A brief introduction of the uncanny, buzzing term Phygital!
Phygital: An amalgamation of the terms Physical & Digital.
Phygital Marketing: The concept is merging the important aspects of digital and physical marketing to optimize the customer experience.
To boost the sentiments of your customers towards the brand, companies are adopting omnichannel strategies. Balancing customer experience within and between the channels.
Overall, presenting all the channels as one unified unit & bridging this gap to reduce customer friction & frustration.
Phygital marketing can help you enhance the physical experience of your customers by augmenting it with digital experience.
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A similar concept & impression as that of beacon technology.
Beacons are small wireless transmitters that use low-energy Bluetooth technology to send signals to near-by smart devices. The technology augments domain values of data & user environment.
Thus, whenever a customer enters a store, beacon technology connects his mobile identity with his online identity.
Further, the customer will receive notifications on his smart device regarding the product he is looking at. Or if the customer has abandoned products in his cart, he will receive a notification about where to find similar products in the store.
Similarly, phygital marketing can use the geolocation of the customer to enhance the experience.
“It’s a myth that physical is not growing. Digital and physical is growing hand in hand”
Implementing phygital marketing incorporates these two powerful trends in consumer shopping:
- Letting customers examine & research the product online for best deals.
- They can look up and test products in-store before buying.
Amazon’s Amazon Go is a good example.
It is a chain of convenience stores in the United States. These enable shoppers to tap in with their smartphone as they enter the store. They walk straight towards the items they want. Furthermore, customers pay automatically via their Amazon account.
Some airlines use social media to create phygital experiences.
So, they detect & greet the passenger while traveling on the airline and send them a gift from loyalty points.
Coca-Cola Belgium conducted a phygital scratch & win marketing campaign.
How the campaign worked:
The consumer receives a printed unique QR-Code when he or she buys a Coca Cola Enterprises product. The consumer scans the QR code to play scratch & win the game. The consumers scratch the scratch&win card on his mobile device. There was set up a 50% win chance.
This phygital pilot case had a very high redemption rate:
- 2724 games played
- 1362 won (50%)
- 1172 claimed coupons (86% vs #Won)
- 824 redeemed (60% vs #Won)
So definitely, these evolutions are meant to bridge the gap between the digital and the physical experience. When used at the right-place & right-time, these interactions can provide upselling opportunities.
Until next time. 👋