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What Is XR?

April 23, 2021 Sarah Cavill

As with so many digital and tech based activities over the last 15 months, extended reality (XR), which is inclusive of virtual reality (VR), augmented reality (AR), and mixed reality (MR), has seen an increase in usage by consumers and become progressively more popular with brands looking to innovate and reach curious audiences. A recent eMarketer study US Virtual and Augmented Reality Users 2021 found “While most use cases for VR and AR are still related to gaming, entertainment and social media, the variety of applications is expanding as more consumers and businesses test out immersive experiences.” 

Are Consumers Using More Extended Reality?


Yes. The uptick in usage of mobile, and everyone being online more, has led to an increase in consumers trying out XR across verticals, including “playing video games, consuming entertainment, participating in social VR, using AR features on social networks and experimenting with virtual try-ons, virtual shopping and 360-degree travel videos,” according to eMarketer reporter Victoria Petrock. eMarketer expects “58.9 million people will use VR and 93.3 million will use AR at least once per month in 2021.” In the case of VR, increased interest in technology, like Facebook’s Oculus system, has developers at the drawing boards eager to meet demand. And, brands known for VR are now getting into the AR game also, creating a confluence of energy and excitement around XR. 

How Does The Growth Of XR Benefit Advertisers?

According to an article in Forbes about the growth of XR advertising, the future is bright for XR technology to offer brands another way to develop affinity with consumers. The article notes, “The format draws consumers more fully into a brand’s world, and this greater immersion brings greater engagement, helping to build emotional connections that motivate consumers to buy into, and buy from, brands.” (Advertisers should be wary of over-investing in the relatively new technology, particularly when targeting consumers who are older or less tech savvy.) The rise of ecommerce created an explosion of interest in new ways to explore stores and buy online, with XR an increasingly innovative way to capture consumer attention.

Are You Looking For New Ways To Reach Targeted Audiences?

At Digital Media Solutions® (DMS), we experiment with our money and not our advertiser clients’ media budgets, investing billions for ongoing split and multivariate message testing to identify the optimal creative and media mixes to target, engage and convert consumers. Contact DMS today to learn how our first-party data asset, proprietary technology and expansive media reach can help you connect with high-intent consumers.

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Related News About XR Advertising

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About the Author

Sarah Cavill

With more than 20 years of writing, editing and reporting experience, Sarah Cavill brings to Digital Media Solutions (DMS) a fine-tuned and diverse set of skills. Her work has been featured in notable publications including The Daily Muse, CBS Local, Techlicious and Glamour magazine. Sarah has a passion for current events and the deep-dive research that goes into the content development and brand identity of DMS Insights. In her role as Senior Marketing Communications Writer, Sarah contributes to the pitching, researching and writing of multiple stories published each week surrounding digital and performance marketing innovations in pop culture, news, social media, branding and advertising.

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