Phygital: what is it, why is it important and how is it applied?

The Phygital concept is proof that the barriers between physical and digital are becoming increasingly difficult to distinguish. The term emerging from the combination of the words “physical” and “digital”. integration of virtual and real experiences creating more complete and innovative interactions.

Buying online and picking up in store, using digital menus in public-service restaurants, and even trying out products with augmented reality are examples of this trend in action.

Like With its commercial strategy, Phygital is changing the way companies engage with their customers; convenience, personalization and efficiency at levels previously unimaginable.

Read on and discover that Phygital could be the key to making your brand stand out in the current scenario!

What is Phygital?

Phygital is the perfect fusion of the physical and digital worlds, creating a hybrid experience that puts the consumer at the center of everything. This approach combines the best aspects of both universes: The convenience and speed of digital channels with the sensory experience and human contact provided by physical interactions.

The Phygital trend gained steam in 2010 with the advent of smartphones and social networks such as Facebook and Instagram that connect consumers’ digital and physical routines.

THE The concept aims to fluidly integrate online and offline environmentsIt allows consumers to move between them without encountering obstacles.

Consider a customer who begins their purchasing journey by exploring a website, but ends the experience by picking up the product in a physical store, or even uses digital resources such as augmented reality to test the product before purchasing it in person.

It is important to keep this in mind Phygital is not just a market strategy. It is a way of engaging and interacting with the public. By offering an intuitive and agile purchasing journey, we create new opportunities for brands and companies that want to stand out by meeting your expectations in the channel you choose.

How does “digitalization” work?

Phygitalization or Phygital creates an integrated and personalized journey for consumers. Check out the main points below that explain how this adaptation works in practice:

1) Integrated catalogue: more choice at customer’s fingertips

Figitalization allows consumers to explore entire product catalogs regardless of the channel they choose.

For example, digital devices can be used in physical stores. Access to products not in stock.

Likewise, the ability to collect online purchases in person on the same day provides convenience and flexibility.

2) Immersive experiences with technology

Technologies such as augmented reality (AR) and virtual reality (VR) Transforming physical stores into interactive environments.

These tools make the shopping experience unique and unforgettable by allowing customers to try products in innovative ways, such as previewing products at home or digitally testing makeup before purchasing.

3) Real-time personalization

By combining data collected online and offline, companies can deliver personalized recommendations and services in real time.

“HE Artificial Intelligence is shaping this future By leveraging data analysis capabilities, maximizing self-service channels and, above all, ensuring a more fluid, assertive and humanized journey,” says Bruno Penha, Chief Digital Transformation Officer at AlmavivA do Brasil (via Consumidor Moderno ).

4) Convenience and efficiency in the purchasing journey

Phygitalization optimizes the consumer journey by allowing actions to be taken. different channels are complementary. A customer can try on clothes in a physical store and complete the purchase in the online store, or they can start researching a product on the company’s website and complete the order in a physical store without interruption.

5) Customer engagement and loyalty

Digitization contributes to public engagement and brand loyalty by providing a richer and more connected shopping experience.

Consumers who recognize integration and consistency between physical and digital channels tendency to value the company moreCreating a relationship of trust and loyalty.

6) Omnichannel as the basis of digitalization

For digitalization to work fully, it is essential to adopt a multi-channel strategy. This means Integrate all service and sales channelsTo provide a smooth and uniform experience for the consumer.

It is important that the customer has the freedom to move between channels as needed, without interruption or significant differences in service.

Phygitization is a reflection of how consumer behavior is evolving. Companies that invest in digital strategies can gain a competitive advantage in the market by meeting the public’s expectations in an innovative and efficient way.

How important is it to integrate physical and digital?

The integration between physical and digital has transformed the way companies engage with their customers, providing benefits for both organizations and consumers.

For companies, delivering the Phygital experience means much more than just “surfing” a trend: Effective way to build a solid relationship with your target audienceTo ensure that the brand is recognized in every channel.

Additionally, by leveraging the possibilities of technology, organizations can:

• Optimize processes;
• Save resources;
• Increase your profits in a practical and innovative way.

From a consumer perspective, in an age where technologies are widely available, Limiting the experience to a single channel is no longer acceptable.

The modern customer demands the flexibility to move fluidly between online and offline, whether making a purchase, searching for information, or resolving problems.

What is Phygital’s impact on consumer experience?

Phygital’s impact on consumer experience is to transform every brand-customer interaction into an engaging and connected moment, in line with the demands of the modern consumer, also known as consumer 5.0.

Title “Consumer 5.0” seems to name the profile of consumers who are looking for more than just products and services. wants experiences – and in this case integrating technological convenience with human interaction – because merely offering products no longer guarantees an emotional connection with brands.

Phygital is therefore key to meeting these expectations as it delivers immersive and personalized experiences by combining the best of physical and digital.

If a brand fails to deliver this integrated experience, audiences will likely look for alternatives that better meet their needs.

On the other hand, companies that invest in this strategy have the opportunity to establish deeper and lasting connections with their consumers.

How to implement digitalization?

Implementing Phygital requires an investment of time and resources to put together a strategy and careful planning that can effectively integrate physical and digital.

First step map the customer journeyIt identifies all touchpoints, both physical and digital. This mapping helps you understand what steps can be integrated to provide a seamless, barrier-free experience.

It is also very important Understanding consumer expectations at every stage of the purchasing process. What does the customer expect when visiting a physical store or accessing an online channel? Is he looking for agility, customization or convenience?

Providing this clarity will ensure that the solutions implemented fully meet the demands of the public and ensure satisfaction and loyalty.

Another important point is the research of existing technologies. Vehicles like QR Codes, chatbots, self-service totems, user-friendly apps and productive Artificial Intelligence It can transform the shopping experience by offering connection and personalization.

For example, using a QR Code can enable the customer to access detailed information about a product in a physical store or a chatbot that can solve queries in real time in the digital environment.

Phygital examples

Madeira Madeira offers a practical and efficient example of the Phygital journey with its guide shops. Customers cannot find stock in physical stores, but Get personalized guidance from consultants to choose products.

Totems and self-service tablets are used to complete purchases. Orders are delivered directly to the customer’s home. An approach that combines the best of physical service with the convenience of digital.

Amazon Go revolutionized the market in 2018 by introducing its “Just Walk Out” system, which combines cameras, sensors, and artificial intelligence to eliminate queues and traditional checkout processes.

Despite the innovation, the model encountered difficultiesSuch as high technology costs and behavioral issues, including the inconvenience of excessive customer surveillance.

Still, the concept offers a glimpse into Phygital’s potential to explore automation and technology integration to create different shopping experiences.

The Drivethru.art exhibition is a creative example of this. Application of Phygital in the cultural sector. The event, held during the Covid-19 pandemic, allowed visitors to enjoy the works of 18 artists on a track adapted for cars.

Visitors accessed digital tour guides using the QR Codes at the entrance, combining technological interaction with the physical experience of being close to the works.

These examples show how Phygital can be adapted to different contexts and industries, integrating technology and physical experiences To meet the expectations of the modern consumer.

Now that you understand the impact of Phygital, explore the possibilities of Voice Commerce in TecMundo and start planning your business strategy!