Want to know if virtual try-on tech is worth the investment compared to physical stores? Here’s what the data shows:
Metric | Virtual Try-On | Physical Stores |
---|---|---|
Return Rates | 10-40% lower | 24.4% average |
Sales Impact | Up to 200% higher | Baseline |
Setup Costs | $5K-50K+ | $50K-500K+ per location |
Conversion Rate | Up to 94% higher | 10-15% standard |
Monthly Costs | $19-500 | $14K-43.5K |
Key Findings:
- Virtual try-on cuts returns by 64%
- Customers spend 33% more per order
- Setup costs are 90% lower than physical stores
- 71% of buyers want AR shopping options
- Stores save millions on return processing
Quick Numbers:
Brand | Results After Virtual Try-On |
---|---|
ASOS | Returns dropped 40% |
Warby Parker | Return rate under 2% |
Avon | Sales up 320% |
Gunners | Orders up 40% |
Bottom line? Virtual try-on isn’t just cheaper to run – it makes more money. You’ll spend less on returns, reach more customers, and sell more products.
This guide breaks down the exact costs, ROI calculations, and steps to get started with virtual try-on tech.
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Cost Comparison
Here’s what the numbers tell us about physical stores vs. virtual try-on systems.
Physical Store Costs
A physical store burns through cash FAST:
Cost Category | Monthly Expenses | Annual Total |
---|---|---|
Rent/Lease | $3,000-$15,000 | $36,000-$180,000 |
Insurance | $500-$2,000 | $6,000-$24,000 |
Staff Wages | $8,000-$20,000 | $96,000-$240,000 |
Inventory Storage | $2,000-$5,000 | $24,000-$60,000 |
Utilities | $500-$1,500 | $6,000-$18,000 |
And here’s the kicker: stores lose $550 billion each year on returns alone.
Virtual Try-On Setup Costs
Virtual try-on needs some upfront investment:
Setup Component | Cost Range |
---|---|
Software Development | $50,000-$250,000 |
3D Scanning Equipment | $20,000-$100,000 |
Cloud Storage (yearly) | $5,000-$20,000 |
E-commerce Integration | $10,000-$50,000 |
Product Photography | $10,000-$50,000 |
Don’t want to build from scratch? Here are some ready-to-go options:
| Platform | Monthly Cost | Features | | — | — | | PICTOFiT | $99 | Up to 1,000 visitors, 5 2D items | | YouCam Makeup | $549 | Cosmetic try-ons, 14-day trial | | AstraFit | $129 | Sizing recommendations |
"AR Try-Ons are reshaping this retail aspect by providing customers with a virtual appropriate room experience from their homes." – Alon Grinshpoon, Founder & CEO at echo3D
Here’s the bottom line: Virtual try-ons cost less than running a physical store for one year. Better yet? They slash return rates by 64%. That’s money in your pocket.
Success Measurements
Let’s look at how virtual try-on compares to physical stores in hard numbers.
Sales Success Rates
Here’s what happens when browsers become buyers:
Shopping Method | Browser-to-Buyer Rate | Extra Sales Impact |
---|---|---|
Physical Stores | 10-15% | Base comparison |
Standard Online | 2-3% | -70% vs stores |
With Virtual Try-on | 40-50% higher | +94% conversion vs standard online |
The numbers speak for themselves: Shopify found that adding AR to products boosts conversions by 94% compared to standard online shopping.
Product Return Numbers
Returns eat into profits. Here’s what the data shows:
Shopping Type | Return Rate | Annual Cost Impact |
---|---|---|
In-Store | 10.0% | $373 billion |
Online (No Try-on) | 26.4% | $248 billion |
Online with Virtual Try-on | Results by Company: | |
– Build.com | -22% vs standard | Saved millions in returns |
– Macy’s VR | Under 2% | Beat 5-7% industry standard |
– SeekXR clients | -25% vs standard | Major savings for Overstock |
– Shopify merchants | -40% vs standard | Across multiple categories |
Let’s break down what this means:
- Stores lose $14.50 to returns for every $100 in sales
- 58% of shoppers buy multiple sizes and send back what doesn’t work
- Size problems cause 42% of returns
"Turning store visits into touchless brand experiences in a fun, hygienic and effective way meets the irreplaceable comfort of shopping from your couch with confidence." – Doug Stephens, Author of "Resurrecting Retail: The Future of Business in a Post-Pandemic World"
Here’s how companies cut returns with virtual try-on:
- 1822 Denim: Uses 2 customer photos for sizing
- ASOS: Shows clothes on similar body types
- Warby Parker: Virtual glasses try-on cuts returns
- Knix: Runs thousands of virtual fittings monthly
Bottom line: Virtual try-on helps stores boost sales AND cut return costs.
Shopping Experience
Here’s what happens when people shop in different ways:
Shopping Method | Time Investment | Customer Behavior |
---|---|---|
Physical Store | 1-2 hours | Travel, parking, browsing, fitting rooms, checkout |
Standard Online | 30-60 mins | 25-31% of shoppers research products |
Virtual Try-on | 10-30 mins | 30-40% of customers make faster decisions |
Want to know something cool? EQ3’s furniture shoppers who used AR:
- Spent 42% less time making decisions
- Bought stuff 2x faster
- Were 112% more likely to buy
How Virtual Try-on Changes Shopping
Check out these numbers:
Tool | What It Does | The Results |
---|---|---|
Sephora Virtual Artist | Shows makeup on your face | 58% fewer returns |
IKEA AR View | Places furniture in your room | 2x bigger orders |
Valentino Virtual Try-on | Shows how clothes fit | More first-time buyers |
Wayfair Room Planner | Shows items in your space | 40% more sales |
Here’s what online shopping looks like today:
- 58% of people shop online every week
- 10% buy something EVERY day
- 89-96% spend at least 10 minutes researching
- 20-32% compare options for hours
Virtual try-on tools make shopping better by:
- Showing how products look in your space
- Letting you test different options
- Giving you exact measurements
- Finding what matches your style
Bottom line? AR tools help you shop faster AND smarter. You make better choices, return less stuff, and save time and money. It’s a win-win for stores and shoppers.
Money Impact
Here’s how virtual try-on stacks up against physical stores when it comes to money:
Income Analysis
The numbers tell an interesting story:
Metric | Virtual Try-on | Physical Stores |
---|---|---|
Add-to-Cart Rate | 20.15% (Oceane) | 3% (Industry avg.) |
Order Value | +33% higher | Baseline |
Conversion Rate | +94% with AR | Standard rates |
Sales Speed | 2x faster purchases | Regular pace |
Want to see what this means in real money? Check these out:
- Boca Rosa hit $900,000 in sales in just 4 hours using TINT
- Smitten Cosmetics added 50 global resellers in 3 months
- Gunners boosted orders by 40% after adding AR
Running Costs
Here’s what it costs to keep the lights on:
Expense Type | Virtual Try-on | Physical Stores |
---|---|---|
Returns Processing | $58 per return, -64% returns | $58 per return |
Setup Costs | $19-Custom/month (Viewit 3D) | $$$$ (rent, utilities) |
Inventory | Digital models only | Physical stock needed |
Staff Needs | Online support team | Full retail staff |
The numbers from the National Retail Federation paint a clear picture:
- Returns hit retailers for $761 billion in 2022
- Over half (52%) of clothing returns? Wrong size
- Virtual try-on drops returns by up to 36%
Bottom line? Virtual try-on saves money by:
- Slashing return costs
- Cutting back on physical space
- Running with smaller teams
- Managing less inventory
Here’s proof it’s catching on: The AR market jumped from $5.9 billion in 2019 to $24.2 billion in 2021. Businesses aren’t just trying it – they’re betting on it.
Growth Potential
Let’s look at the numbers behind virtual try-on vs physical stores:
Aspect | Virtual Try-on | Physical Stores |
---|---|---|
Customer Base | Global reach, 24/7 access | Limited by location |
Market Size | $9.17B (2023) to $46.42B (2030) | Location-dependent |
Growth Rate | 26.4% CAGR (2024-2030) | Varies by region |
User Base | 1.5B current users, 4.3B by 2025 | In-store traffic only |
Geographic Coverage | US: 24% CAGR, Asia: 28% CAGR | Single location reach |
Here’s what these numbers mean:
North America owns 39.04% of the market. But check this out: Asia Pacific markets (like India) are growing FAST at 30%+ rates.
Want to know the BIGGEST difference between virtual and physical? Resources.
Resource Type | Virtual Try-on Impact | Physical Store Impact |
---|---|---|
Space | Digital models only | Physical inventory space |
Inventory | No physical stock needed | Full stock per location |
Staff | Online support team | Full retail staff per store |
Technology | 3D/AR platform ($19/month) | POS systems, security |
Market Testing | Quick digital updates | Physical merchandise cycles |
Big brands are jumping on board:
- H&M: Launched virtual dressing rooms in Germany (2021)
- Walmart: Partnered with Zeekit (2022) for US-wide virtual try-on
- Burberry: Opened a virtual store in Japan (2021)
The numbers don’t lie:
- E-commerce jumped from 15% (2019) to 21% (2021) of total retail sales
- Online shopping will hit $5.4 trillion by 2026 (up from $3.3 trillion)
- 71% of buyers want AR-enabled shopping
- 40% will pay MORE for AR try-before-buy
- Virtual product interaction boosts conversion rates by 94%
Bottom line? Virtual try-on is growing faster and costs less than physical stores. Plus, it reaches WAY more people.
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Setup Requirements
Component | Virtual Try-On | Physical Store |
---|---|---|
Basic Tech | Web platform, 3D viewer | POS system, security cameras |
Software | AR platform ($19/month) | Inventory management system |
Hardware | Server space, computers | Cash registers, displays |
Staff Tools | Online support dashboard | Physical equipment |
Integration | E-commerce platform plugins | Store management software |
Tech Needs
Here’s what you NEED to run virtual try-on:
Tech Component | Purpose | Cost Range |
---|---|---|
3D Models | Product visualization | $50-200 per item |
AR Platform | Powers try-on experience | $19-500/month |
Web Integration | E-commerce connection | $0-100/month |
Cloud Storage | Model hosting | $20-200/month |
Analytics Tools | Performance tracking | Included in AR platform |
Want to get started? Here’s how:
- Choose an AR platform: Viewit 3D costs $19/month
- Create 3D models: Get .GLB files of your products
- Add product info: Upload your CSV files
- Test everything: Make sure it works
- Connect to your store: Link to your e-commerce platform
Employee Training
Training Area | Time Required | Focus Points |
---|---|---|
Basic System | 25-30 minutes | Platform navigation |
Customer Support | 2-3 hours | Helping users with AR |
Tech Issues | 1-2 hours | Common problem fixes |
Data Analysis | 1-2 hours | Reading metrics |
Let’s look at what VR training can do:
Walmart cut their training time from 8 hours to just 30 minutes. IKEA runs AR training in 16 languages. Lowe’s uses VR to teach product knowledge.
Your team needs to know:
- How to guide customers through virtual try-on
- Basic tech troubleshooting
- Customer feedback collection
- Product info updates
Here’s a fact that might surprise you: PwC found VR-trained employees focus 4x better than those in classrooms.
Success Stories
Here’s what happens when brands use virtual try-on tech:
Brand | Results | Implementation |
---|---|---|
Nike | Lower returns + higher app sales | Nike Fit (AR shoe sizing) |
Wacoal | 60% conversion (new customers) | Virtual bra scanner |
Bailey Nielsen | Sales up 400% (AU), 600% (CA) | Eyewear try-on |
Nike made this happen by buying Invertex from Tel Aviv. They tested their AR tech in stores across Pasadena, Seattle, and Dallas. Here’s what Nike’s VP of Digital Products, Michael Martin, said about it:
"If the shoe that was designed around that last was designed with one of our more flexible fabrics, then that toe is not going to be such a problem."
More brands are jumping on board:
Company | Tech | What Happened |
---|---|---|
Sephora | PulpoAR makeup try-on | Online sales up 35% |
Ray-Ban | Face-mapping glasses | Fewer returns |
L’Oréal | Instagram AR filters | More engagement |
Baume & Mercier | Watch try-on app | Better sales |
The numbers don’t lie:
- 60% of people want to shop where there’s AR
- 35% shop more with AR tools
- 40% will spend more for AR try-on
Take Sephora. They teamed up with PulpoAR and let people test makeup through their phones or webcams. Result? Online makeup sales shot up 35%.
"This allowed customers to experiment with different shades and styles of makeup and find products that were perfect for them, all from the comfort of their own home." – Glimpse Case Study
Big names using virtual try-on now:
- Clothes: Dior, Marc Jacobs, Prada
- Shoes: Nike Virtual View
- Glasses: Lenskart, Sunglass Hut
- Beauty: Maybelline, Garnier
ROI Math Guide
Let’s look at how virtual try-on stacks up against physical stores in terms of returns:
Core Expenses
Cost Category | Physical Store | Virtual Try-On |
---|---|---|
Setup Costs | Rent, fixtures, inventory | Software ($10k-$100k), 3D models ($200-500 each) |
Monthly Costs | Staff, utilities, stock | Platform fees ($19-custom), maintenance (20% of setup) |
Marketing | Print ads, local promos | Digital ads, AR demos |
Returns | Processing, restocking | Digital returns handling |
Money Makers
Revenue Stream | Physical Store | Virtual Try-On |
---|---|---|
Sales Volume | 20% conversion rate | Up to 94% higher conversion |
Average Order | Base amount | 33% higher than base |
Return Savings | Standard returns | 64% fewer returns |
Customer Value | Regular pricing | Premium pricing options |
Here’s the simple math behind it:
Virtual Try-On ROI Formula:
ROI = (Revenue + Return Savings - Setup Costs - Monthly Costs) / Total Investment
Real Brand Results:
Brand | Investment | Results | Timeframe |
---|---|---|---|
Gunners | 3D Model Creation | +40% orders, -5% returns | First month |
Oceane | AR Integration | +573% cart adds (3% to 20.15%) | 30 days |
Boca Rosa | TINT Platform | $900k sales from 64,413 items | 4 hours |
Track These Numbers:
Metric | How to Measure |
---|---|
Conversion Rate | Sales ÷ Visitors × 100 |
Return Rate | Returns ÷ Total Sales × 100 |
Average Order Value | Total Revenue ÷ Number of Orders |
Customer Acquisition Cost | Marketing Spend ÷ New Customers |
"The ROI on that is essentially unquestionable at this point, and super exciting for merchants and for buyers." – Russ Maschmeyer, Shopify’s Product Lead for AR
Here’s what this means in practice: If your store gets 1,200 visitors and makes 150 sales, you’re converting at 12.5%. Add virtual try-on, and that number jumps to 24.25% – nearly double your sales from the same traffic.
What’s Next
The AR shopping wave isn’t just coming – it’s here. And it’s about to get bigger.
Tech Changes Ahead
The numbers tell the story: AR is exploding from $40.12 billion (2022) to $1.19 trillion (2032). Here’s what’s happening right now:
Technology | Current State (2024) | Expected by 2025 |
---|---|---|
AR Users | 72 million (North America) | 100+ million |
Smart Mirrors | $3.8 billion market | $9.1 billion |
Mobile AR Revenue | $24.5 billion | $36.26 billion |
Virtual Try-on Usage | 61% prefer AR shopping | 75% expected adoption |
Smart mirrors are the new fitting rooms. Walk up, pick what you want to try, and see it on your body – no undressing needed.
"The ROI on virtual try-on tech is essentially unquestionable at this point, and super exciting for merchants and for buyers." – Russ Maschmeyer, Shopify’s Product Lead for AR
Shopper Habits
The data shows how shopping habits are shifting FAST:
Behavior Change | Impact on Shopping |
---|---|
Fitting Room Comfort | 65% of women and 54% of men avoid physical fitting rooms |
Return Rates | Virtual try-on cuts returns by 64% |
Purchase Speed | 200% more engagement with AR vs standard photos |
Social Shopping | 110.4 million shoppers using social channels by end of 2024 |
Big brands aren’t just testing the waters – they’re diving in:
Brand | AR Implementation | Results |
---|---|---|
Rebecca Minkoff | 3D Product Views | 27% more orders after 3D views, 65% more after AR |
Cambridge Satchel | Shopify AR Tools | Higher match confidence for bag purchases |
Burberry | Virtual Coat Try-on | More color and style testing before buying |
Bottom line? AR isn’t just a cool feature anymore – it’s becoming the new normal for shopping. With mobile apps and social media leading the charge, your phone is turning into your personal fitting room.
Next Steps
Here’s what you need to know about getting started with virtual try-on:
Business Size | Budget Range | Recommended Approach | Timeline |
---|---|---|---|
Small (<50 employees) | $5K-15K | Viewit 3D Free Plan, 20 products max | 2-4 weeks |
Medium (50-500) | $15K-50K | SaaS platforms with ready integrations | 1-2 months |
Large (500+) | $50K+ | Custom AR solutions with full product catalog | 3-6 months |
Here’s what you’ll pay:
Cost Type | Small Business | Medium Business | Large Business |
---|---|---|---|
3D Models | €50-150/item | €200-350/item | €500+/item |
Platform Fees | $0-19/month | $100-500/month | Custom pricing |
Staff Training | 1-2 days | 1 week | 2-3 weeks |
Integration | DIY/Basic | API/Custom | Full Enterprise |
1. Pick Your Products
Start with items that have high return rates:
- Glasses and sunglasses
- Makeup products
- Furniture pieces
- Clothing items
Model Type | Cost | Time to Create |
---|---|---|
Simple Items | €0 (AI-generated) | 1-2 days |
Basic Products | €50-150 | 3-5 days |
Complex Items | €200-350 | 1-2 weeks |
3. Choose Your Platform
Platform Type | Best For | Integration Time |
---|---|---|
Web-Based AR | Quick starts | 1-2 weeks |
Mobile Apps | Full features | 2-4 weeks |
Social AR | Marketing focus | 1 week |
4. Test and Launch
Testing Phase | Duration | Focus Areas |
---|---|---|
Internal Testing | 1 week | Staff feedback |
Beta Testing | 2 weeks | Selected customers |
Soft Launch | 1 month | Limited products |
Full Release | Ongoing | All products |
Here’s the bottom line: Virtual fitting room sales will grow from $5.71B (2024) to $25.11B (2032). And since only 1% of retailers use AR now, you’ve got a chance to get ahead.
"The ROI on virtual try-on tech is essentially unquestionable at this point, and super exciting for merchants and for buyers." – Russ Maschmeyer, Shopify’s Product Lead for AR
My advice? Start small with high-return products. Track your results. Then scale what works.
Wrap-Up
Here’s what the data shows about virtual try-on compared to traditional shopping:
Metric | Virtual Try-On | Traditional Shopping |
---|---|---|
Return Rates | 10-40% lower | 24.4% average |
Sales Impact | Up to 200% boost | Baseline |
Customer Adoption | 32% currently use | 65% prefer in-store |
Setup Costs | $5K-50K+ | $50K-500K+ per location |
Market Growth | $8.5B by 2028 | Flat/declining |
Want to get started? Here’s what works best for different goals:
Business Goal | Best Virtual Try-On Solution | Expected Results |
---|---|---|
Lower Returns | Size recommendation tools | 10% fewer returns |
Boost Sales | Full AR implementation | Up to 30% conversion boost |
Test Market | Web-based AR pilot | 20% order value increase |
Start with these high-return product categories:
- Eyewear
- Makeup
- Clothing
- Accessories
Pick your tech solution based on your budget and timeline:
Solution Type | Investment | Timeline |
---|---|---|
Basic Web AR | $5K-15K | 2-4 weeks |
Mobile App | $15K-50K | 1-2 months |
Full Platform | $50K+ | 3-6 months |
"The number of mobile AR users is expected to reach 1.73 billion by 2024, making virtual try-on a must-have rather than a nice-to-have feature." – Venkatesh Alagarsamy, AR Expert, Fingent
Here’s what major retailers have done:
Company | Solution | Results |
---|---|---|
Walmart | Zeekit acquisition | Enhanced photo try-on |
Amazon | Mobile AR tool | Shoe try-on launch 2022 |
Gap | Size tech | 30-day return window |
Sephora | Virtual Artist | 11.4% conversion boost |
Track these metrics to measure success:
- Return rate changes
- Conversion rate impact
- Average order value
- Customer satisfaction scores
The bottom line? Virtual try-on cuts costs and boosts sales through lower returns, higher conversions, better customer data, and reduced operating costs.
FAQs
How does AR affect online shopping?
AR changes how people shop online. Instead of guessing what a product looks like, customers can see it right in front of them. Here’s what the numbers tell us:
Impact Area | Results |
---|---|
Customer Engagement | 19% increase |
Conversion Rate | 94% higher for AR users |
Purchase Value | 40% willing to pay more |
Time Spent Shopping | 20.7% longer browsing time |
Product Views | 1.28x more items viewed |
Look at these real-world results:
Home Depot sees 2-3x more purchases from AR users. DFS Furniture’s conversion rate jumped 112% with AR. Warby Parker cut returns by adding virtual glasses try-on. Ulta’s GLAMLab lets people test makeup looks from home.
What are the benefits of virtual try-on clothes?
Virtual try-on is changing both shopping and selling. Check out these numbers:
Benefit | Impact |
---|---|
Return Rate Drop | 40% fewer returns |
Sales Boost | Up to 200% increase |
Customer Confidence | 61% prefer AR shopping |
Cost Savings | Less inventory needed |
Market Growth | 77% CAGR through 2023 |
"Online stores can fix returns problems – and costs – by helping customers get the right fit from the start." – Helen Scurfield, Innovation and Development Director, Asendia UK
Here’s why this matters: 46% of online clothing returns happen because clothes don’t fit right. Virtual try-on fixes this by:
- Showing how clothes fit on YOU
- Comparing different sizes
- Suggesting your best size
- Finding styles for your body type