Skip to Content
Technical Articles

A Retail Solution Powered by Augmented Reality and SAP Commerce Cloud— An Innovative Approach

A retail solution powered with augmented reality and SAP Commerce Cloud- Doesn’t it sound very interesting?

Customers always love to be surprised by their favourite brands and enjoyable shopping experience is expected in this competitive market. I am going to share a very interesting prototype we have built recently that helps companies to not only impress customers but transform their buying experience.

Before we proceed further it’s very important for us to understand the evolution of the Retail industry. I am not going to bore you with the full story but the images below should be easy enough to follow (from left to right).

Starting from the top left (17-20th century), the first image shows the retail industry in antiquity. Then Man realized we needed a standard way to commercialize the market. And the question ever since has always been “what’s next?”. Lately, the biggest challenge has been integrating Augmented Reality into existing commerce solutions. But now thanks to SAP, by using open API’s provided by SAP Commerce Cloud, we were able to build a full end-to-end experience prototype. The SAP Convenience Store— a fully functional augmented retail store.

Augmented reality(AR) in nutshell –

AR converts the surrounding environment you are in into a digital interface and can place virtual (3D) objects into the real world, in real-time. This is done by superimposing contextual data into space or onto a real object. There are numerous ways to use the AR experience— which is now built-in for the latest devices. Here are some relevant stats.

  • By 2020 there will be 1 billion AR users.
  • By 2022 there will be 3.5 billion AR users.
  • 100 Million users will shop using AR in-store and online by 2020. (Especially during this period of time due to the virus)

According to research the following are the most popular sectors for AR usage.

  • 60% – Furniture
  • 55% – Clothes
  • 39% – Foods and beverages
  • 35% – Footwear
  • 25% – Cosmetics
  • 25% – Jewellery
  • 22% – Toys

Now after seeing this data you must be thinking can we really use AR in the Retail industry? The answer is definitely, and I will explain why.

SAP convenience store –

SAP Convenience Store seamlessly integrates SAP Commerce Cloud, SAP Conversational AI  and Qualtrics to improve the process for sellers and provide an immersive shopping experience to customers. Here’s a brief video of our demo for your understanding.

This app enables shopping in a real supermarket setting, where customers are able to browse real products available for purchase in the comfort of their home. Here’s the process:

  1. User logs in using validated credentials from SAP Commerce Cloud.
  2. Application syncs with our system to fetch the catalogue and map the appropriate 3D models that will eventually be placed in front of the customer.
  3. The user engages our chatbot (SAP Conversational AI) for the latest offers and trending products.
  4. A survey by Qualtrics for feedback will follow after checkout.
  5. A product shelf is customized with relevant items for the user’s next purchase using their feedback and purchase history.

This is a classic example of x+o data. (x: experience data / o: operational data) Capturing user feedback directly from the customer and using this data to create a more personalized shopping experience has never been easier.

Below is the architecture the application is built on.

Architecture –

      SAP Commerce Cloud

  • Realize end-to-end processes
  • Including cart checkout
  • Product content management
  • Promotions
  • Order management
      Qualtrics 
  • iQ engine for text-based analysis (hidden insights)
  • Assortment planning
  • Recommendations
  • Range or ordered products
       SAP Conversational AI
  • Natural language processing
  • Use preconfigured bot
  • Integration of SAP Commerce Cloud
  • In-app navigation

Conclusion

If commerce solutions can leverage intelligent technologies for the Smart shopping experience, this could revolutionize the way we as consumers shop on a day-to-day basis, while bringing companies closer to their customers. I hope you enjoyed this blog post!

 

Please go through my next blog to check how you can manage 3D models on SCP –https://blogs.sap.com/2020/04/29/3d-model-management-with-aws-s3-on-sap-cloud-platform/

Stay tuned-in for my next blog post to discuss in detail the architecture used to build this prototype and feel free to reach out to me for any questions.

 

 

References-

3 Comments
You must be Logged on to comment or reply to a post.