Meta-analysis of augmented reality and virtual reality in marketing

Augmented reality (AR) and virtual reality (VR) have revolutionized how firms interact with customers. The purpose of this study is to provide a systematic empirical account of (a) the comparative effects of AR versus VR, (b) their potential negative impacts, (c) the underlying mechanisms, or (d) the role of contextual moderators in the relationship between these technologies and customer responses. This meta-analytic review integrates effect sizes from 206 papers, comprising 235 independent studies, to develop a generalizable model of AR and VR. The review tests the comparative effects of these two technologies, explores competing models in each one that incorporate both positive and negative effects, and examines relevant moderators to address inconsistencies in prior research on the two technologies. The findings demonstrate that while AR is effective in triggering behavioural responses, VR is more effective in engaging customers through various pathways, including decision fluency, spatial presence theory, experiential approach and technology acceptance model. However, the dark side of these technologies, such as privacy concerns and perceived risk, negatively impacts customer responses to both technologies. Furthermore, the study highlights the significant role of contextual variables, such as technology, customer, product and national factors, in moderating the relationship between AR and VR with customer responses. This study encourages future research to explore AR and VR technologies in emerging areas like the metaverse. The study provides recommendations for marketing managers to effectively integrate AR and VR technologies into their marketing strategies, optimizing potential benefits while minimizing adverse outcomes. Through the development, testing, and identification of an optimal model within the AR and VR technologies literature, this research provides a comprehensive understanding of the underlying theories and establishes a superior model for explaining the impact of AR and VR on consumer responses.