The Reality of AR and VR: Highlights from a New Survey. Bob O Donnell, President and Chief Analyst
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1 The Reality of AR and VR: Highlights from a New Survey Bob O Donnell, President and Chief Analyst
2 Methodology Online survey in March 2018 of 1,000 US consumers that identify themselves as gamers and who own some type of augmented reality or virtual reality capable device Ages range from 18-74, with nearly 60% falling in the range 55% female, 45% male technalysis R E S E A R C H
3 Definitions For purposes of this study, we re defining augmented reality (AR) as a visual experience that overlays digital information on top of your view of the world, while continuing to let you see the world around you. We re defining virtual reality (VR) as a visual experience that replaces your whole worldview with a fully simulated one. (Some companies also use the phrase mixed reality but for this survey, consider that a form of virtual reality.) A simple example of augmented reality is the Pokemon Go app for smartphones, but another example is the Star Wars Jedi Challenges headset and game released this past Christmas by Lenovo and Disney. Examples of virtual reality products include VR headsets for PCs such as HTC Vive and VR headsets for smartphones such as Samsung Gear VR.
4 Smartphone-Based VR Devices Most Popular About ¼ of respondents had also tried more than one type 90% AR/VR Devices Used 80% 70% 60% 50% 40% 30% 20% 10% 0% Smartphone-based PC or console-based Standalone
5 Fans of AR/VR Own Multiple Devices 1.4 Owned Usage Frequency 2.8% Average Number of AR/VR Devices Top 5 AR/VR Devices Samsung Gear VR Sony PlayStation VR Other VR Smartphone Headset Oculus Rift VR Headset HTC Vive VR Headset 18.2% 37.8% 41.2% Monthly Weekly Daily Stopped Using Most Devices Only Used Occasionally 41% 38% 18% Measure Usage Monthly Measure Usage Weekly Measure Usage Daily
6 Price is Major Factor for Non-Buyers Both the price of headsets alone and the overall cost of a total solution are major detriments to purchase for people who don t currently own an AR/VR device technalysis R E S E A R C H 50% 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% Top Reasons for Not Buying AR/VR 45% Too expensive for headset 41% Too expensive for everything required 39% I don t know enough 37% I don t see any big benefit 33% I don t want another gadget
7 Smartphone-Based AR App Adoption is Limited About ½ of respondents use them, but ½ don t Smartphone AR Usage I've tried a few, but don't regularly use any 12% 7% 4% 27% I've tried a lot, but don't regularly use many Once a month Once a week 16% 12% 12% 11% Several times a week Once a day Several times a day Never
8 VR-Inspired Motion Sickness is Still a Problem For More Than 40% Feeling ill Frequently (50-100%) 11% Sometimes (10-49%) 33% Rarely or Never (0-9%) 56% 0% 10% 20% 30% 40% 50% 60%
9 Satisfaction Among Owners Generally High Satisfaction Levels (5 is extremely satisfied, 1 is not at all satisfied) Sony Playstation VR Samsung Gear VR Oculus Rift VR Headset Lenovo Star Wars Jedi Challenges AR Headset HTC Vive VR Headset Google DayDream View Windows 10 Mixed Reality Headset Google Cardboard Other Smartphone VR Headset
10 Technology Preference Prefer AR Prefer VR Consumers Prefer VR 3:1 Over AR 100% 80% 60% 40% 20% 0% AR vs. VR 73% 75% 72% 72% 74% 76% 82% 27% 25% 28% 28% 26% 24% 18% Total Prefer AR Prefer VR
11 Gaming Still Dominates 55% Gaming Total Windows 10 Mixed Reality Headset Respondents Who Said They Use Their Headset Primarily for Average Session Time (Minutes) Sony Playstation VR AR Headset Lenovo Star Wars Jedi Challenges HTC Vive VR Headset Oculus Rift VR Headset Samsung Gear VR Google DayDream View Google Cardboard Other Smartphone VR Headset Top 5 AR/VR Applications Intensive Gaming (e.g., firstperson shooters) Casual Gaming Virtual Travel/Exploration View VR/AR/360 Degree Movies General Entertainment Usage Time is Relatively Long 38 Typical Session Length Minutes
12 Strong Interest in Simulations and Virtual Travel People are interested in many different types of new applications they haven t tried yet Most simply don t know enough about the possibilities, however About one-third also raised concerns about time and potential costs
13 VR Starting to Become More Social A bit more than half of respondents use AR/VR headsets on their own However, about one quarter say they use them with others who are also wearing AR/VR headsets Another one quarter say they use them with others who are not wearing headsets Top places for using the devices are living room/den and bedrooms Living room/den Bedroom Dedicated room Most Popular Usage Locations Home Office Work Office 0% 10% 20% 30% 40% 50%
14 Ease of Use Essential for Satisfaction 67% Ease of Use Respondents Whose Favorite Characteristic Was Favorite Characteristics Easy to use High quality visual experience Realistic overall experiences Good overall value Reliable operation Worst Characteristics Uncomfortable hardware Poor/limited software choices Makes me feel ill when using it Hard to use Poor visual experience Awkward Hardware Designs Still a Big Issue 27% Respondents Whose Biggest Concern Was Uncomfortable Hardware
15 Nearly 20% Have Used AR/VR at Work Education and training apps were most popular 60% Top Work Applications technalysis R E S E A R C H 50% 40% 30% 20% 10% 0% Education/Training Virtual Travel/Exploration Simulations Product Design Communication/Collaboration
16 Consumers want convenience and comfort 46% Would Prefer a Standalone Device Higher-resolution screens are most desired feature
17 Final Thoughts Consumers love VR, but also know it s in its early days Future buyers are looking for smaller, lighter, more comfortable standalone headsets at prices in the $200 range They re open to and excited for new types of applications, but need much more education to learn about them Gaming is important, but the primary reason for buying is to have new experiences
18 Contact Bob O Donnell President and Chief Analyst TECHnalysis Research, LLC 1136 Halsey Blvd. Foster City, CA bob@technalysisresearch.com (650) For additional information and complete survey results, a 107-slide version of this report is available for purchase.
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