Why Digital Transformation May Require Getting Phygital

Darren Hunter

Have any plans to get phygital this weekend?

If so, you won’t be alone. An increasing number of consumers today are shopping at the intersection of physical and digital. Phygital is a virtual bazaar that got its name when the reassurance of visiting a brick-and-mortar location became seamlessly integrated with the convenience of e-commerce.

While physical experiences offer far more human interaction and engagement, there’s no denying the expediency of interactive digital technology. However, fortuitously, the two have begun to meld. The confluence conjures up memories of an old television commercial in which peanut butter and chocolate were infused when two random strangers accidentally bumped into each other. At first both parties were visibly irritated, but once they tried the synergistic result, they were elated.

The confluence of physical and digital may have occurred more organically than a chance collision, but the results thus far point to more satisfied shoppers.

Most organizations would agree that having a complete view of their customers that allows for a comparable experience at every touchpoint is the goal. However, accomplishing it remains a daunting task for many organizations.

One business that’s already demonstrating success with phygital is India-based Tata CLiQ.  India has already overtaken the United States to become the world’s second-largest Internet market. With 333 million online users, the country is the world’s fastest-growing e-commerce market.

Ashutosh Pandey, CEO Tata CLiQ, said that getting there first required a few steps, particularly by implementing the right technology.

Company objectives included building an omnichannel marketplace that offers the right balance between online and brick-and-mortar stores. The solution also needed to enable online store inventory reconciliation and full visibility to the customer and their associated data. Finally, there had to be customer ease of mind through the allowing of cash-on-delivery payment options. In fact, Pandey believes that customer experience needed to be hassle-free through the entire phygital spectrum.

“Every single customer experience is important. We have the mastery of trying to make customers happy through our offering, through our service, and through the end-to-end experience that we provide.”

The product content and management solution implemented by Tata CLiQ is agile and has met the unique omnichannel marketplace requirements that have been implemented by Tata Consultancy Services.

The SAP Hybris solution provides Tata CLiQ catalog authority that provides customers with best options based on their interests and past behaviors. Additionally, it lets customers to buy from a much larger collection of brands, while enabling brands to have a much closer relationship with their customers.

The result is a digital transformation that makes “getting phygital” an enjoyable and satisfying experience for millions of shoppers across all of India.

Learn more about Tata CLiQ in this brief video.


About Darren Hunter

Darren Hunter works in the Customer Newsroom at SAP. His areas of expertise include storytelling, speaking engagements, covering events, interviewing SAP customers, partners and stakeholders and creating engaging content for worldwide distribution and enjoyment.