AR andVR are always on Trend, but please Think Deeper before Entering

Cynthia Xu
Marketing in the Age of Digital
3 min readJul 5, 2021

Japanese beauty brand Shiseido has entered the skincare industry’s latest competitive realm with a personalized high-tech moisturizer and serum formulated by pairing augmented reality and artificial intelligence. Called Optune, it’s one of the first Internet of Things smart appliance systems in the beauty space combining an intelligent app with a physical dispenser.

For about 10,000 yen (or $92) a month, users can assess and modify their skincare regime on a twice-daily basis. The app, which only works with iPhones, collects data from faces using the phone’s front-facing camera. Images are analyzed by A.I. Data is then sent to a cylindrical appliance loaded with five Optimum Shot serum cartridges, which dispenses a lotion formula deemed suitable for users’ skin.

I have to admit that it is a good attempt for Shiseido to so. Optune launched 2 years ago. Shiseido made significant progress as one of the earliest skincare and beauty companies using Augmented Reality technology to combine beauty tech and the beauty industry. It did not continue staying in the safe zone but spent efforts on expanding new areas in the industry.

However, Optune did not perform very well among customers. Either my friends or I heard about it before I actively search for it. Although integrating the latest technology and having the strong endorsement of Shiseido, the public still didn’t accept it. I think the failure or unpopular for Optune is that it did not figure out customers’ actual pain points when using skincare products. The AR technology for consumers to evaluate their skin condition and personalize their skincare products is not that mature. Indeed, many skincare counters widely use beauty tech equipment to help customers choose appropriate products. But not everyone’s mobile can get the result which is as accurate as of the professional equipment. As a regular consumer, I don’t dare to use the personalized products to rely only on the “diagnosis” made by my phone.

Shiseido stepped too much in on using A.R. in the marketing field. I’m not saying that this is not good, but I think Shiseido can make more acceptable attempts. Skincare products still have some differences from beauty products. People may be more cautious when choosing skincare products because they believe those may directly relate to their health.

AI software is under the boom period

According to AI Business, the total retail A.I. software spending worldwide will keep increasing and reach $10,000 million in revenue in 2025. Shiseido also made a lot of progress on live streaming and video counseling in the past 2 years. This is a good sign. Angelica Munson, the global digital officer at Shiseido, also thinks that A.R., V.R., and A.I. is never the end but the start.

COVID-19 gave rise to this very digitally powered stay-at-home economy. It has hyper-accelerated all the consumer behaviror… A.I. and A.R. were just amongst the few digital technologies in our category that essentially kept the economy going.

Beaty tech is definitely the dominant trend for the whole industry, but companies still need to think more about consumers’ acceptability. More profound thoughts may prevent companies, like Shiseido, from doing flatulent tryings.

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