Let’s Get Phygital! What You Need to Know About Phygital Retail
One of the most exciting concepts in marketing and retail right now is phygital!
So, what does phygital mean? As you might have guessed, the word is a combination of physical and digital. Phygital retail combines aspects of online shopping with a brick-and-mortar store. The result is something that is more accessible, flexible and futuristic.
Phygital Retail Examples
You might already be familiar with phygital retail strategies without even knowing it!
The now-ubiquitous click-and-collect scheme is one example. You order online (digital) and pick up your goods in-store (physical). On the flip side, buying in-store and home delivery offer a similar experience.
Or maybe you've used a touch screen to order at your favorite fast-food restaurant, which brings the digital element into the traditional physical space. This streamlines the experience without the need to place an order with a person.
Some supermarkets and retailers like Amazon Go have implemented cashier-free shopping. This allows shoppers to purchase items digitally while in-store and then walk right out. No more waiting in lines!
Up and coming are strategies that involve augmented and virtual reality. These work best for consumer products that have a high aesthetic impact. For example, augmented reality apps can allow you to 'try on' a different nail color or see how a couch would look in your own living room.
The Benefits of Phygital
Phygital retail aims to combine the best of the physical and digital worlds.
In an increasingly online world, we are all accustomed to shopping online. Consumers are also accustomed to certain advantages of that, like searching for specific items and reading product reviews. Bringing digital elements into the physical store can help to educate a customer and improve the shopping experience.
At the same time, there are many elements of shopping in-store that consumers don't want to lose. Being able to see and feel a product before purchase is crucial for many buyers. And the experience of visiting a store, being immersed in the brand's atmosphere, and engaging with sales associates cannot be replicated online.
Leaders in Phygital Implementation
Take a look at these examples of phygital retail done right!
Nike's new House of Innovation flagship store in New York City makes use of scannable QR codes on all its mannequins. Visitors can scan the codes to request a specific size and color of a certain item. No more searching the racks for the right size! Or if shoppers want something truly special, they can make use of Nike's customizable options to create a unique shoe design. Nike also features instant cashier-free checkout for even more ease.
Porsche is featuring a phygital marketing scheme in their showrooms with tech company Magik Book. As potential buyers flip through the glossy catalog, related details play on a nearby screen to further entice and educate the viewer.
Another impressive example is the Rebecca Minkoff Connected Store. Within the traditional space, shoppers access a world of options via their connected touch screen mirror displays powered by eBay. Shoppers can order drinks, request items are sent to a fitting room, ask for stylist advice and even adjust the lighting as they try on clothes.
Phygital retail and marketing benefits commerce just as much as it benefits consumers. Innovative phygital strategies entice customers with an experience not found in the physical or digital space alone.