Tips for Mastering Phygital Retailing

Tips for Mastering Phygital Retailing: 3 Brands that Got it Right

by Bill McCarthy on 6-17-16 in Industry Trends

In recent years, consumers have undeniably come to expect, as opposed to desire, “phygital” retail – which, like its sibling term “omnichannel,” refers to the act of creating a seamless integration between the physical and digital shopping experiences.

Equipped with the power to disrupt traditional sales models, phygital communications can help retailers get even closer to their customers and drive a strong ROI. However, doing this effectively is a challenge for many retailers. For inspiration on how to make your business increase it’s phygital footprint, check out these three exemplary retailers that have made exciting investments in phygital technology.

Adidas’ Tech Trainer Wall
Interactive, state-of-the-art technology in the store

Adidas stores typically stock about 200 different shoes, but their full range stretches to more than 4,000 varieties. To combat stores’ limited ability to stock a variety of shoes, Adidas developed a fully-interactive virtual wall that allows customers to use intelligent search tools to interact with all of the brand’s products.

Shoppers can use the ground-breaking touch screen to pull a shoe “off the shelf,” rotate it, and zoom in on features they want to see. They can also see live social media and video footage that features the products they like.

KLM’s Airport Dash
Social media data that incentivizes shoppers

Because airports create a special opportunity to target a captive audience, the Dutch airline, KLM, ran an incentive-based campaign to monitor customers’ social media interactions in airports. The campaign allowed KLM to find out information about customers’ interests, where they shopped, and where they were travelling. In exchange for their data, customers were presented with a small gift to make their trip extra special the next time they checked in.

The value of KLM’s campaign rests in the opportunity for brands to present customers with promotional options when they return to common environments, such as airports. Through collecting data on travelers’ shopping patterns, retailers can send push relevant offers into the hands of shoppers each time they return.

L’Oreal’s MakeupGenius
Cost-effective product sampling

L’Oreal’s MakeupGenius app allows customers to “try before they buy,” and adds a critical “fun” element to the shopping experience, which Millennials love. The app features a 3D virtual mirror that maps 64 facial points through the front-facing camera on smart phones.

Whatever the angle, the mapping technology shows users what they look like in the season’s top looks, and enables easy, mess-free experimentation. The technology even allows shoppers to try on looks that require products that aren’t kept in stock.

The sophisticated app is not only widely accessible, but it also saves in-store associates valuable time because make-up counters have traditionally relied on customers’ sampling the product in the store, which quickly eats up store associates’ time and attention.

As with any innovation in retail, measuring the impact of phygital innovations is critical to determining a product’s success, so check our advice on what to look for when investing in new technology and other business intelligence solutions.

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Read more posts by Bill McCarthy

Bill McCarthy is the General Manager of the Americas, in which he oversees regional efforts pertaining to the Traffic Insights business unit.

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