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AR + AI in Advertising: Smarter, Personalised Campaigns

Wondering how to break through the noise and actually get noticed by today’s consumers?

Between ad blockers, short attention spans, and increased privacy regulations, traditional targeting just isn’t cutting it anymore. Marketers are scrambling for new ways to deliver relevance without being creepy and conversions without being disruptive.

Enter Augmented Reality (AR) and Artificial Intelligence (AI), two powerhouse technologies that, when combined, are rewriting the rules of digital advertising.

These aren’t just shiny buzzwords. Together, AR and AI are enabling hyper-personalised, high-converting campaigns that are as delightful to users as they are effective for brands. So, how exactly are AR and AI joining forces to build campaigns that feel more like experiences and less like ads? Let’s dive in!

What Are AR and AI and Why Are They a Big Deal in Marketing Right Now?

In plain terms:

  • AR (Augmented Reality) overlays digital content onto the physical world, think filters, try-ons, 3D product demos.
  • AI (Artificial Intelligence) uses data to make decisions or predictions, like personalising experiences based on behaviour or preferences.

When used together, they unlock a level of context, relevance, and interactivity that static ads simply can’t deliver. And the timing? Couldn’t be better.

  • Privacy-first internet is limiting traditional tracking.
  • User attention spans are shrinking, you’ve got seconds to make an impact.
  • Consumers expect personalisation, but not at the cost of privacy.

Smarter Campaigns Start with Intelligent Data

Gone are the days of one-size-fits-all ad campaigns. With AI embedded into AR campaigns, brands can now create real-time responsive content that adapts to each user. Imagine:

  • A virtual sneaker try-on that recommends styles based on what the user interacted with earlier.
  • A makeup AR filter that uses AI to match skin tone and suggest personalized looks.
  • An interactive AR story that changes dynamically based on time of day or weather.

AI isn’t just tagging users; it’s interpreting behaviour, context, and preferences to shape immersive experiences in the moment.

Personalisation Meets Play: Why AR Is the Ultimate Storyteller

Let’s face it, AR is fun. It’s playful. It turns passive scrolling into active participation.

Now, combine that with AI, and things get really interesting. Here’s what AI brings to AR:

  • Contextual awareness: Recognise when, where, and how to serve content.
  • Emotional engagement: AI can analyse facial expressions to adapt the AR experience in real time.
  • Predictive storytelling: Based on previous interactions, AI can guide the user through a journey (like a virtual fitting room that remembers your past outfits).

The result? A bespoke experience that feels more like a game or conversation than an ad.

Why Brands Are All In: 4 Big Benefits of AR + AI in Ads

  1. Skyrocketing Engagement AR ads hold attention up to 4x longer than traditional formats. Add AI and they become impossible to ignore.
    Stat: 2.4x more attention with AR ads vs. non-AR ads
  2. Higher Conversion Rates AI doesn’t just personalise, it predicts. That means showing the right product, in the right way, at the right time.
    Stat: AR try-ons drive 94% higher conversion rates
  3. More User-Generated Content People love sharing AR experiences, especially when they’re tailored to them.
    Stat: 70% of consumers say AR makes ads more engaging
  4. Smarter Optimisation in Real-Time AI learns what works, then updates the experience mid-campaign for better results.
    Stat: AI-powered personalisation increases ROI by up to 30%

Chronic Cellars – The World’s First AI-Powered Sommelier in AR

How do you turn a wine bottle into an interactive brand storyteller?

What They Did:

  • Scanned the wine bottle with a phone, no app required
  • An AI-generated 3D character (Chronic Carl) emerged in AR, matching the brand’s edgy tone
  • Powered by ChatGPT and custom AI training, Carl could:
    • Recommend wine pairings
    • Answer questions about the wine
    • Share quirky, brand-aligned commentary

The Results:

  • 50% longer engagement time than average AR campaigns
  • Massive UGC generation via social shares
  • Boost in both online and in-store engagement
  • Created a new standard for AI + AR interaction in the beverage space

What’s Next? Predictive, Emotional, Spatial Campaigns

The future of advertising lies in intelligent immersion. Here’s what’s on the horizon:

  • Spatial AR in retail: AI + AR guiding customers in-store, providing context-aware offers, live styling tips, or gamified experiences.
  • Predictive personalisation: Campaigns that know what the user needs before they do, based on micro-behaviours and signals.

The next wave of ads won’t just be seen. They’ll be felt. And remembered. AR and AI aren’t just enhancing advertising, they’re reinventing it. Together, they create: personalised experiences, smarter targeting, higher engagement, better outcomes for brands and users alike.

Want to build smarter, more immersive campaigns?

Begin with something simple, an AR experience that grabs attention. Layer in AI to personalise it. Measure what resonates. Then scale your success.
Let’s connect and explore how AR and AI could bring fresh ideas to your brand!

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Augmented Reality on Every Level of the Marketing Funnel

Wondering how to keep users engaged from awareness to purchase and beyond? Consumers are tuning out traditional ads. They scroll past. They skip. They block. It’s not a platform problem, it’s an experience problem.

Augmented Reality (AR) is flipping that script. It’s transforming ads into interactions, passive viewers into participants, and product pages into playgrounds. But here’s the real shift: AR isn’t just a brand awareness tool anymore. It’s making an impact at every single level of the marketing funnel. So what if the key to unlocking full-funnel growth isn’t another campaign… but another dimension?

What is Augmented Reality Marketing (and Why Now)?

AR marketing blends digital elements, like 3D visuals or animations, into a user’s real-world view, typically via their smartphone camera. Think Snapchat filters, virtual try-ons, or digital product demos layered over your surroundings.

Why is it exploding now? Simple:

  • Smartphones are AR-ready.
  • Consumer attention spans are short.
  • Immersive, interactive content wins every time.

Awareness Stage: Capturing Attention in 3D

In the age of ad fatigue, attention is your most precious currency. AR earns that attention.

Why AR works here: It’s immersive. It’s novel. And it demands interaction.

Use Cases:

  1. Branded AR lenses on Social Media – These become viral assets, letting users “wear” your product and share it instantly.
  2. Event-based AR Experiences – Enhance physical events (festivals, expos, launches) with AR mirrors, games, or interactive installations that participants can share online.

Proof in the numbers:

  • AR ads generate 2x the visual attention of non-AR ads. (Snap AR Attention Impact)
  • 80% of users are more likely to share an AR experience. (Mindshare Layered)

More attention = more reach = more top-of-funnel power.

Consideration Stage: Educating & Delighting

Once they’re aware of your brand, prospects enter the “maybe” zone. Here, education and product familiarity are key—and AR delivers both.

Why AR works here: It reduces friction and brings the product to life, no need to imagine, just explore.

Use Cases:

  1. 3D product walkthroughs: Think of a consumer being able to “hold” your product in their space.
  2. Immersive brand storytelling: AR billboards, murals, packaging etc.

Social Proof:

  • 74% say AR makes the buying process easier. (Snap x Deloitte Digital)
  • AR drives 94% higher conversion rates during product education. (IAB AR Buyer’s Guide)

Your product becomes not just visible, but memorable.

Conversion Stage: Try Before You Buy Gets a Digital Upgrade

The biggest barrier to buying? Uncertainty. “Will it look good?” “Will it fit?” “Is it worth it?”

Why AR works here: It replaces guesswork with confidence. AR helps users answer those questions without leaving their home.

Use Cases:

  1. Virtual try-ons for beauty, fashion, or eyewear.
  2. True-to-scale AR for furniture, home decor, even cars.

Results?

  • AR users are 2.4x more likely to convert. (Statista, AR Advertising Worldwide)
  • 41% more likely to purchase after interacting with AR. (Deloitte x Snap)

Friction down. Conversions up.

Retention & Advocacy: Making Post-Purchase Interactive

AR doesn’t stop after the sale, it extends the relationship.

Why AR works here: It nurtures loyalty and inspires organic sharing.

Use Cases:

  1. AR unboxing filters – Imagine branded filters users can post with after receiving their product.
  2. Interactive AR tutorials – Users scan packaging and instantly get a floating walkthrough.
  3. UGC loops – Launch AR challenges or contests that gamify the product experience.

Stats that seal it:

  • AR increases brand recall by 70%. (Snap AR Attention Impact)
  • Over 50% of Gen Z and Millennials are more likely to recommend a brand after an AR experience. (Snap x Ipsos)

You’re not just selling products, you’re building advocates.

Case Study: Dior’s Full-Funnel AR Masterclass

Dior has set the benchmark for integrating AR seamlessly across the entire customer journey.

Awareness:

Dior turned heads with AR OOH (Out-of-Home) experiences, transforming billboards and store windows into living digital scenes, bridging the gap between the physical world and digital storytelling. Complementary Snapchat AR filters amplified the reach, letting users experience the brand in a playful, shareable way.

Consideration

Dior elevated engagement with AR Try-Ons, allowing customers to visualize high-end products directly on themselves through their phones. This hands-on experience removed hesitation and brought Dior’s craftsmanship closer to consumers than ever before.

Conversion

Once inspired, shoppers could move seamlessly from virtual try-on to checkout with integrated links to Dior’s e-commerce site.

Retention & Advocacy

Dior continued the experience after purchase with AR Packaging, exclusive 3D animations unlocked by scanning the product box, revealing Dior’s artistic heritage. During the holidays, AR Christmas Cards extended this magic, turning festive greetings into collectible, shareable AR keepsakes that deepened emotional connection with the brand.

Results:

The campaign drove millions of AR interactions, boosted product consideration, and generated a significant lift in direct-to-consumer sales, proving AR’s impact across every layer of the funnel.

What’s Next: AR as the Backbone of Full-Funnel Strategy

AR isn’t a toy. It’s a strategic toolkit for modern marketers. Emerging Trends to Watch:

  1. AI + AR: Tools that auto-generate personalised AR content.
  2. Retail-as-Media: Physical spaces become AR-powered content hubs– using AR Mirriors, Digital Screens etc..

AR isn’t just top-of-funnel flair anymore. It’s a full-funnel force.

From first impression to final sale and every touchpoint after, AR delivers more engagement, more clarity, more conversion, and more loyalty. Are you ready to rebuild your marketing funnel in 3D?

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Gamification in AR Ads: Why Play Drives Purchase

It’s getting harder than ever to capture consumer attention. With endless content competing for every second of screen time, static ads just don’t cut it anymore.

So how are brands not just stopping the scroll, but turning it into actual sales? They’re transforming ads into games and it’s working.

As digital fatigue sets in and consumers demand more personalised, meaningful experiences, marketers are leaning into gamified augmented reality (AR) to create ad formats that are as entertaining as they are effective. But can a simple lens or filter really impact conversion rates?

Let’s unpack why gamification in AR isn’t just a trend, it’s a marketing evolution.

What Is Gamification in AR Ads?

Let’s break it down:

  • Gamification is the use of game mechanics (like points, rewards, or levels) in non-game environments to drive engagement and behaviour.
  • Augmented Reality (AR) overlays interactive digital elements on the real world through devices like smartphones or AR glasses.

When combined, these two concepts become a powerhouse for engagement. Gamified AR Ads invite users to play, interact, and co-create, often through face lenses, try-on filters, or branded mini-games. Why does this matter now?

Because audiences, especially Gen Z and Gen Alpha, don’t just scroll. They snap, tap, swipe, and share. They expect to be part of the brand experience, not just observe it.

The Psychology of Play: Why It Works

So, what makes gamified AR so effective? Here’s what’s happening behind the scenes:

1. Play = Immersion

Games demand active participation, not passive watching. That means users are fully focused and that attention leads to better brand recall.

2. Rewards Feel Good

Gamified experiences release dopamine, the “feel-good” chemical. Whether it’s a badge, a discount, or a shareable result, users associate your brand with a positive emotional hit.

3. Control Drives Connection

Unlike traditional ads, AR gives users agency. They’re not being told what to do, they’re choosing to engage. That sense of control fosters deeper emotional connection.

4. Fun Sells

Simply put: fun is memorable. People remember how you made them feel, and if they associate your brand with joy, they’re more likely to come back.

innomate x Rockstar Energy

innomate x McDonalds

innomate x OREO

Data Doesn’t Lie: Gamified AR Drives Results

Let’s put some numbers behind the magic:

  • AR ads deliver nearly 2x more visual attention compared to non-AR formats (Deloitte Digital x Snap)
  • 1 in 2 consumers say AR makes them more likely to purchase (Snap x Ipsos)
  • Gamified AR increases purchase intent by up to 40% (IAB – AR Buyer’s Guide)
  • Branded AR lenses are shared 2.5x more than static ads (Snap for Business)
  • Playable AR ads significantly increase time spent and brand recall (Mindshare x Zappar)

These stats don’t just prove effectiveness, they show that gamified AR is outperforming traditional ad formats by a landslide.

What’s Next for Gamified AR Ads?

This space is just heating up. Here’s where it’s heading:

1. AI-Powered Game Personalization

Expect AR games that adapt based on user behaviour, location, or even emotional response, creating ultra-personalised experiences.

2. Reward-Based Loyalty Loops

Imagine earning points for playing with a brand’s lens or filter. Brands will start embedding AR into their loyalty ecosystems.

3. UGC-Driven Virality

Gamified AR experiences naturally inspire sharing. Expect more formats designed for TikTok, Reels, and Shorts, where gameplay is part of the social storytelling.

4. Integration with Virtual Try-On + Checkout

Soon, the game might let you try the product, win a prize, and buy, all without leaving the AR space.

It’s Not Just a Game—It’s a Growth Strategy

Gamified AR ads aren’t gimmicks, they’re strategic storytelling tools. They speak the language of digital natives. They turn passive viewers into active participants. And most importantly, they drive results.

So, next time you brief your creative team, ask yourself:
– What if your next ad was playable?
– What if your next CTA felt like a challenge?
– What if your next customer came through an AR experience, not a landing page?

Don’t just tell your story, let your audience play it. Gamified AR is no longer the future of advertising– it’s the now.

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FOOH as Storytelling: Turning Cities into Narrative Canvases

Remember when billboards just told you what to buy? Those days are gone. Today, they can whisper, wow and even warp reality.

From floating pink handbags to chefs leaping off buildings- Fake OOH (Out-Of-Home) advertising is redefining not just marketing, but storytelling itself.

In a world where attention is fleeting and ad-blindness is real, Fake OOH transforms passive cities into dynamic stages, making audiences stop, stare, and share.

So what’s behind this urban spectacle that’s suddenly flooding our feeds?

What Is Fake OOH and Why It Matters Now

Fake OOH is the practice of using CGI (Computer-Generated Imagery) to create hyper-realistic outdoor advertising content that looks like it’s happening in the real world, but exists only in the digital space.

These videos are crafted to appear as if they were filmed on the streets of New York, Berlin, or Tokyo, but in reality, they’re carefully composited visual illusions distributed primarily on social media.

Why is it booming now?

  • Digital fatigue is real- audiences crave novelty and surprise.
  • Social media algorithms reward visually disruptive content.
  • Gen Z and Millennials are drawn to brands that show creativity over conformity.
  • Most importantly: It works.

Fake OOH isn’t about outdoor exposure. It’s about viral reach, emotional reaction, and storytelling at scale, without needing a single physical installation.

innomate x Disney

innomate x Foxy

innomate x Komfort

The New Era of Urban Storytelling

Fake OOH is more than an eye-catching visual- it’s a narrative format. Here’s how it transforms cities into stages:

1. Cities Become Characters

Famous skylines and urban backdrops aren’t just scenery- they’re co-stars. When something surreal happens in these familiar spaces, it commands attention.

2. Surprise Becomes Story

A bus-sized sandwich bursting through a wall? A bear jumping off a billboard? These aren’t random stunts- they’re visual metaphors packed with meaning. The story unfolds in seconds.

3. Audiences Become Amplifiers

The best Fake OOH campaigns invite reaction. People comment, remix, and repost. In doing so, they become part of the campaign narrative.

4. From Spectacle to Episodic

Some brands are already experimenting with sequels, turning each drop into a chapter in a larger branded story.

Why Brand Marketers Are Jumping In?

  1. Virality by Design
    • Built to be shared.
    • Works especially well on TikTok, Instagram Reels, and YouTube Shorts.
  2. Lower Production Costs vs Traditional OOH
    • No physical build.
    • All the spectacle, none of the logistics.
  3. Global Reach
    • Your CGI campaign in Berlin can trend in Brazil within minutes.
  4. Longer Watch Times & Higher Engagement
    • These videos are stop-the-scroll content. They earn attention rather than interrupting.

Backed by Data:

  • 67% of AR users say immersive formats grab their attention more than traditional ads– Snap x Ipsos: The Augmentality Shift
  • Fake OOH campaigns often outperform traditional OOH by 3x in social engagement– MarketSplash
  • 4 in 5 brands using immersive content report improved campaign performance– Deloitte Digital x Snap

Case Study: InnoMate x Disney+ Germany – “The Bear”

In 2024, Disney+ Germany partnered with InnoMate to create a bold Fake OOH activation for the hit series The Bear and the results exceeded all expectations.

What We Created

  • A jaw-dropping CGI movie depicting a kitchen apron hanging from the television tower at Alexanderplatz in Berlin.
  • While the city bustled with life in the background, a large table with luxurious tableware appeared on Alexanderplatz. The tablecloth proclaimed that the new season of The Bear had been served.

The Impact

  • Over 7.2 million views on TikTok.
  • Thousands of organic shares.
  • Significant lift in The Bear’s social mentions and search interest.
  • Loved by both fans and first-time viewers, it bridged the gap between audience segments.

Why It Worked

  • Hyperreal CGI: Seamlessly blended into Berlin’s cityscape.
  • Narrative Depth: Visually communicated the series’ energy and chaos in a single scene.
  • Emotionally Gripping: Surprised, delighted, and invited conversation.

Fake OOH didn’t just promote The Bear, it told its story, instantly and powerfully.

The City is Your Canvas. What Will You Paint?

Fake OOH isn’t a fad- it’s a future-proof storytelling tool. It merges artistry, tech, and emotion to turn urban chaos into curated narrative.

For brand marketers, it’s not just about “being seen.” It’s about being remembered, shared, and felt. Whether you’re launching a product, a show, or a movement- your next great story might just start… on the side of a building.

Ready to make your brand impossible to scroll past? Let’s bring your story to the skyline.

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How AR and CGI Are Dominating Q4 Campaigns?

From spooky Halloween surprises to Black Friday chaos and Christmas magic- Q4 is the Super Bowl of advertising. But in 2025, it’s not the loudest billboard or the biggest discount that wins. It’s the most immersive experience.

Traditional ads are struggling to cut through the noise. Gen Z and Millennials are skipping, muting, and scrolling past standard video. Brands that want attention are going beyond the screen.

So, what’s helping brands stand out this Q4? Two unstoppable forces: Augmented Reality filters and CGI-powered Fake-OOH spectacles. Let’s dive into how they’re changing the game.

What Is Immersive Storytelling & Why It’s Dominating Q4?

Immersive storytelling is all about pulling your audience into the experience, rather than just pushing a message out.

In 2025, that means:

  • AR filters that let users become the ad (try a product, transform their face, interact with branded effects)
  • CGI spectacles that simulate jaw-dropping real-world moments (a car driving on a skyscraper, a snowman stomping through Times Square)

Why now? Because attention is scarce and immersive content is engineered to earn it.

During Q4, when inboxes are flooded, timelines are noisy, and everyone’s fighting for the same moment, brands need experiences that stop the scroll and spark the share.

The Rise of AR Filters in Q4 Campaigns

1. Halloween: Scary immersive storytelling

AR filters come alive during Halloween.

Let users “try on” eerie face paint, create spooky-themed selfie lenses, go viral with AR masks and body morphs. Use gamification to collect leads and distribute prizes.

Why it works: Users create their own content using the brand’s filter, driving massive UGC

2. Black Friday: Try Before You Buy

Brands are turning chaos into confidence with AR try-ons:

  • Shoes, sunglasses, makeup, even furniture
  • Interactive store maps and deal countdown filters
  • Gamified scavenger hunts via AR

Why it works: It shortens the buying journey and makes shopping fun again.

3. Christmas: Holiday Magic IRL

AR brings joy to life:

  • Virtual Santa selfies
  • Festive face filters and snow overlays
  • Branded gift unwrapping animations via AR codes

Beauty and fashion brands are even turning packaging into interactive experiences.

The Rise of Fake-OOH: CGI That Feels Real

Imagine seeing a giant elf climbing a real building in London. Or a sneaker crashing through a snowy billboard in New York. These ads aren’t real, but they feel like they are.

That’s Fake-OOH: hyper-realistic CGI made to look like it’s happening in the physical world.

Why It Works So Well:

  • Visually unmissable
  • Engineered to go viral
  • Merges the digital with the illusion of physical scale
  • Sparks earned media, UGC, and massive word-of-mouth

New Yorker

Marc Jacobs

Dior

The Brand Benefits: Why Immersive = Impact

1. Unmatched Attention

  • Immersive ads demand focus
  • Users engage longer, especially on mobile

AR captures 2x more attention than non-interactive video

(Deloitte x Snap)

2. Sales + Conversion Boost

  • Try-before-you-buy leads to more confident purchases
  • Reduces returns, especially for beauty & fashion

Shoppers who use AR are 3x more likely to convert

(IAB AR Buyer’s Guide)

3. User-Generated Content Flywheel

  • People love sharing how they look with AR filters
  • Fake-OOH ads get remixed, memed, and reposted—organically

Brands using AR see 2.4x more UGC shared during holidays

(Snap for Business)

4. Brand Love & Differentiation

  • Brands offering fun, futuristic experiences are seen as innovative
  • Especially with younger audiences craving interactive storytelling

If you’re planning your holiday campaigns the old way- discounts, static visuals, generic banners, you’ll get lost in the noise. But if you’re ready to immerse your audience, let them play, share, and interact, you’ll win not just attention, but loyalty.

Whether it’s a spooky lens or a snowy CGI billboard, if it’s immersive, it’s memorable.

Want your Q4 campaign to make headlines, not just impressions? The future of holiday marketing is interactive, magical, and unforgettable. Let’s make it immersive!