Do the technological anxiety, privacy and physical risks matter in retail customers' adoption of AR apps? An extended UTAUT2 approach

Purpose Due to augmented reality (AR) technology improvements, the retail industry has embraced smart retailing as its primary business model. Therefore, organizations must comprehend the intricacies of AR adoption to persuade clients to adopt this revolutionary technology effectively. Thus, the current study proposes and evaluates a comprehensive model that includes unified theory of acceptance and use of technology (UTAUT2), privacy concerns, physical risks and technological anxiety to predict customers’ intention to use AR apps in the retail industry in the Egyptian context. Design/methodology/approach The current study examines 398 responses from Egyptian shoppers using partial least squares structural equation modeling (PLS-SEM). Snowball sampling was employed in the existing study. The participants were selected using a “self-selection” strategy, which is an excellent method for research investigations in which the participants freely participate. Findings Consumers’ intentions to use AR apps in retail settings are positively impacted by task-technology fit, performance expectation, effort expectancy, social influence, facilitating conditions and hedonic motivation. Conversely, privacy and physical risks negatively affect customers’ intention to use AR apps in retail. Furthermore, technological anxiety serves as a moderator factor in these connections. Originality/value To the best of our knowledge, the current study is considered the first to test the role of UTAUT2, privacy and physical risks on users' behavioral intentions toward adopting AR apps in retail. It also examines technological anxiety as a moderator in the retail setting.