Phygitalization: Creating a Cohesive Shopping Journey
The retail world is undergoing a remarkable transformation. At the center of this change is a retail strategy conundrum: While online shopping continues to grow, 80% of purchases happen at physical stores globally.
Enter the concept of “Phygital.” No longer just a buzzword, this concept represents a dynamic
approach that seamlessly melds offline and online experiences, effectively bridging the gap
between traditional brick-and-mortar stores and digital platforms. It’s a strategy that empowers
retailers to craft consistent seamless and personalized journeys to meet their consumers’
expectations.
What is Phygital?
Phygital embodies a holistic strategy that marries the physical and digital realms of shopping.
It’s about providing consumers with a unified and consistent shopping experience that caters to
their evolving demands for convenience, personalization, and seamlessness. At its core,
phygital retail represents the future of shopping, where boundaries blur between the physical
and digital worlds.
Why are brands going phygital?
1- Creating Enhanced Personalized Shopping Experiences:
Phygital strategies help businesses with tapping into the wealth of data gathered from all customer interactions to deliver highly personalized in-store experiences. A leading example in the phygital space is Starbucks which provides personalized recommendations on its app based on the season, location, and customer preferences which the customer can then order and pick up.
According to McKinsey and Company, 71% of consumers expect companies to deliver personalized interactions, and 76% get frustrated when this doesn’t happen. Personalized communication, including messages about deals and offers, strengthens the customer-retailer relationship.
2- Increasing Engagement and Customer Loyalty:
Phygital retail often incorporates interactive technologies that elevate customer engagement by making the shopping experience more seamless or unique.
For example, the international retail brand, Zara, distinguishes itself in its competitive market by harnessing the power of the digital at its stores. Their Store Mode enables customers to track what’s in inventory and locate it at the store using their phones. Providing consistently excellent and unique shopping experiences helps build long-term customer loyalty.
3- Access to True Customer View:
Phygital retail empowers businesses with a profound understanding of customer behaviors and preferences. By harnessing data from both on and offline shopping, retailers can better comprehend their customers, optimize product offerings, and deliver more targeted marketing campaigns.
ASOS, the British fashion retailer, is a prime example, using comprehensive data to create tools like Fit Assistant, which provides sizing recommendations based on customer details and purchase history, ultimately reducing returns and enhancing customer satisfaction.
How do you incorporate phygital in your retail strategy?
Invest in Mobile Commerce:
Considering that 82% of in-store shoppers use their smartphones while shopping, businesses must embrace mobile commerce as a crucial component of their Phygital strategy.
Retailers can create mobile apps that enable customers to browse products, view offers, and make purchases, all from the palm of their hands. This approach improves convenience, enhances engagement, and provides personalization at the store.
How ModenX can help you on your Phygital Journey?
ModenX is a platform with a mobile application that provides a true 360 view of your customers that is based on you and every brand they interact with. This holistic approach to your audience ensures a consistently unique and personalized shopping experience at your store.
Finding it difficult to phygitilize your brand? Contact us to learn more about how ModenX can personalize your in-store shopping experience.
Conclusion
Phygital retail isn’t just a trend; it’s a transformation in the retail industry driven by consumer demands for a seamlessly personalized shopping experience. It’s about creating a unified journey that blends physical and digital elements to meet and exceed customer expectations. If your business is looking to position itself at the forefront of the evolving retail landscape, contact us for more information on how ModenX can help.
Finding it difficult to phygitilize your brand? Contact us to learn more about how ModenX can personalize your in-store shopping experience.