Beyond the Mirror: How Augmented Reality Is Transforming Beauty Retail

During their first time in a beauty store, consumers can be overwhelmed by the various products that all accomplish the same goal. What eyeliner is best? Should I choose powder or liquid blush? And most of all, what shade am I? These questions are slowly being answered by a new tool introduced into the beauty world, augmented and virtual reality try-on tools. 

Virtual Try-On Technology (VTO) has been on the rise since the introduction of AI. This category specifically works for the beauty industry because of how indecisive today’s consumer is. Augmented reality is a way to overlap digital technology onto the real world environment, allowing consumers to experience a digital world without fully diving into virtual reality. This is done through in-store mirrors and online try-ons. Consumers can virtually try-on a makeup combination or one singular product to see how it looks on them before purchasing. 

VTO does not stop there; there are also AI skin analyses that brands conduct, recommending consumers the best products for their skin. AI has assimilated itself into the beauty industry through both skincare and makeup. In doing so, the way consumers shop has been changing as well. According to Mckinsey, 70% of consumers expect personalization when they shop. With Generation Z slowly becoming the largest consumer group in beauty, as technology natives, they are more accepting of embracing VTO and utilizing it to its full potential. Similarly, Mckinsey found there has been a 25% reduction in return rates when VTO tools are integrated and 58% of consumers are more likely to buy from a brand who has online quizzes offering product recommendations. 

These statistics showcase the future of VTO tools and how shopping in-store will evolve. Brick and mortar attendance rates have already started dropping with the increase in online shopping. VTO will continue to impact this shift with consumers either only shopping online altogether or spending less time in store each time they shop, as they already know what product to get. 

To combat this shifting landscape, brands are already employing their own tools. For example, L’Oreal Paris has a Skin Genius AI on their website, which is a tool that analyzes a consumer’s face and recommends them products. This is a step above from a simple personalized quiz where consumers answer questions about their skin. Skin Genius will analyze their skin based on eight attributes such as: fine lines, wrinkles, firmness, and pore quality. Then a personalized skincare routine is created, along with specific products targeting the eight different skin attributes. 

In terms of makeup and virtual try-ons, Ulta has a GLAMlab feature on their website, allowing consumers to try on thousands of makeup products such as Nyx Butter Gloss lip products and IT Cosmetics foundations. Additionally, if a consumer does not want to show their own face they can try on different products on a model of the same shade. 

Personalization is altering beauty consumer preferences and brands need to stay ahead to fully embrace today’s consumer. What used to be indecision has transformed into exploration and opportunity with consumers no longer confused by a vast array of products. Instead, excitement has overtaken with consumers able to try on as many products as desired, virtually and comfortably.

Works Cited

Bentley University. (2025, August 4). 4 Shifts in the way consumers shop for beauty | Bentley University. Bentley University. https://www.bentley.edu/news/4-shifts-way-consumers-shop-beauty

GLAMLab | Virtual Makeup Try-On | Ulta Beauty. (n.d.). https://www.ulta.com/discover/glamlab

Sinai, O. (2025, April 7). Augmented reality in the beauty & cosmetics industry. Rock Paper Reality. https://rockpaperreality.com/insights/ar-use-cases/ar-beauty-cosmetics-industry/

Skin Genius Personalized Skin Analysis Tool – L’Oréal Paris. (n.d.). https://www.lorealparisusa.com/skin-genius-landing-page?gclsrc=aw.ds&gad_source=1&gad_campaignid=20766403425&gbraid=0AAAAADrycwvS57dCbCX6vuUlBvMUnE6m2&gclid=CjwKCAiAtq_NBhA_EiwA78nNWJy8D2i-XdWX_xsKXFhmhCIinZI6nLMJxZLCDYjsoWgdm33g7qWB8BoCAK4QAvD_BwE

Weaver, K., Pacchia, M., & Hudson, S. (2024, September 11). The beauty boom and beyond: Can the industry maintain its growth? McKinsey. Retrieved March 7, 2026, from https://www.mckinsey.com/industries/consumer-packaged-goods/our-insights/the-beauty-boom-and-beyond-can-the-industry-maintain-its-growth