Effectively combine physical and digital ecommerce channels to increase customer satisfaction and revenue growth
Welcome to the age of Phygital eCommerce, where stepping into a clothing store means trying on a virtual wardrobe in a holographic mirror, allowing you to mix and match outfits without even touching a single garment. Sounds like sci-fi but it’s the reality blurring the boundaries between physical and virtual retail to create personalized shopping experiences.
For modern consumers, the convenience of online shopping combined with the tangible benefits of physical retail is hard to beat. For modern businesses, the revenue upside of blending physical and digital channels to provide great shopping experiences is hard to ignore.
By merging the worlds of touch-and-feel and click-to-buy, businesses can maximize customer satisfaction and revenue growth. So if you’re looking to improve your bottom line, phygital retail may be the ticket.
This article will explain what phygital retail is, explore its impact on commerce and share how to build a seamless payment experience for your customers and business.
What Is Phygital Retail?
Phygital retail refers to the integration of physical and digital retail channels within commerce to create a blended and unified brick-and-mortar and online retail experience.
In a phygital retail setting, customers can seamlessly navigate between physical and digital channels, allowing them to engage with products and brands through various touchpoints. Examples include buy-online-pick-up-in-store services, interactive fitting rooms with digital screens, and virtual reality shopping experiences.
What does phygital mean for eCommerce?
For eCommerce businesses, going phygital creates new opportunities to effectively engage with consumers, resulting in increased customer loyalty and sales. Brands can now benefit from the best of both worlds — the tactile, immersive experience of brick-and-mortar blended with the convenience, accessibility, and data-rich environment of eCommerce.
A Forrester study suggests that the seamless experience of phygital customers may result:
- Lead in conversions by 17%
- More significant revenue by 16%
- 20% increment in customer satisfaction
Consumer Preferences Are Driving the Phygital Retail Trend
Retailers have been fixated on whether consumers prefer to shop in-store or online. However, there is a growing trend of consumers embracing both online and offline channels. Hybrid shopping is Across all age groups, 27% of consumers According to IBM’s Consumers Want It All, more than 1 in 4 (27%) of consumers are saying that hybrid shopping is their primary buying method. more than 1 in 3 (36%) Gen Zers say hybrid shopping is their primary buying method—the most of any age group.
When it comes to the hybrid consumer, they demand convenience, personalization and engagement.
Phygital Retail Empowers Customers By Giving Them More Control Over Their Shopping Journey
Shoppers can compare prices, read reviews, check product availability, and make purchases through digital channels, or opt to experience the product in person at a physical store.
Why Phygital Retail Requires Omnichannel Payments
It’s important to have a payments processor that offers customers their preferred payment methods everywhere you want to do business, both in-store and online..
Such a platform enables businesses to gather valuable data about their customers’ payment preferences and behaviors across different channels. This data can then be utilized to offer personalized experiences, optimize marketing strategies, and improve customer engagement. Additionally, an omnichannel payments platform ensures that customers can enjoy a consistent payment experience regardless of whether they are shopping online or in-store. By offering the same payment methods and a seamless checkout process, businesses can enhance customer satisfaction and drive conversion rates.
Phygital commerce requires flexibility, integration, and ease-of-use for customers. It’s important for businesses to understand customers’ payment preferences and behaviors across different channels.
Omnichannel payment platforms can ensure customers enjoy a consistent payment experience regardless of whether they are shopping online or in-store. By supporting preferred payment methods and a seamless checkout process, businesses can enhance customer satisfaction and drive conversion rates.
Phygital Commerce — More Customers and Sales
Phygital eCommerce is a strategic approach that can lead to increased customer satisfaction and business growth. By combining the strengths of physical and digital channels, businesses can offer a more comprehensive and engaging shopping experience. As customers enjoy the freedom to shop how they want, businesses can reap the benefits of increased sales and customer loyalty.
Phygital Is Not Just a Trend, It's the Future of Retail
Embracing the phygital approach now will help businesses stay ahead in the increasingly competitive eCommerce landscape. Remember, the goal is not to replace physical stores with digital platforms or vice versa but to create a cohesive retail ecosystem where both channels complement and enhance each other.
Create Seamless Commerce Experience for Your Customers Anywhere with Rapyd.
