Can Shopify Bring Immersive Shopping to SMBs?

We hear a lot about “phygital” shopping, such as 3D virtual try-ons. Among the common chorus of value propositions, it engenders buyer confidence, such as knowing that the couch fits or the shoe colors match. That confidence can lead to higher eCommerce conversions and reduced return rates.

On the user end, interest is growing due partly to the escalating spending power of Gen Z. As they cycle into the adult consumer population, they bring their camera-native tendencies with them. However, all the above glowing visions of immersive shopping are gated by adoption on the merchant end.

One issue is that implementation is easier said than done. So a common course is to work with established systems that have been ironed out and packaged up by the likes of Snap. But even those 3D creation and interaction design tools leave a workflow gap: 3D product models themselves.

Here we’re talking about the 3D representations of products that are the centerpiece of virtual try-ons. They have to be representative of textures, colors, etc. And though any manufactured product has a CAD model that can be used, they have to be compressed and optimized for e-commerce (especially mobile).

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SMB Friendly

This 3D-model bottleneck is starting to be alleviated by players that want to streamline and democratize the process. They include VNTANA in 3D model management, optimization, and deployment. On the capture/creation end, there are players like CG Trader that do high-end 3D product models.

Meanwhile, these democratization efforts continue to progress… and they need to do so if this technology is to reach the elusive state of SMB adoption. For example, Apple’s Object Capture lets developers build 3D model-creation into their apps to empower merchants’ immersive shopping efforts.

All the above is already being demonstrated by Shopify. Last month, it integrated the latest flavors of Object Capture in iOS 17. This lets merchants scan their products to create 3D models using the iPhone Pro’s LiDAR scanner as opposed to advanced photogrammetry equipment that was previously required.

This completes the circle for immersive shopping workflows. Merchants can then import 3D models for zoom & rotate carousels on their e-Commerce sites (e.g., Google Swirl) or AR lenses (e.g., Snapchat). The former happens on 2D screens while the latter activates the camera for scene placement.

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Slow Drip

Stepping back, though all the above presents opportunities and operational efficiencies for e-commerce players, there’s still adoption friction among brands, much less SMBs. Here, the lesson is the same as with past tech revolutions, such as mobile marketing: develop early competency rather than fall behind.

This will play out through a common sequence. First, early-adopter brands will offer immersive shopping. Then consumers will get a taste for it and start to get acclimated to the technology. That acclimation then evolves into expectation. And that’s the moment when immersive shopping reaches a tipping point.

Any brands or retailers that haven’t adopted the technology at that point are immediately behind. And like the early days of the smartphone era, this puts laggards at a competitive disadvantage. That’s followed by years of playing catchup… which is costlier than adopting the technology in the first place.

And then there are SMBs, whose adoption comes later as the technology trickles down-market (we’ve seen this movie before). Those who adopt will gain early-mover advantages for the next era of digital commerce. It will take years for this sequence to play out, but we’ll be patiently watching the slow drip.

Editor’s note: Localogy will tackle this topic on stage during the upcoming Place Conference on November 7th in New York.

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