Will Apple’s Vision Pro spur luxury’s virtual reality breakthrough?

After breaking headlines last June, Apple’s highly anticipated – and inexorably memeified – Vision Pro headset was finally released to the public on February 2. Featuring over a dozen cameras, augmented reality (AR) content, and artificial intelligence-powered eye and gesture tracking for navigation and control, the wearable rivals Meta’s Quest headset with its technological capabilities. But the function that tech evangelists are most enraptured by is the gadget’s virtual reality (VR) content. Unlike AR, the VR option isolates wearers from their surroundings, offering full digital immersion via the headset’s screens. Users can flip between the “real” and the “immersive” by using a dial, coined the Digital Crown. Swaying convictions Early adopters have preached the potential of VR since its entry into mainstream consciousness in 2014, a watershed year when Facebook bought VR pioneer Oculus for $2 billion. Despite a maelstrom of hot takes on how the tech will revolutionize consumer experiences, the fashion, beauty and luxury industry remains unconvinced. But will the Vision Pro change that? VR-powered activations have been few and far between across the luxury realm, with most failing to move the needle. Sartorial disconnects, like clunky headsets, have also caused a chasm between the technology and style-conscious fashion enthusiasts. Dr Helen Papagiannis, an immersive tech consultant and advisor, thinks the Vision Pro is the start of a new era for luxury and VR, even with its polarizing design. “Apple Vision Pro has a unique offering with the ability to dial reality up and down, ranging from fully immersive environments to being able to interact with digital objects in your physical space,” Papagiannis says. “This gives luxury brands a broad playground to explore, and is something I’m currently advising my luxury clients on how they can best create experiences for their customers.” Papagiannis has been advising luxury brands on how to implement VR into their innovation roadmap; she says that, in the same way AR has gained traction, VR is the next technology to be widely adopted by brands. Ahead in the race A number of retailers have already joined the VR race. The first iteration of the Vision Pro features over 600 different apps for users to browse, including a selection of shopping experiences from early adopters including J.Crew, Decathlon, Elf, Alo, and MyTheresa. In MyTheresa’s exclusive hub, consumers can browse pieces from the sun-soaked setting of a Capri beach, or from the heart of luxury hotspot Paris. In Alo’s realm, spatial audio is used to immerse shoppers in various meditation scenes, including mountaintops and the jungle. J.Crew has deployed one of Apple’s new tools, coined SharePlay, for its experience. The function gives consumers the option to socialize within the space via FaceTime, allowing the digital retail process to become a shared moment among friends and stylists. Through innovative concepts like SharePlay, Papagiannis is optimistic that VR will usher in a completely new mode of shopping for consumers. “This is absolutely the next frontier for brands,” she says. Beyond the home Unsurprisingly, style enthusiasts remain reluctant to purchase Apple’s “space goggles.” What other ways can brands prime consumers for the virtual reality retail revolution? Developers like Xydrobe are trying to sway shoppers by introducing VR into traditional physical spaces in lieu of fancy wearables. Last November, the company invited a number of London’s most elite fashion insiders, including Camille Charriere and Pixie Geldof, to Mayfair to explore its immersive “wellness pod,” in collaboration with beauty guru Dr Barbara Sturm. The 50-minute VR-powered experience included breathing exercises, meditation, and full-body red light therapy. Xydrobe markets itself as a creator of luxury VR destinations, deploying the tech in a way that resonates with luxury’s first-class clientele. Luxury’s top dogs are also slowly starting to test the waters. “Last month, Louis Vuitton made its ‘Asnières Immersive’ VR experience available in the Champs Elysées store for customers to preview and be transported into the history of the brand,” says Papagiannis. “Hermès is another luxury brand that has used this technology in store with a VR experience, where you can magically fly on a winged horse.” Apple’s revenue slump A lot hangs on the Vision Pro’s success. This week, Apple forecasted a decline in iPhone sales and a revenue target $6 billion below Wall Street’s expectations, primarily due to challenges in its China business. While fiscal first-quarter sales and profits exceeded analysts’ expectations, driven by iPhone growth, Apple’s latest projections caused the company’s share price to drop 3 percent in after-hours trading. Declining iPhone sales in China (revenue tumbled 13 percent during the quarter ending in December to $20.8 billion, missing estimates of $23.5 billion) is reported to be the result of intensifying competition from Huawei, plus the rising popularity of foldable phones across the mainland. Meanwhile, demand for Vision Pro headsets in China spiked last month, with US merchants offering to ship the gadget to the mainland for over double the recommended retail price. The next target of China’s $81 billion daigou gray market, overseas resellers are gearing up to benefit from the country’s swelling appetite for VR-enabled products, propelled by new releases like the Vision Pro. With virtual reality on its way to becoming readily available both inside and outside of the home, 2024 could see the technology breakthrough. The launch of the Vision Pro looks only to be the beginning.

Will Apple’s Vision Pro spur luxury’s virtual reality breakthrough?

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Published February 05, 2024

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Will Apple’s Vision Pro spur luxury’s virtual reality breakthrough?