The tech revolution is coming to advertising. Chatbots are replacing humans, data threatens our privacy, and the blockchain is linking it all together. In our series on tech and advertising, we’re taking a look at how the industry is being reshaped.
By some estimates virtual reality (VR) will be a US$162 billion industry by 2020. Only 50% of this figure is projected to come from hardware sales; the rest will be revenue from software, content and services. It’s not just the size of the market that advertisers cannot afford to ignore, but the unique potential of VR to influence choices and behaviour.
This is due to something called the Sense of Presence. Presence is the feeling that you are actually within the scene, as if you are physically there.
It’s unlike watching a video through a flat screen. Anyone who has tried VR will have experienced this phenomenon, as the following video explains:
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Stanford researchers examine the psychology of virtual reality.
The platforms are coming
While VR advertising is still in its infancy, it is growing. The use of VR adverts is somewhat closely linked to the rise of VR apps, but not completely.
The rapid adoption of 360-degree videos is one sign of this. These videos are shot with special cameras, allowing viewers to choose where they look during playback. They can already be delivered across a wide variety of platforms, including Facebook and Youtube.
This video of a fashion show illustrates perfectly how the technology works. The viewer can spin around using their computer mouse or by moving their phone, yet it still works as a normal video.
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Source: The Conversation