PHYGITAL DEFINED AND EXPLAINED

Phygital speaks to the blending of physical and digital experiences and environments. It is the convergence of the physical and digital worlds to provide an enhanced experience for consumers. The idea of phygital is to offer people the best of both the tangible, in-person experience and the innovative convenience of digital technology.

The term is a portmanteau of the words physical and digital. It describes omnichannel commerce that unifies and integrates physical and digital channels. Phygital seeks to eliminate silos and create a cohesive, fluid customer experience across all touchpoints. That includes providing continuity between platforms like stores, websites, mobile apps, and more.

The rise of phygital is closely tied to advancements in technology and evolving consumer expectations in an increasingly digital world. For example, consumers today may research products online before visiting a brick and mortar store, expecting a consistent brand message and the convenience of services like buy online pickup in store. Technologies like augmented reality, RFID tags, digital mirrors, and smart fitting rooms are transforming physical shops with virtual elements.

Phygital strategies also aim to digitally optimize the in-store experience. That might mean contactless checkout, location-based offers sent directly to a customer’s mobile device, interactive product displays with touchscreens, and accessing a shopper’s purchase history and preferences to provide customized recommendations. Data and analytics tether the digital and physical by supplying insights to better merge the two.

Brands across industries from retail to healthcare are adopting phygital to adapt to changing market dynamics. The concept also gained particular prominence during the COVID-19 pandemic as physical customer interactions were reduced for health safety. Phygital bridged the gap, making digital avenues like virtual consultations, livestreams, and e-commerce critical for business.

The concept synergizes physical and digital channels into one ecosystem. It uses emerging technologies to enhance tangible spaces and experiences with virtual capabilities. The unified phygital approach aims to meet modern customer expectations and create seamless omnichannel brand experiences. With increasing innovation, phygital will likely continue shaping the future customer journey across sectors.