Augmented Reality, Augmented Trust: How Augmented Reality Enhances Consumer Trust In Online Shopping

Intended Contribution to Knowledge: Online shopping has become a common practice among consumers worldwide (Nielsen, 2017). Since the transactions over the internet take place without personal contact, consumers are generally concerned about their purchases (Chen & Dhillon, 2003). It is therefore important for brands and companies to generate consumer trust in online contexts. On the other hand, Augmented Reality (AR) has emerged as a relevant interactive technology in the marketing environment. It is the ability to overlay the physical environment with virtual elements that can interact with the physical environment in real time. It consequently holds the potential to alter many consumer activities. Hence, there is a growing need to better understand its impact on consumer behavior (Javornik, 2016). In this research, we aim to study how the technology of AR affects consumer trust in an online shopping context. Literature Foundations: This study builds on consumer trust theory and adoption of new technologies. Research Method: Following an ethnographic approach, participants used AR in their homes as an opportunity to mix their personal spaces with virtual furniture within a mobile app that was developed for this purpose. Findings and implications: This research suggests that AR technology can serve as a coping strategy to either increase or decrease consumer trust in online contexts. We add to the literature by proposing that this new technology increases consumer trust by six motivators (problem-solving, benevolence, reduced psychological distance, interactivity, novelty, and enjoyment) and decreases consumer trust by two demotivators (need for touch concerns and feeling of intrusion). The authors also illustrate a few age differences regarding the adoption and usage of this new technology. Furthermore, it was found that AR also affects both, consumers and brands. Some marketing cases affected by the usage of AR are consumers’ expertise and satisfaction, brand evaluations and purchase intention.