Commoditization to Automation WTF Do We Do?

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Snapshot: We’re an interactive marketing agency with a passion for emerging media and technologies

Expertise: Augmented Reality, Interactive TV App Dev, Gen X and Y Demo

Products: ZugMO, Webcam Social Shopper / Fashionista, ZugSTAR, ZugMUG

Founded: 2001

Location: Los Angeles (HQ) / New York

Web: www.zugara.com

Blog: www.weareorganizedchaos.com

Facebook: www.facebook.com/zugara

YouTube: www.youtube.com/zugara

Twitter: www.twitter.com/zugara

PROFILE

HELLO… WE’RE ZUGARA

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Commoditization – Graphic (Definition)

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Commoditization

Commoditization is the dilution of a market sector's internal differentiation and competitive nuances in favor of a mass market where price alone determines consumer behavior. The industry's mode of competition thus moves away from innovation of the underlying, commoditized product and toward alternative methods of building value.

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Now anybody could claim they were ‘digital’ or ‘interactive’…

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Kinda like how Twitter’s made all these ‘social media experts’ today

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Looking Back to The Year 2000…

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The Web

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That Changed In Only 10 Years Time…

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We Saw AR For the 1st time…

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And knew this was the future of interaction with digital information

VIEW INTERACT

ACCESS

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So We Set Out To Build Our Own AR Tech….So We Wouldn’t Have to Answer

To “The Man”

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We Targeted E-Commerce and Identified A Problem…

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Shopping Offline Is An Emotional Experience

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Online, Not So Much

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The “consumer experience” has made very little progress in the last 15 years

Amazon1990’s

Amazon2010

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45% of U.S. online shoppers abandoned shopping carts multiple times over a span of three weeks. (Paypal & ComScore)

Abandoned Carts

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Conversion rates are low, with the “gold standard” being between 2% and 3%

Low Conversions

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The average return rate for online clothing retailers is about 20% but goes as high as 50% for some. (Forrester Research)

High Return Rates

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What If Consumers Could Have That “At The Rack” Experience, Online?

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Enter Augmented Reality

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Augmented Reality Shopping - Fashionista

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• Commoditization of AR Services/Tech

• Open Source vs. IP

• Partnership Ecosystem

• Overall Balance of Services vs. Software Development

Challenges Still Ahead…