“A customer is the most important visitor on our premises. He is not dependent on us. We are dependent on him. He is not an interruption of our work. He is the purpose of it. He is not an outsider of our business. He is part of it. We are not doing him a favour by serving him. He is doing us a favour by giving us the opportunity to do so.”

Though Gandhi’s thoughts are applicable to every form of business, it has become more apparent with the rising trend of Phygital Retail — a blend of physical and digital channels of retail. Customers also are going through the evolution of ‘what to expect’ in a similar fashion parallel with the increasing influence of tech in everyday life. As a result, businesses are changing their retail tactics from traditional “reactive’ to ‘proactive’, prioritizing customers first, just as Gandhi noted.

With uprise of technological advancement, artificial intelligence, chatbots etc., ‘push-pull dynamics’ of marketing are also shifting more towards ‘pull’ as customers are constantly getting bombarded with options by companies, topping one another day by day. For example- where brands like BoConcept, Timberland, Zara using artificial intelligence, machine learning etc. to provide an interactive experience in store. On the other side, grocery retailers and  food service platforms such as UBER Eats, Meijer etc. are using automation, machine learning etc. technology to create an immersive retail experience for the customers.

Sometimes one buys an expensive movie ticket, but 30 minutes into the movie, they suddenly find the movie failing to grip and an unwise expenditure. Despite the disappointment, most customers end up watching the film in entirely. That is a classic example of ‘Sunk Cost Fallacy’, a psychological phenomenon, and brands are going to use this for customer attrition as we head more and more into the realm of phygital retail. With phygital retail it will be possible to create an experience so wonderful, immersive and yet so relatable, customers will be forced to consider the brands that tick the right boxes. This  will help the brands in turn to acquire loyal customer bases. And following Gandhi’s words, allowing phygital retail to serve the customer as the most important visitor.

–Sayan Mukhopadhyay

The post Phygital retail: The next level of customer service, inspired by Gandhi first appeared on PHYGITAL RETAIL CONVENTION (PRC).

Now, in terms of retail in metaverse, there is a divide that lies between the experts. Some believe that in the metaverse there will be malls, stores, and many more, whereas some believe that the metaverse will replace the traditional industrial age shopping concepts. But, with the ongoing rise in the trend of phygital retail, it is apparent that metaverse in the future will break the boundaries of the internet and bring out the limitless experience of shopping through phygital retail, a light year beyond today’s digital shopping experience.

Now, if the metaverse is going to set the stage for retail in the future and phygital retail is going to be the default choice in it, then cryptocurrency will be the last element that will fulfill the trifecta that will revolutionize retail beyond human imagination. In the virtual world, that is the metaverse, visual realism will be of utmost importance when it comes to retail. In that sense, a virtual currency that is cryptocurrency will become the driving force for the economy of the metaverse. Evidently, today’s cryptocurrencies, NFT, and other booming technologies are going to be essential elements in the heterotopia.

Despite the metaverse being a paradoxical entity in nature, it is going to be a necessary part of our lifestyle in the future certainly. People will interact, socialize and explore with themselves or their avatars to discover their intended products and make payments with the help of virtual payment systems also. Finally, from retail’s perspective, the metaverse will become the unison of e-commerce, digital and physical retail options and will take humanity one step closer to the unification of humans and technology in the future. In practicality, metaverse has already entered the retail space with the collaboration of Meta and Carrefour. Several big retailers are now exploring their way in with offerings like Nike’s virtual sneakers, digital clothing by Gucci, Balenciaga, Ralph Lauren, etc. as well.

Now will the traditional approach to business prevail in the metaverse or will it be revamped to a whole new different level?

Let’s find out in the future!

— Sayan Mukhopadhyay

The post Metaverse, Cryptocurrency, and Phygital retail: A trifecta operating the future heterotopia of the retail industry first appeared on PHYGITAL RETAIL CONVENTION (PRC).

With the growing friction between purchase decisions and environmental sustainability, customer demands are changing as well, forcing brands not just in India, but also all over the world to act on the rising green sentiment. According to a Bain & company study, about 52% of Indian consumers are ready to pay a premium for ‘sustainable products’. On the other hand, the rise in the trend of phygital retail is paving a new path for the retailers to adopt the ways of sustainability, as experts also believe that technology lies at the heart of the solution to sustainability in retail in the future.

Technology in the future can shape the ease of retail operations in many ways. There are several ways technology is being considered to be implemented in the future also like smart cloud-based warehouse technology to optimize storage layouts to prevent wastage, using apps and other interfaces to make the customers aware of the carbon emission, also creating carbon optimized websites for reducing digital emission which has apparently become another rising concern for the retailers. Along with all this, in-store technologies are also setting up the support system for sustainable retail. Companies like Metrisk offering loyalty points for recycling products, re-commerce company musicMagpie creating recycling facilities for electricals, etc. are definitely some phygital approaches that are supporting the green sentiments worldwide.

With growing concerns about mother earth, and also increasing customer demand and retail experience expectations day by day, it is high time to create a balancing solution that is sustainable as well as which caters to the demand for a unique customer experience. Hence, the pertinent question that is becoming more and more apparent is whether phygital retail will help in the process of making retail sustainable in the future by tapping into the smart innovations around us.

— Sayan Mukhopadhyay

The post Retail’s green transformation first appeared on PHYGITAL RETAIL CONVENTION (PRC).

The super app model has existed since 2009 during the “Great Firewall” incident in China. During this period global apps like Facebook, Twitter, etc. were blocked and as a result, the super app model was invented in China to prevent data of citizens from going to foreign institutions. WeChat is considered a perfect example of a super app, where multiple services are served by one app only. But in India, the super app model has never succeeded due to the particular consumer behavior trend, as Indians are inclined to use apps for their specific use.

Despite this, Tata has recently launched its super app “TATA NEU” along with several companies promising to launch their super app in near future like Adani group Inc., Reliance, Spice money, etc. This sudden interest of Indian companies in building super apps has a promising purpose after all – To build a phygital ecosystem in India. Despite the challenges, Tata group has come up with an interesting plan of providing customers with rewards in the form of ‘Neu Coin’ and one neu coin equivalent to one Indian Rupee, by collecting all of their previous purchase data of Tata products.

But why are these companies launching their super apps or showing interest in doing so in the future, despite the proven history of failure of the super app model in India? The answer lies in the aspect of the customer data pool that each of these companies has with them. Being the large conglomerates and e-commerce companies, they have the leverage to use those data to develop a phygital solution with a seamless experience for the customers. For example, Tata group has its foot in a large range of business sectors in India with companies like Tata Consultancy Services, Tata Motors, Tata Steel, Tata Chemicals, Tata Consumer Products, Titan, Tata Capital, Tata Power, Indian Hotels, Tata Communications, Tata Digital, and Tata Electronics. So, launching to cater to the emerging trend of phygital retail in India, super apps are proving as a pivoting factor for stepping into the phygital world. But will super apps and phygital retail complement each other in the future? Only time will tell.

— Sayan Mukhopadhyay

The post Super Apps: A gateway to phygital retail first appeared on PHYGITAL RETAIL CONVENTION (PRC).

Despite netizens creating a buzz, the undercurrent of these two marketing attempts is of phenomenal importance to the retail industry in India, as these are the perfect examples of ‘Phygital Marketing”, a newer, smarter, and futuristic style of marketing.

Phygital Marketing is a portmanteau, blending physical and digital marketing. With the increasing affinity toward online shopping, especially e-commerce platforms, many retailers are coming out with their own omnichannel strategies to keep up with the dynamics of the market. This is where phygital marketing emerges as an option of exorbitant importance. Customers’ demands from retailers are changing constantly with exponentially growing technological advancements and innovations getting incorporated into retail operations to provide a seamless experience to the customers. For that reason, blending methods and strategies of traditional and digital marketing to create a unique blend of experience is how phygital marketing is going to help bridge the gap between the in-store experience in physical retail and urgency in digital retail.

Companies across the world are using several phygital marketing techniques like Pop up booths or Event booths, creating real-world customer centers, putting the idea of innovation in customers’ minds through the limited supply of innovative products, using AR and VR to create a virtual experience, wearable technologies, QR code marketing and many more.

On the other hand, according to one report, about 82% of the customers who enter a store are likely to check reviews online for their desired products. Hence, it is evident that phygital marketing strategies tap into the reality that customers in this digital era have grown accustomed to. So, the final question that all of this leads us to is whether these two retail verses are going to co-exist in the future or something new is going to replace all of these.

— Sayan Mukhopadhyay

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