PurposeIncreasingly, retailers are adopting technologies such as augmented reality (AR) as tools to enhance the customer experience. However, little is known about consumers' differing attitudes towards AR. The aim of this study is to explore how consumers differ in terms of the value they receive from using AR, as well as the trade-offs they experience when using the technology for shopping. Moreover, the study explores the individual characteristics that lead to these differences by segmenting consumers according to their perceptions of and attitudes towards AR as a shopping tool.Design/methodology/approachTo identify the segments, latent class analysis was conducted on the data collected from an online survey of 503 US consumers.FindingsThe analysis yielded four distinct segments of consumers who vary in their attitude towards AR as a shopping tool – AR Averse, AR Hesitant, AR Open and AR Enthusiastic. Covariate analysis indicated that the factors which drive membership of these segments include perceived ease of use, perceived usefulness and psychographic characteristics such as innovativeness, time pressure and shopping enjoyment.Practical implicationsThe heterogeneity of consumer attitudes towards AR is driven by consumers' perceptions of decision confidence (how they see AR enhancing their ability to make choices), information overload (the potential for AR to over-stimulate shoppers) and experiential value (the derived value from engaging with AR). Hence, retailers should leverage these dimensions when communicating the value of AR in assisting consumers when shopping.Originality/valueThis study highlights that heterogeneity exists in consumer attitudes towards AR, and suggests that the attitude towards AR is not a fixed value, but can change through education.