How Virtual Reality Will Improve the Future of Marketing?

Published On : 26 Sept 2019

Virtual reality is mushrooming in commercial space. With the coming years, it is set to redefine the way we look at things. Technological advancements greatly impact digital marketing and virtual reality is one of them. Although, VR has not gone mainstream, yet some brands are experimenting with it and creating engaging and personalised content for their customers. For example, Pokemon Go, a VR-based gaming app took the world by storm with its release in July 2016.

However, before deep-diving into the subject, let’s understand what is Virtual Reality and how will it improve the future of marketing:

Virtual reality 

VR is a computer-generated artificial environment.  

Enables immersive user experience in a virtual world. 

Connects brands with people through shared experiences. 

Based on headset style, it provides great intensity you could ever discover be it; travelling, gaming, sky diving or more.  

Tech companies like Facebook, Apple, Google, Samsung, Sony and HTC are heavily investing in Virtual Reality. 

Virtual Reality is growing diversely growing every year with new technological advancements. 

Growth of virtual reality 



Presently, the VR industry revenues hit $7 billion. More than 65% of the revenue came from headset this year

VR revenues set to grow 10 times by 2020.  

12% of user content created, while VR cameras made up other 11.6%.

Virtual reality’s unprecedented growth will greatly drive content based on head-mounted displays. 

There are 171mn VR users worldwide. 

VR will have 250-300mn users by 2020. 

The user base is further set to grow as more companies produce more products and ways to consume content. Many firms are investing in VR products. 

According to Global Web Index study 2016, two out of five people between 16 to 34 years of age are interested in VR headset. And the ratio is consistently going up. 

Virtual reality for marketers

According to tech crunch, revenue from virtual reality will focus on following business models. Perhaps, new advertising platforms like e-com sales, local business traffic, etc. which help drive over 75% of its revenue. 

Hardware sales

E-commerce sales

Ad spend

Mobile network data

Mobile network voice

In-app purchases


Premium Apps

Enterprise / B2B 

Hardware sales + Ad spend + E-commerce sales + Mobile network data = 75% Revenue 

Future marketing

VR drives emotional engagement

Emotional engagement is a significant factor in driving traffic. Storytelling is compelling and drives enormous transformation by conveying stories that help people connect and relate easily. 

As per Neilsen YuMe’s study 2016, 34% of users are highly engaged for the experience, not just the video content. 

Virtual reality drove 17% better reaction compared to video and 27% better reaction compared to 2D. 

Perhaps, emotion-based marketing is capable of associating individuals with brands in ways that promotional advertising cannot. 

VR improves content marketing

Will open doorways to intuitive, innovative, and engaging content.

Change the game of content. Eg. Ikea’s VR marketing strategy drives in more engagement with an iOS app called Ikea Place that can be used to try diverse household items at home or office. Thus, concludes you don't need to visit a store for furniture shopping. 

 Enables giving a free hand to experiment and examine things with the usage of virtual reality instead of talking about it in a blog.


Investing in VR is the need of the hour to keep up with the latest trends in marketing. Introducing VR will give an opportunity to brands to stand out from the rest and explore a new prospect to connect with their audience.

Many companies are creating VR-based products, and are putting more resources to improve the technology. We will now see virtual encounters that promote higher engagement and cooperation. VR will become a key player in the advertising scene for the time to come.



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