How Online Extended Reality (XR) Promotes Consumer Offline Engagement

Presenter Information

Jiahong Xu, University of Science and Technology of ChinaFollow
Jingmei Zhou, Renmin University of ChinaFollow
Hefu Liu, School of Management, University of Science and Technology of ChinaFollow
Qian Huang, School of Management, University of Science and Technology of ChinaFollow

Paper Number

1752

Paper Type

Completed

Description

Using extended-reality (XR) simulation to replicate physical surroundings has become increasingly prevalent in engaging online consumers with offline businesses. However, the efficacy of this XR technology remains ambiguous. To justify the huge investments in XR-related technologies, we investigate the impacts of extended surroundings on consumers’ offline engagement with associated businesses. Specifically, we utilize a natural experimental design on a leading housing platform that applies XR simulation to present the surrounding environment of housing estates. By combining propensity score matching and difference-in-differences, our findings indicate that extended surroundings increase consumer offline engagement outcomes, particularly word-of-mouth volume, and valence. Furthermore, we examine the heterogeneous effects moderated by three business characteristics. To our knowledge, this is the first to examine the impacts of XR simulation of extended surroundings. Therefore, this research offers significant implications for the literature and practice related to XR and omnichannel marketing.

Comments

22-Digital

Recommended Citation

Xu, Jiahong; Zhou, Jingmei; Liu, Hefu; and Huang, Qian, "How Online Extended Reality (XR) Promotes Consumer Offline Engagement" (2023). ICIS 2023 Proceedings. 2.
https://aisel.aisnet.org/icis2023/emobilecomm/emobilecomm/2