AR Software - Canada | Statista Market Forecast

Revenue in the AR Software market market in Canada is projected to reach US$286.5m in 2024.
Revenue in this market is expected to show an annual growth rate (CAGR 2024-2029) of 6.44%, resulting in a projected market volume of US$391.4m by 2029.
While most revenue is generated the United States, the Canadian market is also experiencing growth.
In the AR Software market market in Canada, the number of users is expected to amount to 31.3m users by 2029.
User penetration in Canada will be 76.2% in 2024 and is anticipated to hit 76.9% by 2029.
The average revenue per user (ARPU) in Canada is expected to amount to US$9.6.
Canada's AR software market is experiencing robust growth, driven by increased investments in immersive technologies across various sectors, including education and healthcare.

The AR Software market comprises all in-app ad revenues generated from apps that have AR features as well as revenues from app purchases. These apps have to be accessible via iPhones and Android phones and must be distributed via major app stores. The market consists of three markets: Social Media, Gaming, and eCommerce. In social media, augmented reality is used when integrating different face filters and lenses into the relevant apps. In gaming, augmented reality is used to display characters, surfaces, and/or anything else on mobile phones by employing mobile cameras. Similarly, in eCommerce, augmented reality is used to either “try on” different clothes or makeup by making them appear on your mobile phone or to even display different pieces of furniture, placing them somewhere in the surroundings filmed by you. The most popular apps are Snapchat, Instagram, Pokémon Go, and Ikea Place. All revenue data solely refers to B2C transactions.

All apps including augmented reality that are distributed via major app stores and used by consumers for gaming, social media activities, and eCommerce
Apps that run on iPhones and Android phones
Major apps include Snapchat, Instagram, Pokémon Go, and Ikea Place

Augmented reality apps that are not distributed via major app stores or run on devices other than iPhones and Android phones
B2B enterprise software

The AR Software market in Canada is experiencing significant growth and development due to several key factors. Customer preferences, trends in the market, local special circumstances, and underlying macroeconomic factors all contribute to the current state of the AR Software market in Canada.

Customer preferences: Customers in Canada are increasingly seeking immersive and interactive experiences, which has led to a growing demand for AR Software. This technology allows users to engage with virtual content in the real world, enhancing their overall experience. Businesses and individuals alike are adopting AR Software to create unique and engaging experiences for their customers.

Trends in the market: One major trend in the AR Software market in Canada is the integration of AR technology into various industries. From retail and e-commerce to healthcare and education, businesses are finding innovative ways to incorporate AR Software into their operations. For example, retailers are using AR to provide virtual try-on experiences for customers, while healthcare providers are utilizing AR for surgical training and patient education. Another trend is the development of AR Software for mobile devices. With the widespread use of smartphones and tablets, AR Software developers are creating applications that can be easily accessed and used on these devices. This accessibility has made AR Software more widely available to the general public, further driving its adoption in Canada.

Local special circumstances: Canada has a strong technology sector and is home to many innovative AR Software companies. The country's supportive business environment, access to funding, and skilled workforce have contributed to the growth of the AR Software market. Additionally, Canada's multicultural population provides a diverse customer base for AR Software developers to cater to.

Underlying macroeconomic factors: The Canadian economy is stable and growing, which has created a favorable environment for the AR Software market. Businesses have the financial resources to invest in AR Software development and implementation, while consumers have the disposable income to purchase AR-enabled products and services. Additionally, the government's focus on innovation and technology has further supported the growth of the AR Software market in Canada. In conclusion, the AR Software market in Canada is experiencing significant growth and development due to customer preferences for immersive experiences, trends in the market such as integration into various industries and mobile applications, local special circumstances including a strong technology sector, and favorable underlying macroeconomic factors. This growth is expected to continue as businesses and individuals in Canada continue to embrace AR Software as a means to enhance their operations and engage with customers.

Data coverage:

The data encompasses B2C enterprises. Figures are based on AR software revenue, which includes revenues related to in-app purchases as well as revenues from the purchase of social media, gaming, and eCommerce apps.

Modeling approach / market size:

The market size is determined through a top-down approach. We use annual financial reports of the market-leading companies and industry associations, as well as third-party studies and reports to analyze the markets. To estimate the market size for each country individually, we use relevant key market indicators and data from country-specific industry associations, such as consumer spending, internet penetration, 4G coverage, and historical developments.

Forecasts:

We apply a variety of forecasting techniques, depending on the behavior of the relevant market. For instance, the S-curve function and exponential trend smoothing are well suited for forecasting digital products and services due to the non-linear growth of technology adoption. The main drivers are level of digitalization, adoption of technology, GDP per capita, and internet penetration.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. In some cases, the data is updated on an ad hoc basis (e.g., when new, relevant data has been released or significant changes within the market have an impact on the projected development).

This report presents a comprehensive analysis and additional information on the Advertising & Media market, in a PDF format.

Augmented reality (AR) technology integrates digital information with the physical environment, live and in real time. Through the addition of graphics, sounds, haptic feedback, or even smell to the natural world as it exists, AR can combine real life with a super-imposed image or animation using the camera on a mobile device or through AR headsets and glasses. As part of the wider extended reality (XR) industry, the global AR market size is expected to grow considerably in the coming years.