From Shelves to Screens: Conceptualizing Phygital Retailing in Supermarkets through the S-O-R Framework

Abstract

This conceptual paper explores a hybrid approach to phygital retailing, which merges physical and digital shopping experiences to enhance customer engagement and satisfaction. As retail evolves alongside technology, retailers must understand the dynamics of physical encounters while leveraging innovations that connect online and offline experiences. Physical shopping offers unique value propositions, while phygital retailing highlights the role of digital sensing technologies and augmented reality in addressing limitations of online purchasing. These tools create immersive shopping experiences that replicate the appeal of in-person shopping while retaining digital convenience. By combining physical and digital elements, retailers can engage customers on multiple sensory levels, fostering deeper emotional connections and stronger purchase intentions. The Stimulus-Organism-Response (S-O-R) theory is proposed as the underpinning framework to explain how phygital retailing influences consumer responses, particularly purchase intention. The integration of technology and consumer experience also introduces new opportunities, as phygital retailing represents an innovative strategy for retailer-consumer interaction. Guided by positivism, this study suggests a quantitative approach as the most suitable method for testing the proposed model with empirical results. The findings will support researchers and managers in understanding how technology shapes consumer behavior in retail settings. In conclusion, phygital retailing is urged to redefine consumer experiences by merging the immediacy and tangibility of physical retail with the personalization and convenience of digital platforms. This fusion enables retailers to deliver engaging, memorable experiences that strengthen customer loyalty and satisfaction in an ever-evolving retail environment.