To truly surprise and engage an audience today, advertisers need to offer something a person does not expect in the everyday urban environment. This is where augmented reality (AR) comes to the forefront, changing the way people interact with visual messages. It makes it possible to go beyond static imagery and turn contact with advertising into a memorable experience.

The use of AR in the DOOH environment opens up new communication scenarios for brands when interacting with passers-by. Instead of passive viewing, a person becomes a participant in the process, which significantly increases the level of engagement. This format stimulates an emotional response, enhances the effect of novelty, and increases the likelihood that what is seen will be discussed and shared further.

AR solutions are organically integrated into the concept of modern digital signage, where the screen or advertising surface becomes only an entry point to an interactive layer of content. The physical medium no longer limits the message — it creates the context for further digital interaction.

How AR works in outdoor advertising

The most common scenario for implementing AR in outdoor advertising is based on the use of QR codes in advertising or special visual markers. After scanning, digital objects appear on the user’s smartphone screen, overlaying the real space and complementing the physical advertising structure.

In practice, AR in outdoor advertising can work in several formats:

– visualization of 3D objects or animated elements integrated into the real background of a billboard or façade;

– demonstration of hidden content that is unavailable without interaction via a smartphone;

– creation of interactive scenarios where the user can rotate objects, launch animation, or move to additional information;

– combination of physical space with digital prompts that guide attention and form a consistent narrative.

In more complex formats, the smartphone camera displays the real environment behind the advertising structure, while virtual elements are overlaid on it in real time. This creates the effect of “live” advertising and enhances the sense of presence, making interaction with the brand deeper.

This approach works well with the principles of contextual DOOH advertising, where content adapts to location, time, or the audience’s behavioral scenario. At the same time, effective content management allows AR scenes to be updated centrally, different mechanics to be tested, and stable display quality to be maintained across the advertising network.

How augmented reality will influence outdoor advertising: a Western approach

Western research in the fields of marketing and urban studies agrees that augmented reality is becoming one of the key drivers of the development of Digital Out-of-Home (DOOH) advertising. In conditions of growing information noise, brands are looking for formats that do not simply broadcast a message, but create an experience. AR is precisely what allows contact with advertising to be transformed into interactive interaction that is better remembered.

Analytics from Deloitte, IAB Europe, and PwC show that AR campaigns in public spaces demonstrate higher engagement metrics compared to classic digital formats. Interactive scenarios increase the duration of contact with content by an average of 30–40%, while brand memorability rises to as much as 45%.

Personalization becomes an important factor of effectiveness. Western DOOH network operators actively use analytical tools and Wi-Fi monitoring to assess audience flows, repeated contacts, and dwell time within the display area. Combined with AR, this makes it possible to adapt content to a specific environment without violating user privacy.

The technological ecosystem also plays a distinct role. Modern software for DOOH provides centralized screen management, integration with AR platforms, and rapid updating of display scenarios. Thanks to this, augmented reality ceases to be a one-off experiment and becomes part of a scalable advertising strategy.

According to forecasts by Statista and MarketsandMarkets, the global market for AR solutions in advertising is demonstrating steady double-digit growth. The technology is developing particularly actively in retail, transport hubs, and public spaces, where digital formats directly influence audience behavior.

Types of AR in outdoor advertising

In the practice of Western brands and DOOH operators, several main formats of augmented reality usage can be identified, differing by type of medium and interaction scenario.

One of the most large-scale formats is AR activations on large outdoor media, in particular media façades for shopping malls. In such cases, virtual 3D elements are integrated into building architecture, creating a sense of presence and attracting attention from a great distance. Similar solutions are actively used in the United States and EU countries for brand launches and seasonal campaigns.

The second format is the use of AR in indoor spaces through indoor video walls. In shopping centers, airports, and exhibition halls, such surfaces combine large format with interactive content. Western studies show that combining AR with video walls increases the time spent interacting with advertising and positively affects the perception of the brand as innovative.

The third approach is based on mobile interaction. The user interacts with advertising via a smartphone, using a digital signage application that opens access to an additional layer of content. This can include 3D product models, animations, interactive stories, or gamified mechanics with bonuses and discounts.

Scenarios are also singled out where AR is combined with LED screens in the urban space. In such cases, the screen acts as an entry point into digital interaction, while augmented reality expands the visual narrative beyond the physical medium. This makes it possible to create multi-layered campaigns without overloading the core message.

As a result, AR in outdoor advertising is taking shape as a universal tool that adapts to different formats and environments. It is precisely this flexibility that makes augmented reality a promising direction for the development of DOOH in Western advertising practice.

Myths about augmented reality in advertising

One of the most common myths is that augmented reality is an overly expensive technology available only to large brands with complex technical infrastructure. In reality, the development of web-based AR platforms and mobile solutions has significantly lowered the entry threshold. Launching basic AR campaigns no longer requires specialized equipment — a user’s smartphone and a stable digital environment are sufficient.

Another misconception is related to the supposedly low level of audience interest. Practice shows the opposite: interactive formats generate increased attention, especially among users accustomed to digital interaction scenarios. AR works well as an experience element rather than as a classic advertising block, which explains the high level of engagement.

It is also often believed that augmented reality is difficult to manage and scale. However, modern remote content management solutions make it possible to centrally update AR scenes, change display scenarios, and control rendering quality without physical presence at the location. This makes the technology predictable and convenient for network-based campaigns.

The myth of the difficulty of adapting AR to the real environment

The widespread belief that augmented reality supposedly operates according to rigidly predefined scenarios and adapts poorly to urban conditions does not correspond to current practice. In fact, AR solutions are increasingly used as flexible tools capable of responding to display context and audience behavior, creating relevant personalized content for users without information overload.

Western campaign practice demonstrates that the effectiveness of AR increases significantly when the technology is embedded into the local advertising consumption scenario. This is why geolocation campaigns play a key role: they make it possible to align digital elements with a specific location, event, or moment in time, preserving the naturalness of perception and increasing trust in the message.

The myth of AR’s isolation from the advertising ecosystem

Another widespread stereotype is that augmented reality supposedly exists separately from programmatic infrastructure. In reality, AR is increasingly being integrated into the SSP and DSP ecosystem for DOOH, making it possible to plan impressions, manage inventory, and combine interactive formats with other digital channels.

The technical foundation of such integrations is a centralized video management system that synchronizes the operation of screens, AR modules, and advertising scenarios. Thanks to this, augmented reality is organically embedded into the overall digital advertising strategy rather than remaining a separate experimental tool.

Thus, most myths about AR in advertising arise from outdated perceptions of the technology. Modern solutions demonstrate that augmented reality can be an accessible, manageable, and effective component of advertising communications.

The future of advertising lies beyond the screen

Augmented reality is gradually ceasing to be an experimental format and is taking its place within the ecosystem of modern advertising communications. It expands the possibilities of interaction with the audience, makes contact with the message deeper and more meaningful, and allows brands to integrate organically into the urban space. It is in this direction that DOOH advertising is developing today, combining technology, context, and user experience into a single coherent system.

Advision is a content management system for remote control, media planning of video and audio content broadcasting, and a supply-side platform for monetising advertising time. We also implement a Wi-Fi tracking system to measure quantitative indicators of the advertising audience. We help Digital Signage owners and DOOH advertising operators earn money from advertising, automate work processes, and build a reliable media infrastructure using AdTech and MarTech software solutions.

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