Phygital: The future of experience

The emergence of the ‘phygital’ concept has become a game-changer in the business world.

In the current business landscape, the Covid-19 pandemic disrupted physical interactions and supply chains, prompting the digitalisation as a natural response. 

Yet despite the ongoing march towards it, physical interaction remains essential in consumers’ lives, especially for SMEs and the retail sector.

Projections suggest that by 2026, 24% of global retail sales will occur exclusively online, leaving 76% still seeking in-store experiences.

Surveys by GlobalData affirm this trend, with more than 30% of consumers preferring to inspect products in-store before making a purchase.

The phygital market is projected to exceed $200 trillion within the next five years, crafting an effective phygital strategy becomes crucial for neobanks, traditional banks, retailers, and SMEs.

This strategy is vital for capturing and retaining customers and talent in the ever-evolving retail landscape.

Through the seamless fusion of physical and digital strengths, companies not only fulfil customer expectations but also maintain a competitive edge in a constantly changing marketplace.

Below are some examples on how businesses are embracing the phygital trend to reshape customer experiences and fuel their growth.

Buy Online, Pick-up in Store

This strategy proves highly beneficial in addressing shipping delays stemming from supply chain challenges.

Take, for example, Walmart’s Scan & Go system, which allows shoppers to scan and pay for items using their mobile phones while in-store, or Starbucks’ app that lets customers order and pay via their phones, thereby reducing wait times.

Leveraging physical kiosks

Banks extend their services to physical locations through kiosks. These kiosks rapidly issue cards and offer diverse functionalities such as utility payments, consultations, and loans.

For banks, this attracts tech-savvy consumers, broadens networks, and reduces operational costs.

Hyper-personalisation of order process

SMEs can offer personalised experiences at every stage of the ordering process.

This involves creating a smooth, customised digital payment journey and consolidating orders and payment choices within a unified platform.

Choosing the appropriate technology allows customers to select their preferred purchasing channels and payment methods.

According to McKinsey, 71% of consumers anticipate personalised services, and more than 75% become frustrated when these expectations are not met.

Build your phygital ecosystem

Phygital harmonises digital and physical realms, forging a novel consumer experience.

Virtual experiences hold potential, but they must seamlessly integrate with the physical —whether in banking, retail, transportation, or other sectors.

The essence lies in providing personalised experiences that cater to individual needs.

BPC follows the principle of Bridging Real Life with Digital, which is at the heart of the phygital idea. Our solution is designed to boost business transactional speed and financial inclusion for SMEs, making it easier for small businesses to gain access to an unlimited market, automated logistic services, clear and standard rules, get unsecured lines of credit, backed by lenders including traditional financial institutions, microfinance institutions, government, and P2P lenders or investors.

BPC SmartVista Marketplace solution provides complete phygital immersion to buyers from customisation of orders online and instant ordering via mobile apps or convenient portal to availability of various payment acceptance options, while being a convenient tool for FIs and SMEs allowing to build own loyalty programs, gather and analyse customers data and do behavioural marketing and upselling. 

SmartVista Marketplace can be seamlessly integrated with various additional services, forming a complete end-to-end phygital ecosystem, making all orders and payments options convenient and done from a single platform.

Start benefiting from BPC’s Marketplace alone or as part of a broader technology platform and gain the potential to make the most of every transaction with the right tools and technology.

It’s one thing to use technology to power your transactions; it’s another to harness its full potential.

BPC’s experienced team understands exactly how to bridge real life and digital, and our technology is proven, consistent, and always forward-thinking.

Watch the PCM + BPC Phygital Webinar HERE

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