Pokemon Go is a game that took the world by storm and became the single most popular app ever downloaded. It was the first of its kind that used GPS technology in order to create an augmented reality world filled with Pokemon. Before the release of this game there had been very little push into the world of augmented reality. It was believed that it would fail to catch on and there wasn’t a major market for the niche. Thanks to Pokemon Go, we have now seen that this a whole world of untapped potential.
By October of 2016 the Pokemon Go application had earned a total of $600 million in revenue. It has now been evaluated at a net value of over $3 billion due to the worldwide success of the game. The game has made most of its revenue by using in-app purchases. This model is nothing new, but the game also showed a new way of marketing for local businesses.
Businesses would use the app in order to hold special promotions and encourage people to stay at their shops and restaurants. This has shown that there is a market to hold special events at certain promoted locations through augmented reality apps to encourage people to shop at these places. Both small and large businesses would be incentivized to purchase time slots for special in-app events during times when they have deals or events going on at their store.
Some shops did actually do this with Pokemon Go, even if not directly. They would set up Lures at their location in order to bring in pokemon, which in turn would bring in players. These could be bought on the store and were meant to be used by players directly.
It will be interesting to see where the world of augmented reality goes from here.