VR Training Case Studies
Case Study #1 - Walmart VR Training Metaverse Case Study: A Story of Digital, Innovation Leadership
I would like to share with you the incredible story of how Walmart is leveraging the Metaverse to support and expand its digital innovation leadership. Let me start by introducing Walmart. Founded in 1962 by the American entrepreneur Sam Walton, Walmart is an American multinational retail corporation that operates 11,700 retail units in 28 countries and eCommerce websites. In 2022, Walmart had global sales of $573 billion and employed more than 2 million global employees, which they call ‘associates’. Each week, approximately 230 million customers visit Walmart, which makes Walmart fertile ground for testing innovative ideas including Metaverse and digital innovations that I will be talking about.
The Walmart Metaverse story starts in 2016 – 7 years ago – when Walmart faced an issue related to onboarding new associates, particularly training these associates on how to manage complex customer situations. For a long time, Walmart had relied on classroom instructors who gave lectures and quizzes, or on static online courses that associates clicked through on their own. But neither format adequately addressed the challenges of coping with certain situations like dealing with Black Friday, which is the huge sale that takes place throughout the US the day after the Thanksgiving holiday. While Black Friday generates a lot of sales, it is also a nightmare for their front-line staff, which they call associates. Hundreds of shoppers, dozens of various discounts and offers, long lines, multiple claims and complaints, cash registers going on strike, and so on. Readying for Black Friday is already challenging to train experienced associates and leaves absolutely no physical space and little time to train new associates.
To address this training challenge, Walmart created a Virtual Reality or VR-based Immersive Learning program to better prepare associates for their day-to-day jobs and to provide their associates with real-world scenarios like Black Friday where associates can role-play and run through hyper-real, practice scenarios to prepare for situations before they happen, while also helping associates develop critical customer-service skills including empathy, inclusion, and diversity.
Walmart VR training module allows trainees, for example, to experience the chaos and pressure that associates face on Black Friday without having to go through it in real life. Walmart uses VR headsets to immerse trainees in the store experience, while an instructor talks about what was happening and points out where associates did the right things and what to watch out for.
Walmart teaches their Black Friday VR class – as well as 45 other VR-based scenario classes – in both its 200 Learning Academies, which are training centers attached to larger Walmart stores, as well as in smaller Walmart locations. The VR training programs get created for different Walmart positions and occupations taking into account not all Walmart associates have the necessary technical background.
The results of Walmart’s VR onboarding and training sessions have been outstanding. Let me share with you some metrics. Trainees who take the VR training courses report a 30 percent higher satisfaction rating compared with trainees attending traditional training courses. The VR trainees score higher on content remembrance tests 70 percent of the time. They also demonstrate a 10-15 percent higher rate of long-term knowledge retention compared with those in traditional training. The training also takes less time: what might require 90 minutes of classroom training can be completed in 20 minutes using VR training. This translates into higher employee loyalty since their associates appreciate the investment Walmart is making in their training, better employee confidence, happier employees, higher customer satisfaction, and millions of dollars in productivity savings for Walmart. Talk about a win-win scenario!
But the Walmart Metaverse story does not stop with VR training. In June 2022, Walmart announced a new ‘View in Your Space’ feature. This feature, like the Ikea Place app, works with more than 300 compatible furniture and home décor items in the Walmart app and allows users to view an augmented reality or AR version of a desk or a sofa or a chair in their room using a smartphone screen and camera. Users can drag and drop items to where they might be positioned, with dimensions visible on the screen.
Walmart now offers a virtual try-on app for eyeglasses through its Sam’s Clubs’ optical store.
Walmart has also adopted a game-changing technology called ‘Choose My Model’ that brings the in-store fitting room experience to online shoppers for more than 270,000 items across Walmart’s portfolio of exclusive, elevated, and private brands.
In September 2022, Walmart took a huge leap forward when they entered the Metaverse with two experiences aimed at younger shoppers via the online gaming platform Roblox. The first Metaverse experience is called Walmart’s Universe of Play, where the Roblox community can explore toy worlds to earn coins for virtual goods or complete challenges to build a personal trophy case or unlock secret codes. The second Metaverse experience is called ‘Walmart Land’ and provides immersive experiences including a virtual store of merchandise (“verch”) for users’ avatars, as well as an obstacle course for items from the retailer’s Gen Z-focused beauty brands.
Walmart’s Chief Marketing Officer says the company’s Roblox strategy is a customer experience and engagement initiative. He notes: “Roblox is one of the fastest growing and largest platforms in the Metaverse, and we know our next generation of shoppers, particularly Gen Z, are spending loads of time there, so we’re focusing on creating new and innovative experiences that excite them, something we’re already doing in the communities where they live, and now, in the virtual worlds where they play.”
And to bring us right up to date, in February 2023, Walmart filed additional Metaverse trademarks to promote digital assets across its products and services. These trademarks will push its Sam’s Club brand and logo, including non-fungible tokens (NFTs), blockchain, and cryptocurrencies. Customers will have access to VR healthcare, crypto trading, brokerage, and financial services via a Metaverse platform complete with digital currency, native token, and an online community. These are more examples of Walmart’s admirable digital innovation leadership!
Final Thoughts
What I like most about the Walmart Metaverse story is their entrepreneurial spirit regarding the Metaverse: Walmart acknowledges some of their Metaverse ideas will become products or services that make it to customers. Some of their ideas they will test, iterate, and learn from. And some of their ideas will fail outright.
For me, Walmart epitomizes what my Metaverse business colleague, Tim Bajarin, and I have been evangelizing about the past 18 months, namely now is the time for all companies to create their Metaverse strategy and to begin to gain experience through both prototyping and implementation trial and error.
In closing, while many well-known brands have and are making investments in the Metaverse, none has the size, scale, or influence of Walmart, the world’s biggest company. That makes Walmart’s Metaverse play one that provides significant validation for the Metaverse and one that retailers and brands will have to follow closely for its competitive impact as well as its user response. It also extends Walmart’s digital innovation leadership well beyond the retail sector alone.
Case Study #2 - Mayo Clinic XR/VR/AR Technology Case Study: Pioneers in the Healthcare Industry
Extended reality (XR), virtual reality (VR), and augmented reality (AR) are revolutionizing healthcare, particularly in the areas of medical training and patient care.
Medical training is an essential aspect of producing competent and skilled healthcare professionals. XR/VR/AR technologies have opened novel avenues for medical students, residents, and practicing physicians to enhance their training in a safe, controlled, and immersive environment. Three examples:
- VR simulators enable medical students to perform complex medical procedures virtually. These simulations range from laparoscopic surgeries to dental procedures, allowing learners to practice and refine their skills without the risk associated with real-life surgery.
- AR learning apps have brought the study of human anatomy to life. Medical students use AR-enabled devices to view and interact with 3D anatomical models overlaid onto the physical body, making learning more engaging and memorable, and driving better patient outcomes.
- AR healthcare applications enable specialists to provide real-time virtual consultations to healthcare professionals in remote or underserved areas. This bridges the gap between medical expertise and patients in need, thereby enhancing healthcare access globally.
In addition to medical training, XR/VR/AR technologies also provide invaluable tools for diagnosis and treatment. In the area of surgical planning and navigation, XR/VR/AR technologies assist surgeons to plan complex procedures with greater precision. For example, neurosurgeons now view 3D reconstructions of a patient's brain before performing surgery, allowing for better navigation during the actual procedure, reducing surgical risks, and improving patient outcomes. One neurosurgeon told me he changes his surgical approach 24% of the time because of the insights he gains from 3D immersive technology.
Patient care is at the heart of the healthcare industry, and XR/VR/AR technologies have significantly improved both the patient experience and outcomes. For example, in pain management, XR/VR/AR applications are used to distract patients from pain and anxiety during medical procedures. By immersing patients in a virtual world, the perception of pain can be reduced leading to more relaxed and comfortable patient experiences. University of Pennsylvania is leading the way in patient management and distraction, especially when treating children with cancer. XR/VR/AR is also being utilized as a therapeutic tool for patients with mental health disorders, including anxiety, post-traumatic stress disorder (PTSD), and phobias. There is a whole new area called ‘exposure therapy,’ where a trained therapist collaborates with patients in a controlled virtual environment to help them confront and manage their fears more effectively.
Let’s now turn to the fascinating Mayo-Clinic Case Study.
The Mayo Clinic has its origins in the 1880s, when William and Charles Mayo joined their father's general practice in Rochester, New York. Three essential things contributed to the creation of the Mayo Clinic: a family of ambitious doctors; an order of Catholic sisters; and the advent of hospital-based aseptic surgery. The Mayo Clinic has always been a physician-led organization, which the physicians feel leads to better quality of care.
Today, the Mayo Clinic is one of the world’s most celebrated medical institutions with 5 campuses located in three states – Minnesota, Arizona, and Florida. US News & World Report ranks Mayo Clinic as the #1 hospital in the nation and the Mayo Clinic is ranked #1 in more specialties than any other hospital in the nation. It is home to many of the most brilliant minds in medicine, cutting-edge healthcare research, and continued innovation. It has 76,000 employees including more than 4,000 research personnel, that care for more than 1.4 million unique patients annually coming from all 50 US states and 130 countries. Simply said, it is a true gem in the field of healthcare!
What impresses me the most about the Mayo Clinic is their culture of innovation, their universally renowned research and novel therapies that leverage their $500 million annual research budget, and their pioneering effort to apply XR/VR/AR technologies to benefit patients.
Here are a few examples of how Mayo Clinic is applying XR/VR/AR technologies that span medical training, strokes, orthopedic and spinal surgeries.
- For several years, Mayo Clinic physicians have been using VR headsets to train on new medical equipment. This allows the physicians to be onboarded quickly and to be able to use the equipment effectively.
- In early 2022, Mayo Clinic began developing VR software to improve neurological evaluations of stoke victims. Many of these patients are not mobile, making it difficult for the patients to see neurologists in person. The goal of the VR software is to augment telestroke examinations and enable at-home monitoring of patients with chronic neurological conditions. The patient wears a VR headset to perform periodic VR tests aimed at catching early signs of progression, monitoring treatment response or screening for abnormalities.
- Later in 2022, Mayo Clinic created a strategic partnership with ImmersiveTouch for orthopedic surgeries. ImmersiveTouch is a leading medical technology company offering VR and AR surgical planning & navigation platforms. Mayo Clinic use ImmersiveTouch’s AR platform to provide surgeons with 3D holographic “X-Ray vision” through the skin that allows the surgeon to visualize a patient specific anatomy at various surgical phases and helps the surgeons navigate their instruments more accurately.
- In early 2023, Mayo Clinic announced a strategic partnership with MediView XR, a leading clinical AR med-tech company that displays 3D patient anatomy. Mayo Clinic surgeons use MediView’s AR technology to resolve the 2D medical imaging limitations that lack integration between medical images and the location of the surgeon’s tools. 3D tools provide real-time feedback that surgical instruments are in the proper anatomical location and inform the surgeon of potential imminent medical errors.
- Just last month – in June 2023 – Mayo Clinic partnered with a company called Surgical Theater to assist with spinal surgeries. Mayo Clinic surgeons use Surgical Theater’s AR tools to create a 3D model based on patient scans during the pre-operation phase. The surgeon uses these scans to see past tissue and bone while using a minimally invasive procedure to remove a tumor. The scans also create VR models that allow patients to understand the procedure better.
Mayo Clinic’s pioneering spirit is both refreshing and commendable as they continue to raise the bar on the ‘art of the possible’ for applying XR/VR/AR technology in healthcare.
In closing, while high-end XR/VR/AR equipment can be costly limiting access to certain healthcare facilities, and while patient data privacy and security issues using XR/VR/AR technology remain a concern, the integration of XR/VR/AR technology has reshaped the healthcare landscape, revolutionized medical training, and improved patient care experiences. From enhancing medical education and training to offering innovative solutions for diagnosis and treatment, XR/VR/AR technologies continue to drive advancements in healthcare. As these technologies evolve, healthcare professionals and patients can look forward to a future where medical practices are safer, more efficient, and more patient-centered than ever before.
Case Study #3 - Farmers Insurance VR/AR Technology Applications Case Study: Leading the Way in Applying VR/AR Technology
Founded in 1928 in Los Angeles, California, the Farmers Insurance Group (informally called “Farmers”) is an American insurer of vehicles, homes, small businesses, and related products. Farmers has more than 48,000 exclusive and independent agents and approximately 21,000 employees. Farmer’s parent is the Zurich Insurance Group, which is among the top 10, publicly traded, non-health global insurance companies. With revenues of $11.8 billion (2021), Farmers is the 10th largest property & casualty and insurance company in the US. While not the largest, Farmers have separated themselves from the pack by being a leader in the use of VR/AR technology. Here’s are two important use cases Farmers is applying these technologies to.
Use Case #1: VR for Claims Adjuster Training
Being an insurance claims adjuster is hard work. Individuals in these positions need to deal with thousands of different scenarios that even the best training and mentorship program cannot prepare them for. The old way of training claims adjusters was expensive, time consuming, labor intensive and neither scalable nor standardized. It included:
- Mentor or manager ride-alongs
- Watching videos
- Studying training manuals
- Renting or carving out dedicated office space
Unfortunately, as experienced claims adjusters are about to retire, they are not necessarily available or interested to mentor their replacements.
Farmers saw this writing on the wall and in 2017 began using VR training for claims adjusters. They partnered with an external developer of enterprise XR solutions to create a VR simulator that allows claims adjusters to practice assessing damage to homes and vehicles in a variety of scenarios. The VR simulator is comprised of six different floor plans and more than 500 damage combinations, resulting in thousands of potential claims scenarios.
By strapping on a VR headset, claims adjuster trainees are transported to a simulated home where they can see and assess potential damage such as water leaks or fire wreckage. The trainee must do everything in the VR training environment they would need to do if they were in the actual client’s home. For example, to see water on the bathroom floor, the trainee must literally get down on their knees and bend down near the bathtub to see where the water is coming from.
Part of what keeps trainees engaged is the gamification experience built into the VR simulator program. The gamification component adds a ‘fun aspect’ to engaging while learning at the same time. There are different settings in the VR training simulator based on the level of claims knowledge and experience, which allows trainees to learn at their own pace and to pause in the middle of the training to rest, or for example to ask their manager questions.
What are the Benefits of the VR Simulator?
- Virtual Reality shortens the learning curve.
Farmers can train new adjusters and refresh existing ones in a matter of days and months instead of years. Speeding up a claims adjuster’s readiness lowers the onboarding cost, and adjusters get to work sooner and with a high level of confidence. A study by Farmers found that adjusters who completed the VR training were more confident in their ability to assess damage and make accurate estimates. They were also less likely to make mistakes. A recent PWC study supports these findings: they found that VR learning is 4X faster than traditional learning, and VR learners were 275% more confident in their abilities versus learners who acquired knowledge via more traditional approaches.
- VR is scalable.
If a VR headset is available to them, Farmer employees all over the country can be armed with thousands of immersive insurance claim scenarios. Adding new VR headsets or additional claims scenarios can be done quickly and cost-effectively.
- The environment is safe and controlled.
Immersive scenarios in the VR training allows employees to feel safe. If they are in a water damaged building, or home that has burned down, there is no personal risk to exploring the damage. Employees can also take off their VR headset at any time, allowing them to control the pace of training.
- Employees like VR training and learn more.
VR trainees rate Farmer’s VR training 4.7 out of 5-stars. Trainees also claim they are 20% more accurate in their decisions versus traditional training methods.
- Positive financial impact.
In addition to better trained claims adjusters, Farmers VR training program also saves the company hundreds of thousands of dollars per year in reduced travel costs to various training facilities.
Use Case #2: AR for Customer Service
AR is a technology that superimposes a computer-generated image on a user's view of the real world. Farmers is exploring the use of AR for customer service in a few different ways.
- Farmers is using AR to help clients visualize their insurance policies. For example, a client could use an AR app to see a 3D rendering of their home and see how it would be affected by different types of damage. This could help the client understand their coverage better and make informed decisions about their insurance needs.
- Farmers is using AR to help a client find and repair damage to their homes or cars. In this scenario, a client would use the AR app to see a 3D rendering of their car and identify potential damage. The app could then provide information about how to fix the damage.
- Farmers is using AR virtual agents. This agent can answer client questions and help them with tasks such as filing a claim or changing their insurance information. This can help clients get the help they need more quickly and easily.
With 6 years of great experience performing claims adjuster VR training, and applying AR for customer support, Farmers is well poised for new and valuable VR/AR technology applications to include:
- AR home inspection app: This app allows a client to see a 3D rendering of their home and identify potential hazards. This can help homeowners improve the safety of their homes.
- VR distracted driving simulator: This simulator allows users to experience the dangers of distracted driving. This can help raise awareness of the issue and encourage people to drive more safely.
- AR claims process simulator: This simulator allows clients to experience the claims process from start to finish, thereby helping customers to understand what to expect and making the process more understandable and easier for everyone involved.
- VR avatar training: These ‘virtual humans’ put trainees through difficult client discussions to improve their ability to negotiate with challenging clients. Avatars teach things such as leadership bias, performance management techniques, communication practices, and customer experience training.
Trainees speak directly with the avatar the way they might speak to a client. The avatar is designed to respond with a believable, emotional, and relevant reactions.
While Farmers continues to lead in the innovative uses of VR/AR technology, there are many other insurance companies also applying VR/AR creatively. I’d like to close with one final AR use case, namely AR for inspection and damage estimation. Let’s use the example of a damaged building. Using AR, claims adjusters can remotely view damage using 3D photos of the building. They can then overlay these 3D photos against the architectural models of the building that were created prior to the damage. This allows adjustors to better assess the damage and calculate required repair costs. Going a step further, using ultrasound and related AR tools, inspectors can now literally look behind the building walls to determine, for example, the location of key gas or electrical lines to determine damages and ongoing risk.
In closing, I see the insurance industry as an excellent breeding ground not only for the existing VR/AR applications, but also for new and creative VR/AR applications that are not yet available in the market. These applications are being developed right now, for example, by Apple Vision Pro developers for a likely Q1 2024 launch. While the insurance industry may be conservative and move slowly, for an insurance company to remain competitive in the future, mastering these use cases and getting your AR/VR strategy in place today is imperative.
My Metaverse business partner, Tim Bajarin, and I are keen to assist manufacturing companies at each step of the way to ensure their successful entry into the Metaverse. To read about additional airlines and other company Metaverse case studies, I strongly encourage you to visit ISM’s award-winning Metaverse Resource Center – www.ismguide.commetaverse-resource-center – where in addition to gaining access to more than 350 Metaverse case studies, more than 350 Metaverse articles, and more than 150 Metaverse videos, you can download ISM’s new ‘8 Steps to Do Business Successfully in the Metaverse’ White Paper, download ISM’s New ‘VR Training Guide for the Enterprise,’ learn about and sign-up for ISM’s complimentary 2-hour Metaverse Executive Bootcamp, and more.
Barton Goldenberg (bgoldenberg@ismguide.com) is president of ISM, Inc. Since 1985, ISM has established itself as the premier strategic advisor leveraging leading edge technologies – the Metaverse, Digital Communities, and CRM. ISM’s current focus is on virtual world technology with a focus on VR training, Digital Twin technology, and Remote Assist technology to help sales, marketing customer service, and field service executive move their performance to the next level. His thought leadership including creator of the ‘Business Success in a Virtual World’ podcast, creator of the award winning Metaverse Resource Center, and author of three business books including The Definitive Guide to Social CRM. He is also in high demand as a keynote speaker (www.bartongoldenberg.com).