Recent advancements in ICT technologies and digitalization have brought
significant changes to various industries, accelerating the development of
integrated marketing that incorporates digital technologies. Businesses
prioritize differentiated market...
Recent advancements in ICT technologies and digitalization have brought
significant changes to various industries, accelerating the development of
integrated marketing that incorporates digital technologies. Businesses
prioritize differentiated marketing methods in an increasingly competitive
market environment to provide customers with new brand experiences. As part
of differentiated marketing strategies for brand experience, phygital
marketing has recently garnered attention. Companies strive to drive phygital
marketing in various ways to interact with customers, and augmented reality
(XR), which integrates digital tools into physical environments, is being
used across multiple industries. To leverage XR as part of marketing
strategies, interaction design for communication between companies and
customers has become increasingly important. However, despite the growing
prominence of XR-based phygital marketing, research and guidance on building
customer experiences remains limited due to the rapid technological
advancements and changes in consumer expectations. Therefore, this study aims
to propose effective phygital marketing strategies and methods for securing
market competitiveness by analyzing XR-based interaction design for phygital
marketing. It analyzes the interaction design elements through successful
domestic and international case studies of phygital marketing, draws
insights, and provides guidelines for XR, emerging as the next-generation
marketing method. The specific topics discussed are as follows.
First, the study examines the background of the evolution of phygital
marketing in response to technological advancements and changes. The
conceptual definition of phygital marketing was reviewed through previous
studies to explore its meaning and background. Additionally, the types of
phygital marketing for case analysis were presented based on Philip Kotler's
Marketing 6.0. Five types of phygital marketing were presented: Seamless
Transactions, Contextual Recommendations, Interactive Engagements, Augmented
Discoveries, and Pre-and Post-Experiences.
Second, to explore XR-based interaction design, the study examines the
definition of XR, its technological categories, and applications across
industries. It also investigates the current technological implementations and
characteristics of XR, focusing on industry-specific uses. The interaction
design elements used for case analysis in this study were derived based on
previous interaction design studies. The final interaction design elements
include Verbal Expression, Nonverbal Expression, Spatial Interaction, Time, and
Behavior.
Third, the study classifies XR-based phygital marketing cases according
to the five strategies of phygital marketing presented earlier. It analyzes
them through the interaction design elements derived from previous research.
The cases selected for analysis were drawn from the Best Global 100 Brands
over the past decade (2015-2024), as ranked by Interbrand, the largest global
brand consulting firm.
The case analysis revealed that companies aim to secure a differentiated
competitive edge by providing consistent experiences through integrated
online and offline channels. Companies can offer consistent brand messages
and experiences by integrating various channels and tools, thereby enhancing
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consumer engagement. Additionally, the objectives that companies aim to
achieve through XR-based phygital marketing were found to be similar across
cases, focusing on enhancing consumer experiences and conveying brand value.
Companies strive to meet consumer needs and expectations by offering
differentiated, personalized content based on phygital marketing. Thus,
companies need to explore ways to continuously deliver content through
XR-based phygital marketing. While XR-based phygital marketing is being
implemented both domestically and internationally, most of the content
developed so far has been one-off, aimed at generating consumer interest. If
XR-based phygital marketing content expands beyond one-off experiences and
becomes a sustainable marketing tool, it can enhance companies'
competitiveness.
In conclusion, this study confirmed that companies provide consistent
experiences through phygital marketing elements, focusing on consumer
experience-oriented marketing to enhance consumer engagement. However, most
content produced so far has been designed to generate consumer interest but
has been one-time content. Based on the insights derived from the case
analysis, the study proposes a strategic direction for XR-based interaction
design for phygital marketing. The proposed directions include providing a
consistent brand experience across channels, offering differentiated and
personalized content to enhance consumer experiences, and securing
sustainability through the discovery of new technology-based content.