TORONTO-(BUSINESS WIRE)-Nextech AR Solutions Corp. (“Nextech ” or the“ Company ”) (OTCQB: NEXCF) (NEO: NTAR) (CSE: NTAR) (FSE: N29), a Metaverse Company and leading provider of augmented reality (“ AR ”) experience technologies and services is pleased to announce the closing of multiple new 3D modeling deals for ecommerce, providing the Company with a continuously growing base of ARR (annual recurring revenue) and MRR (monthly recurring revenue). The Company has been contracted to produce approximately another 400 3D models from these new deals, on top of the 1500 announced last week, showcasing the accelerating demand of Nextech’s state-of-the-art AI-powered ARitize 3D and ARitize CAD technologies.
Nextech AR CEO commented, “I believe that 3D models are a must have in 2022 and beyond and that it will become increasingly difficult and eventually impossible to compete and do business online without 3D models when your competitors are adopting this technology. 3D technology gives ecommerce leaders a competitive edge during both a good and challenging economy such as now. What’s ultimately pushing ecommerce leaders to move toward 3D models is the bottom line impact of profitability or ROI. ”He continues,“ Due to a high ROI we’re seeing a rapid market adoption, which is evident through our consistent flow of ARitize 3D deal signings across various industries as reported here. We’re pleased to keep announcing deals because we keep signing deals! It is a very exciting and dynamic time at Nextech as 3D models and really all our Metaverse technology that we have spent the last four years building is being adopted. I believe that our current share price is not reflecting our potential. ”
The company believes that these 3D model orders are only test orders and that a significant ramp up of orders will continue from existing and new customers which should lead to growing revenue. Nextech charges its ARitize 3D customers a recurring monthly fee between $ 10- $ 50 /model under a 12-month contract that auto renews. The company is pleased to report that it’s experiencing success with this new business model which was only launched in Q4 of 2021 and is seeing strong repeat orders from existing new clients.
Recently signed deals include furniture 3D modeling contracts with Habitt as well as Surplus Furniture & Mattress Warehouse. With Ecomm returns costing $ 1.47 T annually (as reported by Shopify) 3D models can reduce returns by as much as 40% as customers are able to see the way the furniture looks in their space or if it fits. If the 40% reduction in returns is achieved a savings of almost $ 600 billion would be achieved which creates a very compelling need and ROI for accurate 3D models essential in e-commerce globally.
Nextech AR also makes many 3D models of artwork and wall decor for major enterprise clients Kohl’s, Pier 1, and Kmart Australia as well as Artography Limited, Art Millwork Design, Eden Gallery, Maple Leaf Auctions and others.
A rapidly growing industry that has begun to recognize the need to showcase their products in 3D, Cheech and Chong’s Takeout has signed an annual deal with Nextech for multiple SKUs, providing annual recurring revenue.
Appliances continue to be a very popular product category for 3D models. Through our contract with Kotuiko, Nextech will create 3D models of Spinel’s line of coffee machines. Nextech AR also created 3D models of appliances for their ecommerce business VacuumCleanerMarket.com. Preview 3D model of appliance on the VCM website.
Lighting Plus has extended their original contract for more 3D SKUs, reflecting increasing demand and positive ROI in the lighting market for 3D models.
Nextech has signed a 3D modeling deal with Salamander Paddle Gear for their line of helmets, as well as a deal with Himibike to showcase their E-Bikes in 3D. This follows multiple sports related ARitize 3D dealsincluding Head, MGI Golf, Never Summer, The Perfect Mound, Source for Sports, Joyride Bikes and others.
These are only a few of the recent contract signings and new product categories Nextech has expanded into. With the increasing global demand and market traction for 3D models and AR visualizations, the Company expects to announce more deals in the coming weeks.
Recently, Nextech announced the signing of multiple new 3D modeling contracts for ecommerce, totaling over 1500 SKUs. CEO Evan Gappelberg joined Proactive Investors to discuss the news (watch the interview here), mentioning 3D models are the gateway to the metaverse and that we’re at the beginning of a multi-decade multi-trillion dollar megatrend.
About ARitize 3D
ARitize 3D is your one-stop-shop AR solution with automated 3D model creation at an unbeatable price. Our Artificial Intelligence (AI) will turn your existing 2D product images into high-quality 3D and Augmented Reality experiences. It’s fast, it’s easy and it will transform your ecommerce website.
With a 3D model, clients can interact with the product to see every detail with a 3D model: turn it, spin it, zoom in, zoom out, leading to 40% lower product returns, 93% higher click through rate and a 90% reduction in product photography costs. The company believes that this value creation and ROI is leading to the rapidly growing demand for the company’s 3D technology. Transform your online store into a dynamic virtual showroom. 3D models allow customers to see products from every angle and position them in their own space prior to purchasing. It’s an exciting, immersive shopping experience that keeps customers more engaged, better informed and helps your brand stand out from the competition.
ARitize 3D is the One-Stop-Shop 3D + AR solution for ecommerce that is:
- Affordable – lowest cost provider
- Scalable – fastest, seamless, high quality
- Frictionless – requires low implementation effort
- AI & ML powered – automated 3D model creation
- End to End – from model creation to CMS & AR visualization
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About Nextech AR
Nextech AR Solutions is the engine accelerating the growth of the Metaverse. Using breakthrough AI, Nextech AR is able to quickly, easily and affordably ARitize (transform) vast quantities and varieties of existing assets at scale making products, people and places ready for interactive 3D use, giving creators at every level all the essential tools they need to build out their digital AR vision in the Metaverse. Our platform agnostic tools allow brands, educators, students, manufacturers, creators, and technologists to create immersive, interactive and the most photo-realistic 3D assets and digital environments, compose AR experiences, and publish them omnichannel. With a full suite of end-to-end AR solutions in 3D Commerce, Education, Events, and Industrial Manufacturing, Nextech AR is in a unique position to meet the needs of the world’s biggest brands and all Metaverse contributors.
Nextech funds the development of its AR and Metaverse growth initiatives through its e-Commerce platforms, which currently generate most of its revenue. Nextech’s e-commerce platforms include: vacuumcleanermarket.com (“VCM”), infinitepetlife.com (“IPL”) and Trulyfesupplements.com (“TruLyfe”). VCM and product sales of residential vacuums, supplies and parts, and small home appliances sold on Amazon. These e-commerce platforms serve as an incubator for developing and testing Nextech’s leading edge AR, AI and machine learning applications for powering next-generation e-commerce technology.
The CSE and the NEO have not reviewed and do not accept responsibility for the adequacy or accuracy of this release.
Certain information contained herein may constitute “forward-looking information” under Canadian securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as, “will be” or variations of such words and phrases or statements that certain actions, events or results “will” occur. Forward-looking statements regarding the completion of the transaction are subject to known and unknown risks, uncertainties and other factors. There can be no assurance that such statements will prove to be accurate, as future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information. Nextech will not update any forward-looking statements or forward-looking information that are incorporated by reference herein, except as required by applicable securities laws.