What is Phygital transformation?
This is the age of information and with constant influx of research and surveys, for businesses, it is also the age of evolution. With more and more studies pertaining to customer behaviours and buying strategies, the contemporary business methodology is ever-changing and the amphibious nature of “phygital” mechanisms have arisen as a fundamental human instinct: the necessity to adapt.
Phygital marketing is a critical approach for businesses seeking to cater to the transitioning needs of the consumers to bring technological convenience in their infrastructure. Then, it is only natural to inquire what phygital transformation is, and how it seeks to revolutionize the way commerce functions? 
The essence of understanding the meaning is in the word itself: an amalgamation of the words physical and digital. Similar to how digital transformation replaced hand written letters and is replacing cash with online or card-based transactions, phygital transformation seeks to bring in integrated methods on the table.
What is Phygital Transformation? Defining the Concept
In a nutshell, Phygital Transformation can be projected as a synthesis of physical and digital machinery to enhance corporate processes and consumer experiences. The essence of traditional digital transformation is outclassed by the evolution of phygital Transformation. A lot of it can be attributed to a larger age group or demographic where factors like nostalgia and ease of access also play a greater role. 
The physical aspect always plays a crucial role in the lives of the customers, as can be seen in the example of tangible books and e-books. Therefore, phygital transformation is essential to draw the best of both worlds. The reason lies in its ability to utilize the resources at hand allowing the offline and online channels to bleed into each other avoiding the roadblocks. 
It includes a wide range of techniques and technologies, for example, augmented reality, and IoT devices, all of which strive to provide customers with an integrated and interactive experience.
What is Phygital transformation? Key Components and Technologies
The whole concept of merging the physical and the digital hinges on the humanistic approach that it aspires to champion. A few instances where phygital transformation has infiltrated and enhanced accessibility are interactive kiosks, smartphone apps with geolocation capabilities, RFID tagging for inventory management, and AI-powered chatbots for customer care. 
A lot of these, for example, interactive kiosks or smartphone applications can be argued to be results of the digital transformation. Internet of Things (IoT) devices are a major breakthrough as observed in the smart home mechanisms today. These are devices with sensors that can process data, record and share over the internet which facilitates a variety of operations.
What is Phygital transformation? Impact on Business Operations
Phygital transformation is essentially a customer driven and oriented method but it primarily serves the growth of any business. It keeps them in the loop and the authenticity of the interactions creates a treasure trove of customer data. Businesses can analyse this data to predict demand, optimize inventory, and strategically place products, leading to reduced costs and increased sales.
Integrating technologies like virtual reality and self-service kiosks automates tasks like order processing and checkout, freeing up employees. This, along with improved communication across departments, fosters a smoother workflow. This trickles down to increased efficiency, agility, and competitiveness. Phygital businesses can make data-driven decisions, adapt faster, and offer a superior customer experience, giving them a significant edge in today's market.
What is Phygital transformation? Customer-Centric Approach
The thick and thin of phygital transformation is having an optimised system in place with the customer as the focal point. With the addition of digital machinery to existing physical products to especially cater nuanced customer requirements, a huge leap towards a consumer-centric ecosystem is taken. The end goal of VR showrooms or AR filters is to provide the customers with a seamless interface where personalization is considered. 
Even in the smallest of purchases or transactions, our sense of aesthetics and values influences the choice we make. Understanding convenience without causing choice overload to the customer. A business that manages to capture the warmth of such an interaction is on the correct path.
What is Phygital transformation? Future Trends and Opportunities
A very interesting and noticeable pattern today is where people at times are actively trying to avoid relying on digital or futuristic means, mainly among the older generations who have not grown around advanced technology. The main causes observed would be the human core value system, the idea of “old school” where tangible experiences are valued more. 
The notion of making a transaction is different, and there’s apprehension about embracing the digital wholly. In such a scenario, the future of phygital change has enormous promise and possibility. Let’s say, a fashion business where a customer can go to the physical store as well as the online store is a much more fulfilling experience. 
From the increasing acceptance of augmented and virtual reality to the advent of smart retail settings and IoT-powered ecosystems, the opportunities for Phygital transformation are limitless. Businesses that embrace and effectively leverage these developments can open up new opportunities for growth and distinction in an increasingly digital world.
Therefore, in a constantly fluctuating and transforming space as such, it is hardly a matter of “why” phygital transformation is necessary but “when” in this rigorous competition, firms understand its need and adapt to envision a future where the physical components and the digital advancements complement each other like bread and butter.