How AR is Transforming the Omnichannel Phygital Experience
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Rise of Phygital Tech: How Augmented Reality is Transforming the Omnichannel Experience

6 mins read
6 mins read

Have you ever wished shopping could be more interactive and personalized? Thanks to phygital tech, it can be! Combining the best of physical and digital experiences, augmented reality (AR) is taking shopping to a whole new level. Imagine trying on clothes without actually wearing them or seeing how furniture looks in your home without moving a single piece.

In this article, you’ll learn how AR is changing the omnichannel experience, creating a seamless and engaging way for you to interact with your favourite brands. Get ready to be amazed by the future of shopping!

What is Phygital Tech?

The shift from traditional to digital and now to phygital has been transformative. Initially, businesses used only physical interactions to engage customers. With digital technology, online experiences began to dominate, leading to an omnichannel marketing strategy that combines both physical and digital touchpoints. Phygital tech now merges these two worlds seamlessly, taking customer engagement to the next level.

Key Components of Phygital Experiences

Key Components of Phygital Experiences
  • Internet of Things (IoT): Connects devices to create smart environments.

  • Augmented Reality (AR): Overlays digital information onto the physical world, enhancing customer experiences with interactive elements.

  • Virtual Reality (VR): Offers fully immersive digital environments, expanding the possibilities for creative ways to promote a product.

Importance in Modern Commerce

  • Phygital is critical for significantly improving brand awareness and customer engagement.

  • Using AR in omnichannel marketing allows businesses to offer unique, personalized experiences.

  • These advanced marketing strategies to increase sales ensure companies remain competitive and relevant in an increasingly digital world.

How is AR Transforming Omnichannel Experiences?

Augmented Reality (AR) plays a pivotal role in enhancing customer experience within the omnichannel marketing strategy landscape. By seamlessly integrating digital elements into physical environments, AR transforms how consumers interact with products.

Applications of AR in Omnichannel Marketing

Applications of AR in Omnichannel Marketing

1. Virtual Try-Ons:

  • Beauty and Fashion: Brands like Sephora and Gucci use AR to allow customers to try on makeup and clothes virtually. This reduces the hesitation of buying without trying, leading to increased conversions.

  • Furniture and Home Decor: IKEA’s AR app lets customers see how furniture fits and looks in their space, enhancing the confidence to purchase big-ticket items online.

2. Interactive Product Demonstrations:

  • Automotive Industry: Car manufacturers use AR to provide detailed 3D views of their vehicles, enabling potential buyers to explore features comprehensively.

  • Electronics: Companies like Samsung use AR to showcase the features of their latest gadgets, helping customers understand product benefits better.

3. AR-Powered Advertising:

  • Billboards and Print Ads: Integrating AR with traditional media allows customers to scan codes with their phones to see interactive content, such as 3D models or videos, making ads more engaging and memorable.

  • Social Media Filters: Brands create AR filters for platforms like Instagram and Snapchat, which users can interact with and share, boosting organic reach and engagement.

4. Enhanced In-Store Experiences:

  • Guided Shopping: Retailers use AR to offer guided shopping experiences, where customers receive real-time information about products and personalized recommendations as they navigate the store.

  • Gamification: Implementing AR games or treasure hunts in stores can make shopping fun and rewarding, encouraging customers to spend more time and money.

Role of AR in Improving Brand Awareness

Role of AR in Improving Brand Awareness

AR significantly enhances brand awareness by offering unique, engaging experiences that differentiate a brand from its competitors. Here’s how:

  • Memorable Interactions: AR experiences are immersive and memorable, making customers more likely to remember the brand and share their experiences with others.

  • Social Media Engagement: AR filters and effects on social media platforms encourage users to interact with the brand and share content with their followers, creating organic word-of-mouth marketing.

  • Storytelling: Brands can use AR to tell their story in a more compelling way. For instance, a brand can create an AR experience that takes users on a journey through its history or showcases the craftsmanship behind its products.

  • Customer Education: AR can be used to educate customers about product features and benefits in a more engaging way than traditional methods. This not only improves awareness but also fosters a deeper understanding and connection with the brand.

Impact of AR on Customer Satisfaction and Loyalty

Improved Decision-Making: AR empowers customers with more informed purchase decisions, reducing buyer remorse.

Enhanced Engagement: Interactive AR experiences create memorable interactions, strengthening emotional connections with the brand.

Increased Loyalty: Positive AR experiences contribute to repeat purchases and advocacy, driving long-term customer loyalty.

 If you want to learn more about more ways of customer retention you can read our blog: 6 Ways To Boost Customer Retention With Loyalty Programs

Metrics and KPIs for Measuring AR Campaign Success

1. Engagement Rates:

  • Usage Frequency: See how often customers dive into your AR experience. Frequent interactions mean you're keeping them hooked!

  • Session Duration: Track how long users stay engaged with your AR content. The longer they stay, the more captivating your experience is.

2. Conversion Rates:

  • Sales Conversions: Measure how many AR users end up making a purchase. A high conversion rate means your AR is driving real sales.

  • Lead Generation: Count the number of leads you gain through AR interactions. More sign-ups and inquiries mean your AR is generating interest.

3. Social Sharing:

  • Shares and Mentions: Monitor how often users share your AR experience on social media. More shares equal more organic reach and buzz.

  • User-Generated Content: Look at how much content users create featuring your AR experience. This shows how much they love engaging with your brand.

4. Customer Feedback:

  • Satisfaction Scores: Gather ratings and reviews specifically about your AR experience. Positive feedback indicates happy customers.

  • Net Promoter Score (NPS): Find out how likely customers are to recommend your AR experience to others. A high NPS means strong word-of-mouth potential.

5. Return on Investment (ROI):

  • Cost per Engagement: Calculate the cost of each user interaction with your AR content with the help of full scale PPC services. Lower costs mean more efficient spending. 

  • Sales Uplift: Measure the increase in sales directly from your AR campaign. A higher sales uplift shows your AR is effectively boosting revenue.

By keeping an eye on these metrics, you can gauge the success of your AR campaigns and fine-tune them to maximize impact and engagement.

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