eBook

Exploring the Future of 				Retail in a Virtual World

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Table of contents
Introduction

01

2020: The Year That Made Us Long for the Brick-and-Mortar Store03

A 3D Retail Experience05

Spotlight | Fast Company

07

Planning and Managing Experiences at Scale08

Spotlight | Apex Imaging Services

08

Enabling Safe Reopening During Covid-19 Restrictions

09

Spotlight | Herman Miller

09

Matterport’s Role in Reshaping Retail

10

How Can 3D Retail Evolve Further?

12

The Future of Spaces with Matterport

14

Introduction
Across the globe, the COVID-19
pandemic presented businesses
with enormous obstacles 		throughout 2020.
Virtually overnight, many were forced to make thetransition to an almost entirely digital operation.
Everything from the overall customer experiences tologistics and facilities management had to be reinvented.
Matterport, a leader in immersive 3D technology, is
exploring the ramifications of these changes and theopportunities that lie ahead.
A heavy dependence on eCommerce and remotecapabilities has become the standard for nearly allindustries. But physical spaces still remain, and facilities
managers are now taking on the challenge of designing
roadmaps for spaces that align with the needs of
employees, consumers and all other relevant stakeholders
while also upholding necessary safety precautions.
Deloitte describes the critical next steps for enterprises,1
as well as for small and medium-sized businesses.
Facilities managers will step into a prominent new
strategic role in working through the change in mobility,
the layout of the spaces and contact with suppliers.
When COVID-19 hit, large enterprises were quick torecognize that emerging digital tools like Virtual Reality(VR) would prove essential not only for internal needs,
but also for the needs of their consumers. In 2020,
investments in building and supporting a digital presence
helped businesses fulfill the needs of consumers suddenly
restricted from visiting their favorite stores — recently, ST
Engineering Antycip found that VR in retail is predicted togenerate $1.6 billion by 2025.2
1 www2.deloitte.com/be/en/pages/risk/articles/impact-covid-19-on-facility-management.html
2 steantycip.com/blogs/future-of-retail-is-virtual/01

In a global survey, Matterport worked to determine

Liban in Lebanon,4 there are endless opportunities

whether the rise in digital spending indicatesfor merchants to create new value.

a permanent shift in consumer behavior or if
physical locations should still hold a prominent

Capturing immersive digital twins of stores is onerole in business strategy. Matterport’s researchsuch example of this - an innovative solution which

reveals that, while consumers are energized by theis capable of preserving what consumers consider

ways in which online retail is evolving, they long for“the best parts of a retail experience” while still

the experience of interacting with a brand throughunlocking the possibilities offered by the retail of

its physical locations.

tomorrow. Can 3D experiences be the lifeline forstruggling merchants trying to stay relevant in an

As new technologies continue to evolve, theincreasingly digitized landscape, forming a new

possibilities for transforming the customer

frontier for brick-and-mortar stores?

experience are endless. There are a myriad of
applications of such technologies being utilized in

As a number of Matterport case studies show,

retail across online channels and brick-and-mortar

3D virtual stores are already driving a shift 		

facilities. From the art of chocolate-making at

in culture - a movement which is being felt on

the French Broad Chocolate Factory3 in the U.S.

an international scale.

to a holiday shopping experience with JouéClub

3 matterport.com/en-gb/media/3734
4 matterport.com/en-gb/blog/virtual-toy-shopping-open-lebanon02

2020: The Year That Made Us 		
Long for the Brick-and-Mortar StoreIn the space of just 11 months, COVID-19 has managed
to cause unprecedented disruption on a global scale.
All sectors have been seriously impacted by the
lockdowns and social distancing measures introduced
to mitigate infection rates, and brick-and-mortar retail

69% ofis no exception.

consumers

By Q2 2020, countless stores were forced to close

surveyed by Matterport

their doors to the public for safety reasons. This
prompted brands to migrate most of their businessonline, resulting in a sudden surge of eCommerce
sales. Business Insider estimated that across theglobe, eCommerce spending5 reached a total of$3.914 trillion in 2020.

miss the experienceof walking around a
store and browsing 		the product displays.

While a staggered approach to lockdown acrossdifferent countries meant that brick-and-mortar stores
were able to reopen at intervals throughout the year,
business has yet to return to pre-pandemic levels.
Consumer confidence has been deeply affected, asMatterport’s research shows, with a strong reluctanceto venture into stores. 66% of respondents in aninternational survey cited “crowded stores” as their
top concern, while 36% were most concerned by “thefear of getting sick”’.
However, Matterport research also found that 69% of
respondents miss the experience of walking around a
store and browsing the product displays.

5 www.businessinsider.com/global-ecommerce-2020-report03

As Forbes contributors explain, retail stores provide an opportunity for connection6: the traditional
shopping experience is ingrained in cultures across the world. While consumers remain engaged with the
evolving possibilities of online shopping, it is clear that physical stores still have a future in the world of retail.
Indeed, the Global Digital Shopping Index found that while there was a 60% increase in the share ofpurchases made with digital devices7 since the outbreak of the pandemic, there was a 28% increasein the share of consumers who are interested in cross-channel shopping experiences post-pandemic.
Successful merchants will be those who achieve a seamless, omnichannel shopping experience acrossall touchpoints, regardless of whether they are digital or physical.
Consumers have come to expect the personalization eCommerce brings, including catered
recommendations and promotional sales. Yet, this is only a piece of the potential: by marrying theconvenience and frictionless elements of eCommerce with the emotional “connection” brick-and-		
mortar stores offer, organizations can achieve an even more compelling retail experience.

By marrying the convenienceand frictionless elementsof eCommerce with theemotional “connection”
brick-and-mortar stores
offer, organizations canachieve an even morecompelling retail experience.

6 www.forbes.com/sites/forbesnonprofitcouncil/2018/09/04/the-advantage-brick-and-mortar-stores-will-always-have-over-online-retail/?sh=33f8905f772d
7 www.pymnts.com/study/digital-shopping-payments-satisfaction-usa-cybersource/04

A 3D Retail Experience
A common misconception is that any digital

person. At a time when in-store browsing isinnovation in the retail sector will contribute to the

not always possible, a 3D digital twin provides

demise of brick-and-mortar stores. However, 3D

consumers with an immersive experience of atechnology is more likely to form the connection

store, which they can explore freely and safely.

between ecommerce and brick-and-mortar,
ushering physical retail spaces into the shopping

Humanscale,8 a company that designs andlandscape of the future.

manufactures ergonomic products for everyday
life, provides just one example of how thisNow, anyone can scan a physical environment,

technology can be utilized to overcome thecollect data from it and then accurately reproduce

challenges of today’s world.

it into a digital three-dimensional space. Thismeans merchants can capture their stores with

Humanscale needed to figure out a creative way

a 3D camera and recreate them on-screen — a 3D

to give visitors virtual access to their showroom indigital twin.

New York City when one of the largest trade showsin their industry faced cancellation as a result of

The ability to capture space using this ground-

COVID-19. Capturing a 3D digital twin provided thebreaking technology allows users to visualize

solution that would give their visitors high-quality

environments they are unable to experience inaccess to their products in a safe way.

Using 3D capture
technology, a user
can scan a physicalenvironment, collectdata from it and thenaccurately reproduce
it into a digital threedimensional space.

8 https://matterport.com/blog/humanscale-gives-customers-virtual-access-its-showroom-247

05

63% of respondents

Matterport’s research shows significant interest in
3D shopping. When asked whether they would befelt that a 3D virtual store
would provide a more
exciting experience than
traditional online shopping.

interested in shopping in a 3D virtual space compared
to an online store, 73% of respondents answered
affirmatively. Meanwhile, 63% of respondents feltthat a 3D virtual store would provide a more exciting
experience than traditional online shopping.

In this way, 3D virtual stores highlight how eCommerce and brick-and-mortar shopping complement rather
than supplant one another. In the case of Winning Appliances,9 a century-old, fourth-generation familybusiness from Australia, a Matterport Pro 210 camera captured three Winning Appliances showrooms, andnetted close to 20,000 visits to just one of them in a few months.
John Winning, CEO of Winning Group, explained: “The virtual showroom complements our in-store multisensory shopping experience, providing inspiration for customers to create their dream kitchen and laundry
and allowing them to see what appliances look like in a home setting.” By enabling businesses to promote
their physical spaces, 3D technology is playing a key role in future-proofing the retail sector.

“The virtual showroom complements
our in-store multi-sensory shopping
experience, providing inspiration
for customers to create their dream
kitchen and laundry and allowing
them to see what appliances look
like in a home setting.”—John Winning, CEO of Winning Group

9 matterport.com/en-gb/media/2922?industry%5B330%5D=330
10 matterport.com/node/519

06

SPOTLIGHT |In a December 2020 Fast Company article,
S.A. Applin discusses virtual shopping
experiences powered by Matterport,
including by Cost Plus World Market, Ralph
Lauren, Lily Pulitzer, Andersen Windows
and Doors, Micha-Paris, Herman Miller, andFerguson Bath, Kitchen and Lighting Gallery.
“Replacing brick-and-mortar stores with virtual ones removes that critical aspect of community.
With any luck, it will return after the pandemic. For now, I’m enthusiastic about walk-throughvirtual store shopping. Even with its limited floor plan and inventory (World of Joy), or ads taunting
me about a world of human behavior that’s currently on hold (Ralph Lauren), wandering anywhereoutside of the house during this ... lockdown push offers a bit of a desperately needed changeof scenery. For the dark winter of 2020, being able to wander and connect with the marketplaceoutside the home in a somewhat familiar way is a … shopping winner.”— S.A. Applin

READ MORE

07

Planning and managing experiences at scale
Retailers can do more than create a new and exciting eCommerce experience. They can quickly capture
3D virtual tours of in-store equipment, inventory, product selection and placement, POS displays, andmuch more to create a consistent brand experience across locations. Using this visual data, stores canplan, implement, and manage floor layouts and merchandising more efficiently than ever before.
Merchants are able to provide a digital blueprint for other stores to follow and successfully replicate, sothat each customer receives a high-quality, omnichannel experience regardless of store layout, location ordesign limitations.

““

Visualizing a future in-store experience is the first step toward making it real, and Matterport solutions
play a central role in helping Apex and its clients see what’s possible.

—Dan Cardona, Chief Operating Officer at Apex Imaging Services11

SPOTLIGHT | Apex Imaging Services
Bringing in-store experiences to life
Compelling in-store experiences are the key

work with their clients to reimagine the shopping

to attracting customers and earning repeat

experience. These interactive models are sharedbusiness. With increased competition acrossacross departments, including facilities and realchannels, creating an exceptional customer

estate, to promote consistency and internal

experience is more important than ever.

visibility across locations.

That’s where Apex Imaging Services comes in.
For Apex, the benefit of using Matterport is clear:
Apex utilizes solutions including Matterport toDigital twins capture all the necessary data the firstvisualize future in-store experiences with 3D

time, which translates to a more accurate scope ofdigital twins of existing ones. From there, theywork from the outset and a smoother rollout.

READ MORE

11 matterport.com/industries/case-studies/apex-imaging-services-brings-store-experiences-life-3d-site-survey

08

Enabling Safe Reopening During Covid-19 Restrictions
Whether for a quick order pick-up or a socially-distanced in-store visit, Matterport can provide customers
peace of mind with visual assurance that the right safety measures and precautions have been taken on
premises. Consumers can quickly and easily check out a store’s arrangement online to ensure that it isfollowing physical distancing guidelines.

SPOTLIGHT | Herman Miller
From Your Sofa to Ours
When COVID-19 first closed Herman Miller’s London showroom last year, the furniture company needed an
innovative way to provide people with access to its spaces regardless of physical proximity. Matterport 3D
virtual tours were a perfect solution.

ways to welcome customers and employees and make the physical space work harder for us.

—Rebecca Smith, Marketing Executive at Herman Miller
Since implementing, the company’s showroom now has a global audience. Not only can they host clientsfrom around the world and across different time zones, but customers can safely experience the brandfrom the comfort of home. In an industry where a sense of scale and dimension is a leading purchasedriver, virtual showrooms merge the benefits of in-person and online shopping.

READ MORE

09

“

“

We wanted a tool to help grow our audience beyond local proximity. It was essential to find creative

Matterport’s Role in Reshaping RetailBy utilizing Matterport’s innovative 3D technology, retailers can capture a digital twin of theirstores and enjoy a wide array of benefits while providing consumers with an exciting, engaging new way
to shop. Some of these benefits include:
Faster Time to Market
Acquiring, constructing, remodeling and rebranding retail sites are tasks that require accurate physicaldetails and measurements to enable effective collaboration with architectural firms and third-party
contractors. Matterport captures the data needed for more precise bids without time-consuming site
visits, and helps to accelerate decision-making. Designers can generate accurate point cloud data directlyfrom a Matterport 3D digital twin to quickly create CAD, Revit or SketchUp models. 3D design templates
can be easily replicated for other stores.
Improved Documentation & Stock Management
Digital twins of retail spaces are a simple and cost-effective way to stay on top of maintenance issues
and train employees on new processes. Matterport digital tags, known as Mattertags, are used to label
equipment within the 3D space to document repairs, upkeep requests and training information.
Consistent Shopping Experiences
Matterport not only delivers an accurate 3D visual representation of stores, but the data behind it.
Employees have easy and intuitive access to information that would have been impossible to findburied inside emails and spreadsheets, including accurate measurements of the entire store anddimensions of the aisles, equipment and anything else within it. Digital twins of stores can be used
to plan merchandising, seasonal and promotional rollouts, too.

10

Staff Training
Employees also benefit from 3D walkthroughs of thestores they will be working in. New or visiting employees
can gain access to a store from their own computer
to quickly understand the flow of the space without
the need of an in-person walkthrough. Helping new
employees learn their way around means they can hit the
ground running when they start, effectively minimizing
the time required to train new recruits on-site.

Spatial data capture
can convey real-time
analysis of how
customers movearound a retail space
and interact with the
products being offered.

Data Insight
When it comes to the role of data within the retail space
and its relationship with immersive technology, there’s awealth of information waiting to be unearthed that could
be of vital importance to improving marketing efforts.
Similarly, spatial data capture can convey real-time 		
analysis of how customers move around a retail space
and interact with the products on offer. This information
can then be harnessed to improve marketing, optimize
stock and increase revenue.

11How Can 3D Retail Evolve Further?
According to Goldman Sachs,13 the AR and VR
market in retail is set to reach $1.6 billion by 2025.
Two-thirds of internet users would be interested in a
virtual reality shopping experience, and 63% believethat technology of this nature will have a strong
influence on the way they shop.

The AR and VR market
in retail is set to reach$1.6 billion
by 2025.

Even though shoppers are starting to explore the benefits of shopping in 3D environments, theopportunities for further development are as real as they are exciting. There are a number of ways that
AR, VR and immersive 3D digital technology could enhance the retail experience in the future:

More Immersive Employee Training and Onboarding
3D and VR technology could prove a vital tool in helping with staff training and onboarding. By utilizing
immersive technology, merchants can place their staff in real-life situations to help them deal with a hostof scenarios they are likely to encounter while on the job. This could include lessons on managing difficult
customers, delivering first aid and even crowd management and crisis training.
Shop with a Friend
The effects of the global pandemic have caused a shift in the way we interact with the retail experience.
Social distancing measures and reduced capacity have ushered in a new age of online-only, solo shoppingthat has left many consumers pining for the participatory shopping experience. By combining Matterport’s
3D technology with AR or VR, users can shop virtually with companions, and interact with one another as
they browse.
Virtual Product Journeys
Consumers are becoming increasingly conscious of not only the products they are using, but also of theirjourney in terms of sourcing, manufacture and logistics. Complete transparency is fast becoming the
new normal of consumerism, and the opportunity for VR to help facilitate this need is more apparent thanever. We’re already starting to see this with tools such as Vivino, which allows users to “choose wine withconfidence” by scanning a bottle via their smartphones to instantly access ratings, reviews and prices.
Matterport technology can further expedite this experience by integrating product information into the 3D
scan itself, from the inception of the product’s lifecycle right through to its final destination on the store
shelf. Consumers looking to make more informed buying decisions would be able to access details about
the lifecycle of any given product in the store.

13 steantycip.com/blogs/future-of-retail-is-virtual/12

Bringing Products to Life with VR and 3D Modelling
In much the same way that we foresee 3D technology making a huge impact on providing shoppers withcomplete transparency, we’re also excited to explore the possibilities of ‘bringing products to life’ withMatterport. This has already been demonstrated with digital in-store mirrors, such as the interactive
experience in Ralph Lauren’s flagship New York store.14
Digital mirrors allow shoppers to scan any items they want to try, which are then displayed on the interactive
dressing room mirror. Shoppers can also use the mirror to adjust the lighting in their fitting rooms or swap
certain items for different sizes or colors. There’s even the option to call a sales assistant to the fitting room
via the mirror and save items to the shopper’s smartphone so they can be purchased at a later date.

14 digiday.com/marketing/retailtech2016-inside-ralph-laurens-connected-fitting-rooms/

13

The Future of Spaces with Matterport
The traditional brick-and-mortar retail experience isn’t being phased out, it is simply evolving,and Matterport is leading that evolution. Leveraging Matterport, merchants can capture and preserve
the traditional shopping experience to offer familiarity, while also enhancing business efficiency anddriving growth.
The impact of COVID-19 on the retail industry has served as a catalyst for changes already underway in the
sector. Consumer behavior is driving a digital shift; but successful retailers will be those whose omnichannel
environment seamlessly unites their brick-and-mortar locations with their eCommerce platforms.
Platforms such as Matterport will prove to be essential in successfully catering to evolving consumer
preferences, and also in empowering retailers of every size with new insights that will unlock further
business growth.

About Matterport
Matterport is leading the digital transformation of the built world. The Company’s groundbreaking spatial computing
platform turns buildings into data making every space more valuable and accessible. Millions of buildings in morethan 150 countries have been transformed into immersive Matterport digital twins to improve every part of thebuilding lifecycle from planning, construction, and operations to documentation, appraisal and marketing.
The company has been serving the real estate and photography industry since its inception and is also being adopted
by major brands in architecture, engineering, construction, facilities management, insurance, restoration, retail, travel
and hospitality.

Learn more at matterport.com. Or contact your regional office today at matterport.com/contact-us

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information within this ebook.
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