This paper presents a detailed review of the applications of augmented reality (AR) in three important fields where AR use is currently increasing. The objective of this study is to highlight how AR improves and enhances the user experience in entertainment, medicine, and retail. The authors briefly introduce the topic of AR and discuss its differences from virtual reality. They also explain the software and hardware technologies required for implementing an AR system and the different types of displays required for enhancing the user experience. The growth of AR in markets is also briefly discussed. In the three sections of the paper, the applications of AR are discussed. The use of AR in multiplayer gaming, computer games, broadcasting, and multimedia videos, as an aspect of entertainment and gaming is highlighted. AR in medicine involves the use of AR in medical healing, medical training, medical teaching, surgery, and post-medical treatment. AR in retail was discussed in terms of its uses in advertisement, marketing, fashion retail, and online shopping. The authors concluded the paper by detailing the future use of AR and its advantages and disadvantages in the current scenario.