8 Apr 2022
|
Mike Boland
AWE Talks: AR Unlocks the $46B Auto Accessories Market
AR/VR Weekly
Welcome back to AWE Talks, our series that plucks the greatest hits from the vast AWE conference archive. Fortunately, we now have a fresh batch of session footage from AWE USA 2021 to draw upon. And 2022's show will already be here in June.
For this week's talk, we spotlight Toyota's efforts to breathe new life into its auto-accessories business. As a $43 billion market, it's been erstwhile neglected through poor execution and tepid marketing. Can AR come to the rescue?
– After-market accessories for new cars are collectively a $46 billion industry.
– We're talking everything from new rims to roof racks to tow packages.
– Sometimes premium packages can bring in up to $5K in additional revenue.
– But there's uneven execution in selling these items at the dealership level.
– 49 percent of the time, they don't even have images available for the accessories.
– Toyota saw an opportunity to circumvent this ineffective last mile and go 'DTC.'
– Enter its Toyota Accessory Augmented Reality Program (TAAR).
– This features an app that consumers can use to visualize accessories.
– The car itself is the activation marker, which can be digitally dressed up.
– Car buyers can do so at the dealership or after they get home in the coming weeks.
– The latter can tap into greater customer lifetime value (CLV) for the life of the car.
– Toyota started with Tacoma, as trucks alone drive $14 billion in annual accessory sales.
– A more immersive UX and sales process is hoped to boost that revenue over time.
– Toyota will also begin rolling out the program to other car models, such as Prius.
– The program will evolve over time as AR itself does, including LiDAR penetration.
See the full video below along with quick-hit takeaways.
Want more XR insights and multimedia? ARtillery Intelligence offers an indexed and searchable library of XR intelligence known as ARtillery Pro. See more here.
For this week's talk, we spotlight Toyota's efforts to breathe new life into its auto-accessories business. As a $43 billion market, it's been erstwhile neglected through poor execution and tepid marketing. Can AR come to the rescue?
– After-market accessories for new cars are collectively a $46 billion industry.
– We're talking everything from new rims to roof racks to tow packages.
– Sometimes premium packages can bring in up to $5K in additional revenue.
– But there's uneven execution in selling these items at the dealership level.
– 49 percent of the time, they don't even have images available for the accessories.
– Toyota saw an opportunity to circumvent this ineffective last mile and go 'DTC.'
– Enter its Toyota Accessory Augmented Reality Program (TAAR).
– This features an app that consumers can use to visualize accessories.
– The car itself is the activation marker, which can be digitally dressed up.
– Car buyers can do so at the dealership or after they get home in the coming weeks.
– The latter can tap into greater customer lifetime value (CLV) for the life of the car.
– Toyota started with Tacoma, as trucks alone drive $14 billion in annual accessory sales.
– A more immersive UX and sales process is hoped to boost that revenue over time.
– Toyota will also begin rolling out the program to other car models, such as Prius.
– The program will evolve over time as AR itself does, including LiDAR penetration.
See the full video below along with quick-hit takeaways.
Want more XR insights and multimedia? ARtillery Intelligence offers an indexed and searchable library of XR intelligence known as ARtillery Pro. See more here.
