Home sweet virtual home

Abstract

Purpose Digital technologies have made it possible for organizations to enhance service delivery and provide consumers a way to experience a product or service before even seeing it in person. Prior work has validated consumer purchase decision-making models like the Engel, Kollat and Blackwell (EKB) model in digital and multi-channel purchase environments. This research aims to explore the various impacts of digital technologies, specifically virtual reality (VR) and augmented reality (AR) features, on the different stages of the EKB model in a high involvement purchase decision context. In addition, the use of such technologies is examined as a competitive advantage for sales agents. Design/methodology/approach An in-depth market analysis of VR and AR technologies related to residential real estate is conducted. Then the research questions are analyzed through detailed feedback gathered from 33 prospective home-buyers and realtors in the USA. Findings Insights from buyers and sales agents (realtors in the context of this research) suggest that VR and AR technologies can enhance consumer information search and expedite the time consumers spend evaluating purchase alternatives. As these technologies advance in their customization features, they may also increase the conversion between alternative evaluation and purchase, but only if they are realistic and provide high quality experiences. Finally, digital technologies are viewed as becoming a necessity in high involvement sales contexts, suggesting that additional features or innovative ways to use these technologies may serve as sources of competitive advantage for sales agents. Originality/value This is one of the first research studies to explore the perceived impacts of VR and AR technologies on the stages of the EKB model consumer decision model. It builds on prior work and offers direction for future research.

Smarter real estate marketing using virtual reality to influence potential homebuyers' emotions and purchase intention

“…The potentials of digital visualisation for marketing research have also spanned across the residential real estate industry. Leading residential real estate companies in the United States, SASBE 11,4 such as Redfin and Sotheby's, have been utilising the VR technology for virtual tours, which allow users to be immersed in the simulated space and experience the house via 3D virtual walkthroughs (Sihi, 2018). Recent study has shown that VR and AR have a positive impact on the homebuying process, where it has been shown to provide both the homebuyers and the realtors great convenience in time, for example, by allowing homebuyers to experience homes in different geographical locations conveniently (Sihi, 2018).…”

“…However, there is a lack of study conducted to understand the impact of this technology on house purchase intention, compared with conventional marketing method using physically constructed show houses. Although VR technology for real estate is well accepted in the United States (Sihi, 2018), different cultural background could have an impact on the acceptance of this technology for house purchase. Thus, this paper aims to focus on potential homebuyers' emotions, satisfaction and intention to purchase a house in VR, specifically among Malaysian homebuyers.…”

Tantangan dan Peluang Pemanfaatan <em>Augmented Reality</em> di Perangkat <em>Mobile</em> dalam Komunikasi Pemasaran

“…Tema ini muncul pada penelitian yang ditulis oleh Sihi (2018). Ia menyampaikan bahwa melalui penggunaan AR, seorang pelanggan real estate dapat menentukan pola lantai yang akan dibangun ataupun produk furniture yang akan dibeli.…”

“…Hal ini merusak konsep dasar komunikasi karena banyaknya distorsi yang menghalangi suatu pesan untuk diterima secara utuh oleh pengguna. Sihi (2018) menyampaikan bahwa pada konteks pemasaran produk real estate, teknologi AR harus mampu dibuat serealistis mungkin seperti aslinya sehingga semakin tinggi niatan pelanggan untuk membeli. Sihi mengatakan bahwa banyak pelanggan real estate yang berhenti menggunakan teknologi AR karena fitur dan visualisasinya tidak realistis.…”

“…Di sisi lain, masyarakat belum sepenuhnya menerima atau terbiasa dengan konten tersebut karena bentuk konten yang tidak realistis. Dalam konteks perusahaan real estate, pelanggan masih merasa khawatir jika konten AR tidak sesuai dengan aslinya (Sihi, 2018). Hal ini menyebabkan teknologi AR tidak bisa diimplementasikan secara masif kepada seluruh lapisan masyarakat.…”