Let’s go ‘phygital’ - The impact of in-store augmented reality on patronage intentions and store purchase
(A2023-113309)

AUTHORS

Waldemar Toporowski, University of Goettingen; Denise Pape, University of Goettingen, Chair of Marketing and Retail Management

ABSTRACT

The integration of digital capabilities into the physical retail environment, as well as an increased focus on creating an experiential edge, are increasingly becoming differentiators in brick-and-mortar retail. One technology, that has the potential to transform the retail experience is augmented reality (AR). This paper aims to investigate whether in-store AR technologies can motivate patronage intentions and incentivize customers to return to the store. A field study was conducted to investigate the proposed relationships. Hedonic and utilitarian values perceptions were found to increase patronage intentions, while ethical values perceptions were found to be decreasing. A high level of customer innovativeness was able to counteract this negative effect. We were also able to show that the presence of in-store AR is increasing actual store purchases, not only for consumers who pursue specific shopping goals but also for consumers who visit the store more leisurely.