What is Phygital Retail?

Photo by Hanson Lu on Unsplash



It’s a concept born out of the need to maximize customer service and trade benefits. Nowadays, more than 50% percent of stores run “Phygitallly.” While some are well-aware of the concept, others (Mostly SMEs) practicalize it for the growth of their businesses without deep knowledge of the idea. Phygital retail is when a retail store has both Online and Physical active presence and uses both channels to run the business and meet evolving customers’ demands.

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There are various ways in which a mix can be made between both concepts for customers. However, it should be noted that having an online presence alone doesn’t make it a PHYGITAL retails. It has to be an active one. E.g., a website that shows contact details and information doesn’t signify a phygital retailer. It’s a concept mainly for E-commerce. There has to be an ACTIVE online presence that leads to sales or finalizes sales Itself. These mixed sale strategies between the two concepts can be:

  • A customer could order online and pick it up at a retail store. Digitalization has given versatility to shopping. Customers could add items to a cart online and pick them up in an offline store. This is as against ordering and having it delivered to doorsteps. It’s a plus, especially for customers close to the store, to minimize spending through costs of deliveries.
  • Shopping offline and delivering online. An item could be shopped, paid for, and concluded offline while one books it for shipping offline. This especially meets the need to deliver items to loved ones from far away. The customer gets to see and feel the goods and certify the quality of what’s being shipped to the other end on their behalf.
  • Another strategy of phygital retailing is payment at collection points. Customers could shop for items online but pay at a collection point in a physical store. Items ordered online are reserved for shoppers for days before canceling. This could also be vice-versa. A physical store could accept payment only online. A client could walk in, shop, log into the store’s online outlet, pay for an item and leave with it.

There are different ways in which shopping, payment, and delivery could intermingle with both online and physical outlets. Every business determines what works best for it or combines as many strategies as possible to meet evolving consumer needs.

Phygital sale is unrestricted and can be adopted by every venture that offers e-commerce services and has a physical store.


Photo by Bernard Hermant on Unsplash




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Rofeeah Ayinla

multifaceted Content Writer | Web3 | Blockchain | Press releases | SaaS | Business blogs | Health, Beauty and Nature Storyteller.