin.com/wp-content/uploads/2021/01/image-24.jpeg] INTERACTIVE NAVIGATION Many drivers use their smartphones to look up driving directions. This is a great way to get detailed, accurate directions to your final destination. But looking down at your phone every few minutes while behind the wheel is not safe. To solve this problem, some automotive manufacturers have started to use augmented reality technology to provide interactive navigation assistance to drivers. The 2020 Mercedes-Benz GLE is one of the first vehicles to be designed with interactive navigation features supported by augmented reality technology. The touchscreen within the vehicle’s infotainment center shows you a live feed of the road in front of you, which is recorded using a camera built into the windshield. Using augmented reality technology, navigational graphics such as arrows and speed limit signs are superimposed onto the live video feed. Traffic information, such as upcoming road blocks or accidents, is also superimposed onto the live video. Experts believe that automotive manufacturers will continue to use augmented reality technology to enhance navigation features found in vehicles. For instance, some experts predict that navigational directions will be projected right onto the windshield rather than the infotainment center’s touch screen. This way, the navigational graphics and traffic information can be superimposed directly onto the driver’s real world environment rather than onto a live video feed. If this prediction is right, drivers will no longer need to look down at their smartphones or take their eyes off of the road to look at their infotainment center’s screen. Instead, the directions they need to get to their final destination will be visible directly on their windshield. Navigational graphics will be projected onto the road to provide instructions on where to turn, when to switch lanes, when to merge, and more. Based on these predictions, there’s no doubt that augmented reality will completely transform both the way vehicles are designed and the driving experience for consumers.
3 Trends Changing the Auto Industry – A Shift to Dealer Digitization
According to customer THINK “research shows that 76% of companies are investing in emerging technology”. Of these emerging technologies, virtual reality, augmented reality, and artificial intelligence are driving significant changes. These changes weren’t all positive for all sectors, but the auto industry is one that has remained mostly stable and even experienced increased demand in some areas since the outbreak. Because of concerns over COVID19 transmissions, people started to feel less comfortable using public transport. The desire to stay separate from others and protect family members for exposure led to an increase in demand for personal transportation. Consumers are no longer only doing research online, but also committing to major purchases without seeing the items in person. Much of this is due to the information (reviews) available, flexible return policies, videos, and Virtual Reality. Combined, these allow shoppers to feel comfortable committing to large purchases, such as buying cars online, without the need to visit the shop or dealer in person. [https://relaycars.gryffin.com/wp-content/uploads/2021/01/image-18.jpeg] COVID19 AND CAR SALES While there have certainly been dips in the demand for cars, particularly in areas or countries under lockdown, as things reopen there is an increased desire to have both freedoms of travel and personal transport. COVID19 has meant that many people feel cautious and concerned about the idea of sharing confined and air conditioned spaces with people that they don’t know. Public transport has also become less convenient in many areas, some with restrictions, shielding, face mask requirements, and more. All of this has led to people wanting their own vehicles, to be able to travel freely and comfortably. A report from Cars.com stated that “the pandemic is causing nearly 20% of the respondents to consider buying one”. They also reported that: “More than 40% of respondents to a Cars.com survey said they’re using ride-sharing services less often since the COVID-19 outbreak in the U.S. Of these people, 93% said they’re using their personal cars more often.” CUSTOMERS ARE AVOIDING UNNECESSARY TRAVEL AND SALES STAFF This is not a new trend. Consumers are simply demanding a more convenient and pleasant purchasing experience. They do not want to be harassed by sales staff and don’t want to travel to several locations in order to find what they want to buy. Even those that like to shop in person will often do a lot of online research first. They’ll want to narrow down their selection to just 2-3 possibilities before making a trip out to buy. This means that even high-street retailers need to make sure their products, offers, and service are clearly visible online to their target consumers. Instead of simply finding the nearest dealers, consumers are looking for convenience. In the case of dealerships, some ways that this is being provided include: VR showrooms VR test drives Reviews (written and video) [https://relaycars.gryffin.com/wp-content/uploads/2021/01/image-19.jpeg] The virtual reality showroom is gaining popularity, as it can allow customers to see available cars in realistic ways, even being able to select different trims or configurations. Virtual reality or augmented reality apps for car sales don’t necessarily need a headset either. Many can simply be viewed through a mobile phone screen. If you do have a headset, then the experience is almost as realistic as actually being at the showroom. CUSTOMERS ARE DEMANDING ONLINE CONVENIENCE AND PERSONALIZATION FROM RETAILERS A lot of shoppers actually don’t want to go to a store or dealership. They want to proceed through the entire process, from research to purchase, entirely online. This is providing new challenges and new benefits to dealers. As shoppers become more accepting and trusting of online purchasing, other aspects of how dealerships operate are also changing. Think with Google reported “dealers before COVID-19 have been able to offer vehicle delivery, [but] only a very small number have the online capabilities to execute a full vehicle sale online”. Tesla, for example, currently has the facility for shoppers to purchase cars entirely online. They even allow a few days after delivery as a ‘test drive’ period from your home. If the buyer doesn’t like the vehicle they purchase, so long as they are within the terms, they can then return it to Tesla. They also allow for test drive bookings and contactless test drives (removing COVID fears). Modern buyers want to be able to complete most, if not all, of the process from the comfort of their homes. This is resulting in significant changes to how dealers operate, both online and offline. HOW DEALERS ARE DIGITIZING BUSINESS – ONLINE AND OFFLINE As dealers move towards more digitization, things are changing quite rapidly. There is a need to provide convenience, and more often than not, this means entirely online experiences. As some people like to research heavily and then check things out in person, one-way dealerships are providing more convenience to clients by allowing customers to make an “at-home test drive” booking online. The dealer then delivers the car for testing right to the customers door, which is far more convenient, especially for those with busy schedules. [https://relaycars.gryffin.com/wp-content/uploads/2021/01/image-20.jpeg] As virtual reality and augmented reality catch on more and more, dealers are able to provide virtual experiences of cars in showrooms, online, and via installable apps. It can mean that dealers don’t need as many display or test drive models, as customers can be shown all cars and trims virtually. Some even provide virtual test drives, providing a realist experience of the chosen car. This combined with digital configurations means that all colors, trims, and accessories can be demonstrated virtually. Customers can literally create their ideal combination of features, view it in virtual reality, and then test drive it virtually or from a home test drive booking.
The Future is Now: Car-Shopping With Virtual Reality
In the past, showrooms were the only way to get useful information and be able to examine a new car thoroughly before buying it. Today, most car shoppers do the majority of their research online and make their purchases without seeing the item in the real world. Potential car buyers can sometimes spend months reading professional reviews, customer reviews, and watching videos to narrow down their purchases. When they are ready, they simply select the dealer that offers them the best deal to complete their purchase. Virtual reality offers an enhancement to today’s car shopping experience. VR can be used at home by consumers, or in the showroom to showcase models, features or colors that aren’t available in that location. [https://relaycars.gryffin.com/wp-content/uploads/2021/01/CarShoppingWithVirtualReality.jpg] WILL VIRTUAL REALITY CAR SHOPPING BE THE FUTURE OF SHOWROOMS? Virtual Reality and Augmented Reality car showroom apps are emerging as a powerful trend. A spokesperson from RelayCars announced that once the app was released to the general public, “we pulled in over 1.2 million downloads”. This demonstrates the kind of demand and interest that’s driving online and virtual reality car sales. Potential buyers not only can see a car model but as things progress in this field, they will likely be able to fully customize their desired car and share those customizations with dealers. Customers can view every angle, get inside the driver’s seat virtually, learn about the specs, and in some cases, can even take the car for a virtual test drive. If dealers are willing to follow in Tesla’s footsteps, online orders could be the new future. Tesla gets around the ‘hands-on experience’ factor with its more lenient returns policy. This allows the public to shop for the model they like, order it, and then take it for a test drive after it’s delivered. If they later discover they don’t want the car, they can return it (within a strictly limited period) for a refund or to change to another model. With customers turning up to dealerships fully informed and ready to buy, there is also a lot of time saved on the dealer’s side. Hours spent explaining features and following up with sales calls are unlikely to be as needed. Instead, the dealer can focus on closing the sale and not the entire buildup to the sellable stage of the process. [https://relaycars.gryffin.com/wp-content/uploads/2021/01/CarShoppingWithVirtualReality-1.jpg] THE VIRTUAL REALITY CAR-SHOPPING PROCESS Most buyers are going to start out by doing online research. Some might have a car in mind, but most will likely be looking for the best versions of a particular style. For example, they could search for something like “top 10 compact SUV 2020” to find the best-rated options as reviewed by professionals. They might also talk with friends and family for ideas and insights. Once buyers start to narrow down which cars they are most interested in, features and reviews are going to start to have a strong influence on the car they choose. This part could include car comparison charts, reviews, videos, and virtual reality experiences. The challenge is to determine which car is a good fit for the buyer, within budget and with all the features they desire. According to Think with Google, the majority of digital shoppers buying cars prefer to use their mobile phones to do research: “When researching new cars 90% of buyers in Kuwait used their smartphones and 86% in the UAE.” This kind of statistic is not uncommon, as more people prefer to relax and shop from digital devices, or even shop on the move. Mobile shopping trends have been increasing steadily for years, and of course, this fits in perfectly with virtual reality sales. Virtual Reality showrooms offer a ‘polished’ approach to displaying vehicles. Video reviews and articles are good, but they are always from the opinion of the author, even if they do try to stay fairly neutral. Many modern and informed buyers know that reviews are often biased, or even a paid promotion for a vehicle. With virtual reality, buyers get an honest and neutral experience. In a virtual reality showroom, the buyer can see exactly how the car looks in the real world. Some AR apps even allow buyers to place the vehicle in their street or where they choose. Not only can buyers see the vehicle close-up from all angles, including viewing the interior in full virtual reality, but they can interact with other statistics and options as well. VR is a powerful way for buyers to see and interact with cars without visiting a showroom and without a biased sales pitch. In this sense, it helps to increase buyer confidence and makes for a more pleasant shopping experience. Once a buyer finally chooses the car or cars they like, smart shoppers will then look for promotions and offers. Dealers need to be ranking high in search results, as this part is also likely to be mostly done online before visiting. Even negotiations begin online nowadays, with AutoTrader reporting that “56% like to start the negotiation on their terms and 45% like being anonymous to the dealer until they lock in a deal.” Finally, the buyer may decide to visit a nearby dealership or simply order online. This, for dealers and buyers, makes the purchasing process clearer, informed, and faster at the ‘in-person’ stage — a win-win for car buyers and sellers. ARE VR SALES GOOD FOR DEALERS? It might first appear that virtual reality could be taking opportunities away from dealers and their sales teams. However, that isn’t really the case. First of all, virtual reality can be used as a tool for dealers to show off any model, with any trim level, and in any color… all without needing to have the vehicles in stock. This can be done in showrooms, at trade events, or just about anywhere. The end result for dealers is that they can provide a better experience to shoppers, while also not needing to keep as many vehicles in stock. Happy customers are also more likely to make a purchase, and needing less stock should result in reduced costs. At the end of the day, most people that do visit a dealer will at least start their car buying journey with online research. If the virtual reality car shopping experience is good enough, they may not even visit a showroom and instead simply order online. Another angle that is often overlooked is the data these apps and VR experiences can provide to dealers. The interaction within virtual reality could lead to more focus being given to important car features or highlight app/car features that were detrimental to making a sale. This data can then be used to develop better experiences for customers, and make the entire buying experience more enjoyable. [https://relaycars.gryffin.com/wp-content/uploads/2021/01/CarShoppingWithVirtualReality-2.jpg] WILL IT AFFECT SHOWROOM JOBS? Some areas of the showroom and staffing may be reduced or eventually disappear, but other positions will be created in relation to developing and promoting virtual reality car shopping platforms. It is also unlikely that showrooms will completely disappear in the near future, as showrooms act as real-world reminders of car brand names. Dealers will likely want this to continue, even if in more compact or modernized showrooms. VIRTUAL REALITY IS MAKING CUSTOMERS MORE AWARE Having accurate and unbiased information changes how purchases are views. An ‘upsold’ car can later turn out to be a disappointment. However, if a buyer chooses to buy a car after seeing and checking all of its flaws, the same car can turn out to be a pleasant surprise. Sales figures could potentially be increased with the use of VR and AR as marketing tools. Dealers can provide their own virtual online experiences to potential buyers. As more and more people switch to online shopping, virtual reality and 360-degree videos are great ways to attract attention to your products. VR helps buy not only providing a full 360-degree view of cars but also by highlighting and explaining all of the features and functions. This allows potential buyers to spend as much time as they need to really get to know the car. VR and AR headsets can be powerful sales tools, inside and outside of showrooms. As technology has progressed, many VR or AR experiences are now possible with just a mobile phone. Affordable headsets can turn mobile phones into mobile-powered virtual reality devices, making virtual reality accessible to almost anyone with a modern phone. [https://relaycars.gryffin.com/wp-content/uploads/2021/01/CarShoppingWithVirtualReality-3.jpg] WILL CAR-SHOPPING WITH VIRTUAL REALITY BE THE FUTURE? VR and AR are likely to continue to grow in usage by the automotive industry. This approach delivers a balanced and honest view of vehicles to buyers, and in turn, provides an improved buying experience. Many major brands are already online, with their cars being showcased in virtual reality. However, there is no reason only to use dealership virtual reality apps. Others are providing car shopping with VR in ways that allow consumers to compare vehicles in a standardized environment. This helps with comparing sizes and getting a sense of making ‘real world’ comparisons. More VR and AR innovations are sure to develop over the coming years. These uses by the automotive are an exciting and developing twist to the virtual reality marketplace.
Impact of Covid-19 Outbreak on Automotive Augmented Reality Market
In the United States alone, over 100,000 businesses have permanently closed due to the pandemic, which has left millions of people unemployed and looking for work. Nearly every industry has been impacted by the COVID-19 pandemic, including the automotive industry. Mandatory stay-at-home and lockdown orders, concerns over employees’ safety in the workplace, and a decline in demand for new vehicles have created turbulent times for automotive manufacturers. In fact, it is estimated that there will be a 14-22% decline in automotive sales in the United States, Europe, and China this year as a result of the pandemic. The COVID-19 pandemic has devastated many markets, but others, including the automotive augmented reality market, have thrived during the coronavirus crisis. WHAT IS THE FORECAST FOR THE AUTOMOTIVE AUGMENTED REALITY MARKET? In 2016, the augmented reality and virtual reality global market was valued at $6.1 billion. Just four years later, the augmented reality and virtual reality global market tripled, reaching $18.8 billion. But augmented reality is still considered a relatively new technology, so experts believe that the market as a whole will continue to grow even more as a larger number of companies begin to embrace it. Much of the growth in the global augmented reality market has been driven by the automotive industry, so it’s not surprising that this segment of the market is also expected to grow in the years ahead. Experts predict that the global automotive augmented reality market will reach $9 billion by the year 2025, with a compound annual growth rate (CAGR) of over 30%. OPPORTUNITIES FOR THE AUTOMOTIVE AUGMENTED REALITY MARKET DURING THE COVID-19 CRISIS These predictions show that the automotive augmented reality market is expected to continue to grow despite the challenges faced by the automotive industry due to the coronavirus pandemic. This is because the COVID-19 pandemic has actually created a number of new opportunities for the automotive augmented reality market. Here are some of the many ways that automotive manufacturers should use augmented reality technology during this unprecedented global crisis: IMPROVING THE BUYING EXPERIENCE FOR CONSUMERS Many consumers are hesitant to visit automotive dealerships in person due to the risk of contracting COVID-19. As a result, automotive manufacturers must use augmented reality technology to provide a safer buying experience for consumers. Thanks to augmented reality technology, consumers will no longer need to visit a dealership to shop for a new vehicle. Instead, they can complete every step of the car buying process from the comfort of their home. Using augmented reality, consumers can project images of vehicles onto their surroundings. This allows them to inspect and explore a virtual vehicle in the same way that they would inspect and explore a vehicle in a dealership showroom. The technology is so advanced that consumers can even open the car door and peek inside to check out the interior. This experience won’t be limited to consumers with augmented reality headsets. Dealerships can incorporate augmented reality elements on their website to give prospective buyers the chance to take a virtual tour of any vehicle in their inventory. Basically, this technology gives dealerships the power to create virtual showrooms so they can reach social distancing consumers. Now, consumers can compare, contrast, and research different vehicles without ever stepping foot into a dealership. Once they are ready to make a purchase, they can contact the dealership to complete the transaction. [https://relaycars.gryffin.com/wp-content/uploads/2021/01/AutomotiveAugmentedRealityMarket.jpg] INCREASING FOCUS ON SAFETY FEATURES As more people were ordered to shelter in place or stay at home, the number of vehicles on the roads in the U.S. drastically decreased. Many people initially believed that the roads were safer since there was less traffic, but that turned out not to be the case. In May, the National Safety Council released a report that revealed that the average number of miles driven in March 2020 decreased by 18% compared to March 2019. Despite this decrease in miles driven, the number of motor vehicle fatalities per mile driven increased by 14%. In other words, people in the U.S. weren’t driving as much, but they were still getting into fatal accidents at a much higher rate. This does not mean that traffic fatalities increased by 14%, but rather traffic fatalities per mile driven. But some states, such as Minnesota and Louisiana, recorded an increase in the total number of traffic fatalities during the coronavirus crisis. This means there were more traffic fatalities in these states even though there were fewer people on the roads. These shocking statistics have led to an increased focus on driver safety, which creates an opportunity for automotive manufacturers to use augmented reality technology. Automotive manufacturers can appeal to consumers who prioritize driving safety by offering vehicles with a wide range of safety features supported by augmented reality technology. This may include a head-up display that projects crucial information onto the driver’s windshield so they never need to take their eyes off of the road while behind the wheel. For example, the head-up display may provide them with navigational directions, pedestrian detection, collision detection, road hazard warnings, and more. The coronavirus pandemic has led many consumers to prioritize their safety, health, and wellness. Because of this, now is the perfect time for automotive manufacturers to utilize augmented reality to create a safer driving experience for their consumers. [https://relaycars.gryffin.com/wp-content/uploads/2021/01/AutomotiveAugmentedRealityMarket-1.jpg] CREATING AN OPPORTUNITY FOR VIRTUAL MAINTENANCE ASSISTANCE Some consumers may put off taking their vehicles into dealerships or auto repair shops for maintenance during the COVID-19 crisis in order to avoid potential exposure. However, putting off routine maintenance of a vehicle could lead to bigger issues and more costly repairs in the future. Fortunately, there is a way for automotive companies to help consumers who want to care for their vehicles without risking their health. Some industry experts suggest that augmented reality technology can be used to provide maintenance assistance to consumers who do not want to bring their vehicle in for maintenance or repairs due to health concerns. For example, a consumer could wear an augmented reality headset that projects instructions on how to change their vehicle’s oil. Images, graphics, and other digital elements could be projected directly onto their vehicle to guide them through each step in the process. This would give consumers the opportunity to perform simple, routine maintenance tasks at home until they feel comfortable enough to visit an auto repair shop or dealership in person. Consumers may even be able to use augmented reality headsets to get help from an experienced mechanic. The headset could connect to the mechanic’s headset, allowing them to see what’s in front of the consumer. This connectivity could help mechanics remotely and safely identify issues and guide consumers through the process of making simple repairs. ALLOWING MANUFACTURERS TO CONDUCT VIRTUAL TRAINING SESSIONS Many companies—inside and outside of the automotive industry—have used augmented reality technology to assist with employee training. But now, the opportunity to use augmented reality technology for training purposes is greater than ever before due to the coronavirus pandemic. Many employees of automotive companies will have no other choice but to work from home until the health crisis is over. These employees may be new to remote work, which means they may need additional training to help them adjust to this major change in their work environment. Augmented reality technology can help during this difficult transition period. For example, employees can use augmented reality headsets to project the text from a certain handbook or manual onto their environment. This way, they won’t have to bring stacks of manuals and books home with them in order to perform their job duties. Instead, they can access the text using their augmented reality headsets. Augmented reality headsets can also help these employees set up the devices they need to safely and securely work remotely. The headset can project instructions on setting up company-owned devices and equipment to make the process as simple as possible. Augmented reality could also be used to train workers on new production processes. The coronavirus pandemic could potentially disrupt the automotive supply chain. For this reason, experts have warned automotive manufacturers to be prepared to change the design of a vehicle or the materials used in its construction. If a manufacturer is forced to make either of these changes, the workers involved in the production process must be retrained. Automotive manufacturers who find themselves in this unenviable situation can rely on augmented reality headsets to quickly and efficiently update and train their workers on these changes. [https://relaycars.gryffin.com/wp-content/uploads/2021/01/AutomotiveAugmentedRealityMarket-2.jpg] ENABLING COLLABORATION FOR REMOTE WORKERS A growing number of automotive employees may be working remotely, but this doesn’t mean they are working completely independently. Collaboration plays an important role in the automotive industry, but it can be a challenge for remote workers. However, augmented reality technology can enable collaboration for automotive workers, especially those who work in automotive design. Automotive design teams can use augmented reality technology to collaborate on the design of new prototypes. This technology gives designers the opportunity to inspect, interact with, and make changes to a virtual prototype when working remotely. This can help automotive designers perform their job duties—and meet tight production deadlines—even when working remotely. At least one automotive manufacturer, Ford, already uses augmented reality headsets to create virtual prototypes during the design process. Now, other automotive manufacturers may need to follow Ford’s lead in order to survive the COVID-19 pandemic. Forecasts for many markets are bleak as a result of the COVID-19 pandemic. However, that’s not the case for the automotive augmented reality market. Despite the global health and economic crisis, the automotive augmented reality market will continue to experience tremendous growth in the years ahead.
Here’s How to Utilize Virtual Car Shopping During COVID-19
As we all navigate through the current COVID-19 pandemic, we have seen the closure of non-essential businesses, including car dealerships. This may have temporarily thrown a wrench in the plans of those whose lease was ending or those immediately due for a new vehicle. The act of social distancing is more important now than ever, and as we commit to staying home and safe, there are ways to use this time to still properly prepare for future vehicle purchases. In fact, the ability to use virtual and augmented reality to change the entire car shopping experience, right from home, is huge. The New Stay at Home Process The history of the car dealership goes back over 100 years, and despite the huge advancements we have seen in vehicle technology, the customer’s car buying journey has remained largely unchanged up until now. According to a recent study by Cox Automotive, 83% of consumers want to do one or more steps of the car purchase process online and 7 out of 10 are more likely to buy from a dealership if they could start the process online. As these shopping habits show just how significant the online process has become, utilizing new technologies will significantly help cater to the needs of us staying at home right now. During self-isolation, the way consumers are able to educate themselves on potential vehicles ahead of time is crucial to cutting down time spent on the dealer lot once they do open back up. These consumers are already using platforms like third-party automotive websites, and the likes of Google and YouTube to research their next car and begin the process online. These customers rely on the internet to keep them informed, and now, there is great opportunity to offer even more informative ways to shop for cars. The Wonders of a Virtual Showroom For those not as familiar with the difference between the two, virtual reality uses a headset or mobile device to create a fully immersive 3D experience. Augmented reality places digital images onto a user’s view of the real world, most often through a smartphone. Both VR and AR create digital worlds that take the user on a journey, whether they are playing a game or shopping. And when it comes to car shopping, simply just looking at images of cars online ahead of a dealership visit is no longer going to cut it. Consumers will want to view vehicles features up close, examine every angle, and truly experience a potential car before purchase. With virtual and augmented reality technologies, this process is entirely disrupted — for the better. By using virtual reality car shopping technology, consumers can view 360° views of any car they are interested in, right from their homes. These views include interior and exteriors shots, and can be accessed from mobile phones, tablets, or even simply through a website. With this simple step added, users are transported to that virtual car showroom, completely transforming how they view and interact with potential cars and turning research into a full experience, rather than just a basic process with standard imagery or video. Apps such as RelayCars are already offering these services, including thousands of stereoscopic vehicle views. In fact, a high-quality VR library of assets is essential to helping out customers who cannot go to the dealer right now, and ultimately changing the future of car shopping as we know it. And it doesn’t stop at VR. With augmented reality technology, users can project and view a potential car from their phone straight into their living room or driveway, viewing it in a real-life setting within moments. Even just 10 or 15 years ago, this type of research taking place before ever stepping foot on a dealership lot was unheard of. This process brings the dealership to the customer during a time when they cannot leave home. Think of how many steps there are once you arrive onsite at the dealership – there’s the initial viewing of vehicles, a test drive portion, paperwork, price negotiation, and even more. With the ability to use virtual and augmented reality to view vehicles right from home, customers are now entering a whole new world. These processes help customers to optimize time then spent on the dealer lot, and create a way to be respectful of not only their time, but the dealer’s time too. Once you are able to finally get behind the wheel of a car for a test drive, any questions you had during this research phase will immediately start to be answered, making this process truly come full circle. Researching your future car doesn’t have to take a back seat while physical dealer locations are closed. In fact, proper preparation through AR and VR is key to changing the future of the overall dealership experience as we know it. Once lots open back up, the days of spending hours upon hours at a car dealership will be behind us. RelayCars is available online and for download at the Apple App Store and Google Play Store. ### The potential of virtual and augmented reality car shopping is vast, whether a car shopper is exploring the latest models in their living room or being guided through a virtual tour of a vehicle’s features in the showroom. However, to fully harness the possibilities of virtual reality car shopping, it is essential to choose the best applications and assets to build flexible, functional virtual showrooms. By partnering with pioneers in automotive VR technology, such as RelayCars and EVOX, dealers can ensure they have the resources they need to create compelling VR experiences. EVOX® Images offers the largest automotive virtual reality library, available for consumers to view through the RelayCars app. Contact our team or call us at 310-605-1400 to learn more about our innovative imaging solutions.
Here’s How to Utilize Virtual Car Shopping During COVID-19
As we all navigate through the current COVID-19 pandemic, we have seen the closure of non-essential businesses, including car dealerships. This may have temporarily thrown a wrench in the plans of those whose lease was ending or those immediately due for a new vehicle. The act of social distancing is more important now than ever, and as we commit to staying home and safe, there are ways to use this time to still properly prepare for future vehicle purchases. In fact, the ability to use virtual and augmented reality to change the entire car shopping experience, right from home, is huge. The New Stay at Home Process The history of the car dealership goes back over 100 years, and despite the huge advancements we have seen in vehicle technology, the customer’s car buying journey has remained largely unchanged up until now. According to a recent study by Cox Automotive, 83% of consumers want to do one or more steps of the car purchase process online and 7 out of 10 are more likely to buy from a dealership if they could start the process online. As these shopping habits show just how significant the online process has become, utilizing new technologies will significantly help cater to the needs of us staying at home right now. During self-isolation, the way consumers are able to educate themselves on potential vehicles ahead of time is crucial to cutting down time spent on the dealer lot once they do open back up. These consumers are already using platforms like third-party automotive websites, and the likes of Google and YouTube to research their next car and begin the process online. These customers rely on the internet to keep them informed, and now, there is great opportunity to offer even more informative ways to shop for cars. The Wonders of a Virtual Showroom For those not as familiar with the difference between the two, virtual reality uses a headset or mobile device to create a fully immersive 3D experience. Augmented reality places digital images onto a user’s view of the real world, most often through a smartphone. Both VR and AR create digital worlds that take the user on a journey, whether they are playing a game or shopping. And when it comes to car shopping, simply just looking at images of cars online ahead of a dealership visit is no longer going to cut it. Consumers will want to view vehicles features up close, examine every angle, and truly experience a potential car before purchase. With virtual and augmented reality technologies, this process is entirely disrupted — for the better. By using virtual reality car shopping technology, consumers can view 360° views of any car they are interested in, right from their homes. These views include interior and exteriors shots, and can be accessed from mobile phones, tablets, or even simply through a website. With this simple step added, users are transported to that virtual car showroom, completely transforming how they view and interact with potential cars and turning research into a full experience, rather than just a basic process with standard imagery or video. Apps such as RelayCars are already offering these services, including thousands of stereoscopic vehicle views. In fact, a high-quality VR library of assets is essential to helping out customers who cannot go to the dealer right now, and ultimately changing the future of car shopping as we know it. And it doesn’t stop at VR. With augmented reality technology, users can project and view a potential car from their phone straight into their living room or driveway, viewing it in a real-life setting within moments. Even just 10 or 15 years ago, this type of research taking place before ever stepping foot on a dealership lot was unheard of. This process brings the dealership to the customer during a time when they cannot leave home. Think of how many steps there are once you arrive onsite at the dealership – there’s the initial viewing of vehicles, a test drive portion, paperwork, price negotiation, and even more. With the ability to use virtual and augmented reality to view vehicles right from home, customers are now entering a whole new world. These processes help customers to optimize time then spent on the dealer lot, and create a way to be respectful of not only their time, but the dealer’s time too. Once you are able to finally get behind the wheel of a car for a test drive, any questions you had during this research phase will immediately start to be answered, making this process truly come full circle. Researching your future car doesn’t have to take a back seat while physical dealer locations are closed. In fact, proper preparation through AR and VR is key to changing the future of the overall dealership experience as we know it. Once lots open back up, the days of spending hours upon hours at a car dealership will be behind us. RelayCars is available online and for download at the Apple App Store and Google Play Store. ### The potential of virtual and augmented reality car shopping is vast, whether a car shopper is exploring the latest models in their living room or being guided through a virtual tour of a vehicle’s features in the showroom. However, to fully harness the possibilities of virtual reality car shopping, it is essential to choose the best applications and assets to build flexible, functional virtual showrooms. By partnering with pioneers in automotive VR technology, such as RelayCars and EVOX, dealers can ensure they have the resources they need to create compelling VR experiences. EVOX® Images offers the largest automotive virtual reality library, available for consumers to view through the RelayCars app. Contact our team or call us at 310-605-1400 to learn more about our innovative imaging solutions.
IT REALLY FEELS LIKE YOU’RE IN A TESLA WITH NEW OCULUS QUEST VR HEADSET
BY SASHA LEKACH – 05/01/19 With Tesla test drives scaled back, your options to check out a Model 3 or Model S sedan are limited enough that you may need to turn to virtual reality to see the car before you buy it. Oculus’s new VR headset could become the next best way to check out cars without going to a dealership or car lot — or in Tesla’s case, without buying the car sight unseen. The Oculus Quest was officially announced this week at Facebook’s F8 conference and when it arrives on May 21 for $399 most of the attention will be on how it performs for gaming apps. For the non-gamers out there, however, the headset can give you a glimpse at what thousands of cars look like. It’s one of the many non-gaming uses for VR that’s getting a boost with the new device. RelayCars has a vast library of car imagery that lets you take a look at each one from all angles and while sitting in the driver seat. With images of 13,000 vehicles and counting, you can take a peek at the Tesla Model 3, a Mini Cooper, or even a Prius. During a demo, COO Gina Callari compared the app to a “virtual auto show” where you can hop from car to car, getting a feel for the vehicle without driving it. The library is stocked with luxury vehicles, big trucks, and everyday options like a Honda Accord or Toyota Camry. It’s available for free on Oculus Go, Samsung’s Gear VR, HTC Vive, and other VR platforms (there’s also a mobile and tablet app with 360-degree images available for perusing for the VR-disinclined among us), but with the new Quest, the viewing experience will greatly improve. Currently you can explore the front seat of a Tesla, or any of the available cars, from a fixed point of view in VR. You can look all over, but you can’t see what the car is like from the back seat or from other positions. With the Quest the RelayCars VR app will give what’s known as 6DOF, or six degrees of freedom, instead of the usual 3DOF: pitch, roll, and yaw. The additional three are forward/backward, left/right, and up/down. This means you can move around the space, kneel down, get closer to the steering wheel, check out a decal on the trunk — much like you’d do when walking around a real car. It gets you that much closer to a realistic experience. So instead of trudging to a litany of different dealerships when looking for a new car, you can browse through various options the same way you shop for everything else: online. SOURCE: https://mashable.com/article/oculus-quest-vr-cars-relaycars-app/
DRIVING THE FUTURE OF AUTOMOTIVE RESEARCH AND SHOPPING
By Gina Callari – 05/23/19 Today’s fragmented and increasingly digital landscape presents greater challenges for dealerships to meet the needs of car shoppers. According to a 2016 AutoTrader study, only 17 out of 4,002 surveyed customers were satisfied with the current car-buying process. Just a few years ago, shoppers could visit up to five dealerships before deciding on a car, now they’re visiting just one. Today, people demand to be as informed as possible before stepping foot on the dealer lot. However, dealers can draw more of these consumers to their dealership by supplementing the research process with more immersive and interactive experiences that increase shopper engagement. With this idea, augmented reality and virtual reality are positioned to be key factors driving the future of automotive research and shopping. For those not as familiar with these terms, augmented reality refers to an enhanced image or environment as viewed on a screen or other display, produced by overlaying computer-generated images in a real-world environment, while virtual reality is a realistic and immersive simulation of a 3D environment, created using interactive software and hardware, and experienced or controlled by body movement. Research shows that 80% of car shopping interactions prior to visiting the dealership are now digital. YouTube and Google are providing much of that research content and augmented and virtual reality applications can bridge the gap between online research and visiting the dealership. Millions of people are using mobile AR technology every day with applications like Snapchat and games such as Pokemon Go. Consumer-friendly glasses are rumored to be shipping in late 2019 or early 2020 from Apple, Facebook, Samsung, Google and others. Cell phones and tablets support these experiences for the time being until those headsets or AR glasses do come to market. The benefits of augmented reality is that it allows shoppers to bring the vehicle off of a flat 2D screen and into their space to view color changes, trim levels and hundreds of cars, all from the comfort of home. Virtual reality transports the user to a virtual dealership where they can experience many of the same benefits. In addition to the home, this technology is useful for portable dealerships or pop-up stores in larger locations, such as shopping malls. Through this technology, the research experience becomes immersive and consumers can customize a potential car within moments. On-site, the dealer may compare vehicles side-by-side and show models that they don’t have on the lot currently. When browsing without a guide, the consumer is able take their time and pace their research. The time is now for dealerships to become mindful of this changing landscape and find ways to utilize technology to help aid in the car selling process. Virtual and augmented reality platforms leverage the next wave of computing to drive engagement, win customers’ interest and improve sales. SOURCE: https://www.autosuccessonline.com/driving-the-future-of-automotive-research-and-shopping/
NEW RELAYCARS IN ROOM-SCALE ALLOWS CAR BUYERS, DEALERS TO EXPERIENCE HYPER-REALISTIC VIRTUAL REALITY SHOWROOM
By Auto Success Staff Writers – 03/08/19 RelayCars, the virtual reality automotive experience that puts consumers in the driver’s seat of thousands of vehicles, has announced the expansion of their VR suite of applications with the launch of the new RelayCars, now in room-scale. Room-scale allows users to move freely and naturally around the virtual showroom while customizing car options and researching their next car. Furthering the future of vehicle research and shopping, this technology gives consumers a more efficient way to shop for cars that may not physically be on the dealer lot or even browse from the comfort of their homes. Dealers will now have the ability to instantaneously showcase a wider range of vehicles and help consumers to make informed purchasing decisions through the realistic environment. RelayCars in room-scale is available via digital distribution platform, Steam. While wearing a headset, car shoppers and dealers are able to select vehicles from the expanding model selection and place them in one of three designated spaces on the showroom floor. Users can interact with the environment and the showcased vehicle models to view them from any angle, change the vehicle color, enter the interior, step back to check out the vehicle in full, or walk right up to the vehicle for a more in depth look at the design and detail. “This is the first time we are offering our users the opportunity to walk around their customized virtual showroom to observe, compare and interact with the vehicles on another level,” Gina Callari, RelayCars COO, said. “The technologies enabling virtual reality are evolving at such a pace that being able to provide more interactive and realistic experiences for our customers is of the utmost importance to us at RelayCars.” RelayCars in room-scale is available on Steam-supported VR headsets including Windows Mixed Reality, HTC Vive and Oculus Rift. Link: RelayCars SOURCE: https://www.autosuccessonline.com/relaycars-roomscale-virtual-reality-showroom/
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