Abstract
As new AR supported products such as location-based AR navigation systems become available in the consumer market, it is particularly important to understand how user perceptions of AR can be optimized to enhance customer satisfaction and increase purchase intention of these products. However, little research has addressed this gap in the literature so far. Therefore, this study developed a theoretical framework including user perceptions of AR, experience, satisfaction and purchase intention employing experience economy theory. This study's main theoretical contribution is that three user perceptions of AR – spatial ability (sensory domain), sense of presence (feeling domain), and conceptual understanding (cognitive domain) – were found to be key antecedents of consumers' intention to purchase location-based AR navigation systems through the mediation of educational, entertainment, aesthetic, and escape experience. The findings have important implications for future development of location-based AR systems.
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