From 360° displays to augmented reality: Technologies enhancing online shopping experiences

The world of furniture and home design has undergone a fascinating transformation in recent years. Today's consumers are more aware, more involved, and primarily, they want to take control of their home design. As a result, we are witnessing significant changes in consumption behavior, the technologies used in the industry, and the perception of professionals' roles.

The shift in consumer habits over the past decade is mainly due to technological advancements and the widespread presence of the internet. Traditional shopping, which was once primarily based on physical store experiences, has significantly declined as consumers increasingly turn to online platforms for their purchases.

This change is influenced by convenience, a wide variety, information accessibility, and often better prices found online. E-commerce giants like Amazon have capitalized on these trends by offering users the ability to order any product with a click of a button, thus changing consumer expectations and preferences.

The COVID-19 pandemic was an additional catalyst, as lockdowns and the need for social distancing pushed more consumers towards online shopping, reinforcing online purchasing as a cornerstone of modern consumer behavior.

A Sweeping Increase in Online Shopping Across Generations

Consumers of all ages, including Generation Z, Generation X, and Baby Boomers, feel more comfortable with online shopping. According to a 2018 McKinsey study, Generation Z, in particular, has nearly doubled its online purchases compared to other generations, contributing to the growth of online sales across various categories.

However, this shift has not been without challenges. Retailers have had to quickly adapt, investing in digital infrastructure, logistics, and cybersecurity to meet the demands of a growing online customer base. Issues such as data privacy, cyber threats, and the digital divide have emerged as critical topics.

Additionally, the environmental impact of increased packaging and shipping has sparked discussions about sustainable practices in e-commerce. Despite these challenges, the convenience and efficiency of online shopping continue to drive its growth, fundamentally changing the landscape of consumer habits and retail industries worldwide.

Economic concerns have also led consumers to focus more on value and essential products. Many are turning to lesser-known brands to manage their budgets.

Rise in Shopping Through Social Media Networks

Purchases through social media platforms have also seen a dramatic increase. A recent HubSpot survey found that 41% of social media users feel comfortable buying products through these platforms, compared to only 12% previously. This trend is especially notable on platforms like Instagram and Facebook, which are favored for the convenient shopping experiences they offer.

DIY: A Growing Trend

One of the most notable changes in recent years is the DIY (Do It Yourself) trend. More and more people are choosing to buy furniture and design accessories online and assemble or style them themselves. The main drivers are cost savings, the search for a creative challenge, and immense personal satisfaction. This trend is also evident on social media, where YouTube channels and online workshops offering detailed assembly and self-design tutorials are flourishing.

Additionally, many homeowners use home design software to save on the costs of expensive professionals. According to Roy Geva, brand manager of ZAGAMIX, "The ability to envision different designs for your living space and experiment with home design virtually ensures that the space reflects your unique style even before making a purchase. For those with vision and precision, user-friendly features provide a perfect solution."

Meeting High Consumer Expectations

Geva predicts that e-commerce stores will continue to gain momentum in the coming years. According to him, "People who were used to going to stores to feel and touch the products now feel more comfortable buying from afar, as long as they are given a good experience. We chose innovative technology to facilitate the customer journey on the site and provide maximum accuracy in choice. This gives us three key advantages in the market:

• A More Realistic Shopping Experience: Instead of relying on static images, you can see the products from all angles, just like in a store. This allows for a better picture of the product and helps decide if it is suitable before making a purchase.
• More Informed Decisions: A 360-degree display can help identify small details that static images cannot show, such as the product's size, color shade from different lighting angles, texture of the surfaces, and more. This can help avoid disappointing purchases and find the perfect products for us.
• Full Visualization of Furniture in the Home: Instead of wandering between furniture stores, augmented reality allows you to try and see how different items will look in your home before buying. This saves a lot of time and prevents costly mistakes and returns.

Still, isn't furniture something you should buy in person?

"You can come to the store, but you don't have to. In fact, when customers come to the store, they can indeed touch the furniture, smell and feel it, but they can't see it in their home's space, which often leads to mistakes in measurements," explains Geva.

"If I had asked consumers ten years ago if they would buy shoes online, most would have said no. Today, most people buy fashion online, and we believe this will extend to home design. That's why we decided to invest tens of thousands of shekels in developing innovative technology that will put us at the forefront and bring our customers innovation and convenience. Our choice has proven itself, and we see a significant increase in sales in the last six months. Simple segmentation shows that most buyers used the technology before purchase," says Geva.

"Additionally, since incorporating the visualization tools, we have almost no returns. The purchased products fully satisfy customers because they were given the opportunity to experience the product in the desired space before buying, which contributed to high service levels, savings on repeat delivery costs, and super satisfied customers. The use of innovative technology that facilitates product selection is natural and necessary, and we are happy to provide it to the consumer, thereby easing their decision-making process."

Geva concludes, "Augmented reality tools allow the customer to see the products in the most realistic way. The tool helps understand how the product integrates into the space and gives an indication of whether it fits the home design. This way, you can enjoy a pleasant shopping experience and minimize errors when the product arrives home. At ZAGA, we see online furniture purchases as the next big thing and invest significant resources to provide the customer with the best shopping experience."