In other words, you use your phone's camera to do whatever, and the phone notices you linger at a window or a billboard (by tracking your eye movements and retinal responses.) You get home, and suggested items are virtually added to your living room.
Maybe you walk past a clothing store and it adds a new suit to your reflection.
Or AR games that require you to move past physical ads or storefronts, and take pictures of them.
There can be good utility for ads without being dystopian. Like furniture sets you want buy to preview in your new empty apartment - not items you are totally uninterested in buying. I'm sure there will be countless ideas to get ads on AR pretty soon that will be unaggressive and jive well psychologically