Virtual Reality Statistics: A 2020 Snapshot

Virtual reality (VR) and augmented reality (AR) are growing, but how fast, and for whom? Market research from 2019 and 2020 tried to answer that, and the numbers were widely repeated in articles about immersive technology. This page summarizes the main claims from the original article. All figures come from third-party research cited there and reflect the situation around 2020, so they should be verified against current sources before use.

How many people use VR and AR?

A forecast quoted in the article expected tens of millions of Americans to use VR at least once a month in 2020, and a larger number to use AR. According to those estimates, roughly one in six people in the United States would use VR and one in four would use AR monthly. A research firm also projected that global spending on the two technologies would approach nineteen billion dollars in 2020.

Market size and growth

The combined AR and VR market was forecast to grow to above two hundred billion dollars by 2022.
VR video game revenue was expected to be in the low twenties of billions in 2020.
Worldwide VR users were estimated at more than 170 million.
The consumer VR market was predicted to reach a few billion dollars by the end of 2020.
Standalone devices were forecast to see strong demand growth between 2018 and 2022.

Estimates like these differ widely because analysts define “VR user” and “market” in different ways. Some count only headsets, others include software, services and enterprise projects.

The effect of the pandemic

The article noted that the coronavirus pandemic reduced consumer VR spending in 2020 compared with 2019, partly because of disrupted supply chains and economic uncertainty. At the same time, interest in remote experiences such as virtual tours grew, because people could not travel or meet in person.

Devices

Forecasts for shipments suggested that sales of VR and AR devices would climb steadily toward the middle of the decade, reaching tens of millions of units a year. In 2019, the article said, millions of devices were bought worldwide, and a large share of headset owners had bought at least one game.

E-commerce and marketing

VR is also entering retail. One figure quoted in the article suggested that using VR in online shopping could lift conversion rates by a modest percentage. A separate survey found that many consumers had positive feelings about branded VR experiences, while very few felt negative. A majority of people who had tried VR said they had told friends about it, which marks VR as good for word of mouth. Another figure suggested that a small share of shoppers would visit physical stores more after a VR experience.

Brand interest is strong as well. The article stated that most of the world’s most valuable brands had invested in some AR or VR project, though that figure came from research done in 2015 and could be out of date.

Travel and charity examples

The article listed a few case studies:

Some travelers who experienced a vacation in VR went on to book a trip or contact hospitality companies.
A charity reported a rise in donations after people viewed a VR film about conditions in a conflict zone.
A tour company said revenue from a New York excursion rose after promoting it with VR.
A hotel group found that guests who saw VR travel stories expressed more interest in staying at other locations.

Case studies like these are usually reported by the organizations involved, so they should be read as examples rather than guarantees.

A short history

VR is not new. Early head-mounted displays appeared in the 1960s, credited in the article to Ivan Sutherland and a student assistant, and the field has been evolving ever since. Today it is used in many areas, including healthcare, education, the military, gaming and film.

Gaming and entertainment

Gaming remains the biggest consumer use. Sony and Microsoft have both pushed VR as part of their gaming strategies, and one estimate in the article gave Sony a large share of headset shipments in 2019. Beyond games, cinemas and theme parks are experimenting with immersive formats.

Mobile phones

The article said that most VR users worldwide, and nearly eighty percent of those in the United States, accessed VR through a mobile phone. That suggests that content designed for phones can reach the broadest audience.

How to read these numbers

Check the date. Technology statistics age quickly.
Find the original study instead of relying on repeated quotations.
Note the definitions and the sample.
Compare more than one forecast.
Remember that the publisher may have an interest in the technology.

Why numbers diverge

Two reports on the same year can disagree by a large margin. One might measure sales by manufacturers, another spending by consumers and a third the value of all related services. Forecasts also depend on assumptions about prices, content and consumer interest, which can shift quickly. For a business decision, build a range from several credible sources and revisit it regularly rather than relying on a single headline number.

Using statistics responsibly

If you publish or present figures, name the source and year, round sensibly and avoid suggesting precision that the data cannot support. Pair numbers with real examples, such as a pilot project in your own organization, to show what the technology can do in practice.

Final thought

The statistics suggest a technology with strong momentum but with real uncertainty about the pace. Whether VR becomes as common as the smartphone remains to be seen, but the growing list of uses, from property tours to training, shows it has already found a place.

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