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Augmented reality is eating the real-world! The substitution of physical products by holograms

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  • Rauschnabel, Philipp A.

Abstract

There is a general consensus that augmented reality (AR), once it becomes a mainstream medium, can disrupt marketing and management in many ways. One frequently discussed – but mostly unanswered – question is whether AR will render existing physical products and services obsolete or not. Based on a holistic deliberation of AR Marketing and four studies with more than 2,000 respondents, this article investigates consumer acceptance of holographic AR substitutes for real products. The findings show fairly high acceptance rates for some product categories (e.g., Post-it notes, manuals, navigation technology) and low ones for others (e.g., pets, memorabilia). This study also identifies certain product and consumer characteristics (e.g., utilitarian benefits, not visible to others, digitalized products, familiarity with AR) as drivers of substitution. Finally, this paper presents multiple marketing implications, such as the disruptive potential of AR, the possibility of “copying and pasting” the real world including the threat of virtual counterfeits, the role of offline ad blockers, and four generic response strategies for companies.

Suggested Citation

  • Rauschnabel, Philipp A., 2021. "Augmented reality is eating the real-world! The substitution of physical products by holograms," International Journal of Information Management, Elsevier, vol. 57(C).
    • Handle: RePEc:eee:ininma:v:57:y:2021:i:c:s026840122031478x
    DOI: 10.1016/j.ijinfomgt.2020.102279
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    Cited by:

    1. Jayaswal, Pragya & Parida, Biswajita, 2023. "The role of augmented reality in redefining e-tailing: A review and research agenda," Journal of Business Research, Elsevier, vol. 160(C).
    2. Nannan Xi & Juan Chen & Filipe Gama & Marc Riar & Juho Hamari, 2023. "The challenges of entering the metaverse: An experiment on the effect of extended reality on workload," Information Systems Frontiers, Springer, vol. 25(2), pages 659-680, April.
    3. Tamara Kasamani & Alaa Abass & Nehale Mostapha, 2022. "The Antecedents and Consequences of Customer Inspiration: The Mediating Role of Perceptual Fluency in the Online Shopping Context," International Review of Management and Marketing, Econjournals, vol. 12(5), pages 5-11, September.
    4. Francesca Serravalle & Milena Viassone & Giacomo Chiappa, 2022. "Sensory disclosure in an augmented environment: memory of touch and willingness to buy," Italian Journal of Marketing, Springer, vol. 2022(4), pages 401-417, December.

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