On Tuesday (September 17), NexTech AR Solutions (CSE:NTAR) announced it will be integrating its augmented reality (AR) services in a partnership with trucking logistics company Challenger Motor Freight.
Through the application of hologram and AR technology, NexTech will project brand ambassadors through its ARitize platform, designed for recruiting new drivers for Challenger Motor Freight. Central to its technology are its mobile interoperabilitas.
Founded in 1975, Challenger Motor Freight is the foremost privately owned transportation company in Canada with over 1,500 trucks and 2,000 employees.
“Our ARitize platform is a powerful tool which allows brands to curate an immersive, branded experience where they can sell, teach, communicate and share their product, service or experience through (AR) accessible on a device all consumers use regularly — their mobile phone,” NexTech CEO Evan Gappelberg said in a press release.
Along with mobile capabilities, the ARitize app has customizable options for clients, allowing them to curate their products, services and brands with AR additions. Brands are projected in 3D, aimed at creating a more immersive experience.
In addition to its mobile app, NexTech’s AR ecommerce platforms have been integrated with Magento, Shopify (TSX:SHOP) and WordPress.
Since going public in November last year, NexTech’s shares have jumped nearly 150 percent. While the past nine months have shown lagging returns —with shares slumping near 23 percent — the company has secured several deals across its ecommerce and AR channels.
For example, on September 13 NexTech signed an ecommerce agreement with Gunwerks, providing customers the ability to view products with the flexibility of 3D AR technology.
Similarly, in August NexTech signed an agreement with LAPolice Gear.com to integrate its AR services across LA Police Gear’s online shopping platform. Earlier that month NexTech also secured a deal with Alpine Innovative Research where it provided its mobile sales tool for the air purification company.
Still, as the company notes in its earnings report in April, it reported a net loss of C$1.3 million, more than triple the amount compared to last year. It also reported an increase in cash, reaching C$2.3 million, up from C$1.3 million in 2018.
According to Mordor Intelligence, the global AR market is expected to skyrocket by a compound annual growth rate of over 150 percent between 2019 and 2024. In 2018, the global market size for the sector stood at US$350 million.
As AR gains momentum, the addition of 5G technology will present a key driver for AR’s integration into the retail industry, the report adds. Through these advancements, Mordor Intelligence projects that, by 2020, the user base for AR technology will reach one billion. End-user verticals for AR technology include industries such as retail, gaming, health care, defense and education.
To that end, AR application is anticipated to grow the fastest in commerce, rising 78 percent between 2020 to 2025, followed by applications in hardware and communication, both expected to accelerate by 68 percent during the same time frame.
NexTech shares opened at C$0.62 on Tuesday, and remained unchanged as of market close.
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Securities Disclosure: I, Dorothy Neufeld, hold no direct investment interest in any company mentioned in this article.