How many times have you eagerly unwrapped a package, only to find the clothes don't fit or the style doesn't match your expectations? The persistently high return rates for online fashion purchases not only frustrate consumers but also create significant operational costs for retailers. Now, tech giants are turning to augmented reality (AR) technology to solve this persistent challenge.
Amazon and Snapchat Team Up for Virtual Try-On Innovation
Amazon Fashion recently partnered with social platform Snapchat to launch a virtual try-on service, initially focusing on eyewear products. With Snapchat's massive user base—projected to reach 1.4 billion AR users this year—Amazon gains access to a substantial potential market. Users can now preview selected eyewear brands from Amazon, including Maui Jim, Persol, Oakley, and Costa Del Mar, directly through Snapchat's platform. The companies plan to expand this collaboration to other product categories in the future.
Muge Erdirik Dogan, President of Amazon Fashion, noted that AR technology has already seen widespread adoption in Amazon's online store, particularly for eyewear. This partnership represents a natural extension based on consumer demand, with plans to explore additional AR shopping possibilities.
This isn't Snapchat's first foray into virtual try-ons—the platform previously collaborated with Halloween costume brand Disguise to offer AR-powered costume previews. Meanwhile, retail giant Walmart has made significant investments in virtual fitting technology, acquiring startup Zeekit to enable customers to select digital models matching their body type for virtual try-ons. Walmart has also partnered with Tyltics to provide virtual views of different clothing combinations.
The global VR and AR technology market is experiencing explosive growth, projected to reach $142.4 billion this year—a dramatic increase from $13.4 billion in 2018. This rapid expansion explains why major platforms are racing to implement virtual shopping experiences, hoping to boost e-commerce growth through innovative consumer interactions.
Virtual Try-Ons: A Powerful Tool to Reduce Returns
Beyond attracting consumer attention, virtual shopping's primary appeal lies in its potential to decrease return rates. Clothing consistently ranks as the most returned product category, with CivicScience research showing over half of Americans most frequently return apparel and accessories.
High return rates create substantial cost burdens, including shipping and repackaging expenses. E-commerce platforms view AR technology as a solution, allowing consumers to visualize products before purchase and make more informed decisions that reduce returns.
Snapchat research indicates two-thirds of consumers become less likely to return items after using AR features. Data from virtual fitting company Perfitly shows partner brands achieved an average 64% reduction in return rates after implementing virtual try-on technology.
The Future of Virtual Shopping: Personalization and Immersion
Virtual shopping's potential extends far beyond reducing returns. The technology enables increasingly personalized and immersive experiences. Consumers can "try on" various clothing styles from home, even simulating how outfits would appear in different settings. Some platforms are developing AI systems that recommend styles and sizes based on body measurements and preferences.
However, challenges remain. AR technology still requires improvements in accuracy and realism to better match physical try-on experiences. The industry must also address technical barriers and consumer adoption hurdles.
Despite these challenges, virtual shopping's future appears promising. As technology advances and consumer acceptance grows, virtual experiences may become integral to e-commerce—offering more convenient, efficient, and personalized shopping while helping retailers control costs and enhance competitiveness.
The coming years will likely see expanded adoption of virtual shopping technologies, boosting consumer confidence while improving the shopping experience. Most importantly, when customers can thoroughly "try before they buy," their purchasing decisions become more informed—significantly reducing return rates and alleviating operational pressures for retailers.