Consumer ISG - Holiday Guide 2021 - Flipbook - Page 7
The Hogan Lovells Holiday Guide 2021
Can Augmented Reality
help in the desperate
search for the right gift?
Maria Luigia Franceschelli and Elia Salardi, Milan
With the holiday season approaching, many
consumers may be struggling to find the right present.
They are bored of gifting the classic Santa sweater or
festive tea cup and they may be stressed about finding
the right size or shape of garments and accessories.
Companies are increasingly keen to exploit the
competitive advantage offered by AR to also
differentiate themselves from their competitors
and to engage their consumers.
Augmented Reality (“AR”) could be the perfect solution.
AR allows users to interact with their potential purchase
and to overcome the biggest obstacle often faced when
shopping online, namely determining whether a
certain gift is the right product and the right fit.
A further benefit is a reduction in returns of products
purchased online. AR allows consumers to make
a detailed inspection of products in the virtual
marketplace, reduces the possibility of mistakes in the
purchasing process and, consequently, lowers the rate
of returns, with corresponding economic advantages.
Brands know this. This is the reason why more and
more brands are using the AR technology for e-commerce
and digital advertising.
To ensure the success of an AR-related business, an
effective legal strategy is key. Indeed, there are many
legal implications of AR, especially in the IP field.
Many e-commerce companies have been integrating
“try-on” AR systems on their apps and websites in recent
years, allowing consumers to obtain detailed product
information which is very close to that which they
would get if they were examining the product in a
physical environment. AR “try-on” systems allow
consumers to preview products digitally in their own
homes, or on their own bodies, and then instantly buy
the corresponding physical product.
For example:
•B
rands may consider filing a patent application
covering the AR software.
•A
R systems can facilitate counterfeiting, a scourge
already widespread in the context of e-commerce.
A good filing strategy should consider this.
•W
hile using AR technologies, consumers may create
content that includes not only the brands’ products
and trademarks, but also those of competitors.
Under certain circumstances, this activity can be
qualified as comparative or misleading advertising.
•A
company can develop an AR application (especially
in video games) that might show, after framing a
brand or sign of a competing shop, a pop-up inviting
the user to check out promotions for its own products.
This conduct may be challenged by competitors.
Consideration of the legal aspects of AR will help
ensure success this holiday season.
6