44 Million Consumers Already “In-Market” For VR Says Newly-Formed VR/AR Insights Consortium
While the VR market is still young, new research shows that 44 million consumers are already engaged with VR or are planning to buy a device in the near future.
That’s according to the VR/AR Insights Consortium, a consumer focused research initiative formed by Magid (Frank N. Magid Associates). The consortium brings together leaders in publishing, broadcasting, retail, advertising, content creation and entertainment for a three-year research program designed to examine how Virtual and Augmented Reality is impacting consumers and assess what the emerging technologies mean for marketing, retail, entertainment and commerce.
The invitation-only VR/AR Insights Consortium, which is currently comprised of A+E Networks, Best Buy, MasterCard, Turner, Warner Bros and The VR Society, convenes quarterly to study results of original consumer research designed by the group and delve into marketplace trends.
Initial research by the Consortium shows 26% of the consumer audience ages 18 to 64 (or 44 million people) already fall into one or more of the following categories:
- has a VR device in the household (7 million consumers or 10%)
- use a VR device on a weekly basis (approximately 11 million or 7%)
- or is likely to purchase a VR device of some type in the next 12 months (22% or approximately 37 million).
“Experience shows when asked their likelihood to purchase, some people may overstate how soon they will buy, but these numbers are still reliable directional indicators of intent, that the industry can take heart in” said Mike Bloxham, SVP global media and entertainment for Magid, who co-chairs the VR / AR Insights Consortium.
The research also shows that VR device purchasing is picking up steam, with 82% of devices currently in use having been purchased in the past six months. According to the Consortium, awareness of devices is high, with 60% of consumers knowing at least one VR device brand and 31% of consumers reporting that they have used a VR device at least once.
“As Turner remains focused on exploring new storytelling formats and offering our fans greater touchpoints to engage with their favorite shows and talent, we’re committed to better understanding the opportunities that VR/AR presents,” says Jeff Grant, SVP, Research for Turner Emerging Consumers, and a founding member of the Consortium. “While still in its infancy, this market is growing fast and will evolve at a breakneck speed. Together as an industry, we can test and learn how to effectively create meaningful content and experiences for advertisers within the VR realm.”
Debby Ruth, SVP, global media & entertainment at Magid, and Consortium co-chair, added, “Magid’s research and consulting expertise in entertainment has allowed us to accumulate an early, in-depth knowledge of the emerging VR and AR space. We understand the device space, the content space, and the business dynamics between the two, and recognized the powerful opportunity to bring brands together to understand and evaluate emerging VR/AR monetization strategies through our quantitative and qualitative research.”
The Consortium conducts several proprietary studies on behalf of the membership, including:
- Bi-Annual Consumer Experience Tracking Study. The study identifies the definitive VR/AR population by querying 2,000 US consumers. The research defines awareness, interest, experience, evaluation, purchase intent, VR/AR brand awareness and perception, and more.
- Annual Consumer Acceleration Study. This project explores the entertainment consumption, perceptions and behaviors of consumers throughout the course of a year for twenty new VR device households.
- Additional Topical Studies. Consortium members also helped to define the agenda for additional studies addressing content, advertising and marketing, pricing and messaging being used in the industry, as well as drivers and barriers to adoption.
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