5-minute read

Immersive experiences are no longer limited to tester strips at the perfume counter. The virtual universe has unlocked an entirely new space for customers – and brands must help craft the worlds that customers are craving. Customers also want a seamless journey that is as familiar as walking from the clothes rail to the till. Barclaycard’s omnichannel expertise means that we can support brands in keeping customers immersed in their worlds – and tempt them to splash out on their heart’s desire.

Creating the immersive customer experience

As the line separating physical and digital retail experiences continues to blur, more retailers and brands aim to erase the boundaries between different platforms and touchpoints, creating a singular immersive experience. Whether welcoming customers into a virtual universe, finding your place in theirs or simply helping them browse and buy on social, there’s now an emphasis on bringing the worlds of brand and customer together – wherever they meet.

Transcending traditional online store experience

Existing eCommerce sites and online marketplaces have made features such as video, 360-degree views, and zooming in on product details commonplace. This means immersive online retail spaces must differentiate themselves to stand out.

NYC retailer Macy’s is showing how it can be done with mstylelab,¹ where the goal is “blurring the lines between the physical and digital worlds through innovative fashion experiences”. This means combining gamification (customers collect stars to unlock new style inspiration), personalisation (create your own digital fabric), and online try-on options.

While none of these features are new, by bringing them together in a specially created digital world, customers spend more time immersed in the brand – making it closer to the experience of visiting their store.

Connecting physical and digital experiences

Barclaycard’s commissioned YouGov survey asked 500 luxury retail customers about new retail technologies like NFTs and augmented reality (AR) to understand their impact on shopping habits. Consumers value in-store experiences for their tactile benefits, with 47% preferring to see and touch products.² A 2022 McKinsey & Company report suggested immersive digital experiences might replicate these physical effects using on-body sensors and haptic gloves.³ However, these technologies may take 8-10 years for widespread adoption. This slow engagement explains why platforms like the metaverse lag behind the more popular ‘research, buy and return if necessary’ model made popular through feed-based social media.

Immerse yourself in their world

While the full tactile, immersive shopping experience may be a few years away, consumers are keen to find new ways to engage with brands through tech. Helping them seamlessly turn browsing into buying places your brand in their existing online world – rather than trying to tempt them into yours. The popularity of socialising in virtual universes such as Minecraft and Roblox, particularly with younger consumers, offers the chance to do both.

Gucci is just one brand steadily expanding its presence in this area – bringing the principles of gamification, personalisation, product browsing and purchase to curated spaces on Roblox,⁴ ZEPETO,⁵ and China’s QQ. In 2023, they even used these locations to stage virtual fashion shows – hosting a simultaneous Milan Fashion Week experience across three digital platforms for the first time.⁶

Helping them spend whilst staying immersed

Drawing customers into a virtual environment is akin to attracting them into a physical store. By implementing a smooth payment option on the webpage, customers can explore and make purchases without needing to switch to different sections or sites. However, our findings indicate that 74% of consumers favour using debit or credit cards for online shopping, while Apple Pay and PayPal are less preferred.⁷ To accommodate these preferences, retailers and payment providers need to re-evaluate user experience.

David Jeffrey, Product Director of Intelligent Payments and Risk at Barclaycard Payments acknowledges that, “Today’s retailers must balance security with a seamless experience… if they can’t do it safely, it’s unlikely they’ll want to.” Barclaycard Payments can support the creation of consistent and compliant payment experiences, across various touchpoints, from in-store to social feed.

The power of social feeds

It’s important to remember that many customers choose to immerse themselves in your brand through feed-based social platforms. Our research found that 67% of consumers said they didn’t expect to engage with a retailer in the metaverse in the next 12 months;⁷ in contrast, Instagram (28%) and Facebook (15%) were the most-used social media platforms for researching luxury goods.⁷ When it comes to turning browsing into buying, platforms that place video content in the foreground also appear to have the most significant impact, led by Instagram (11%), Facebook (8%) and TikTok (5%).⁷

This requires broader thought regarding immersion rather than simply working out how to tempt customers into existing or specially made 3D worlds. Whether they’re seeking out influencers on Instagram or watching product tutorials on YouTube – customers are still immersing themselves in brands, even if they don’t have a personalised avatar to prove it.

Unlocking the potential of smooth in-app payments

Just as the payment process must be integrated into virtual worlds to ensure seamless immersion, consumers also expect to be able to shop and pay on feed-based social media.

Kirsty Morris, Managing Director of Client Experience and Market Development at Barclays Transaction Banking, highlights that brands must connect browsing with buying as, “they won’t just be missing out on today’s social commerce opportunities; they’ll be missing out on future customers.” With TikTok Shop⁸ making it easier for users to buy directly from the video they’re watching, it’s clear that there is a trend towards ironing out friction between searching, browsing and payment, to make it as easy as possible to trade in-platform. 

Seamless experiences for complete immersion

Seamless omnichannel retail becomes more complex and riskier with every platform added, particularly if brands want customers to move between them without disrupting the all-important sense of immersion.

As consumer habits evolve, however, immersive experiences will become more commonplace and more expected. Therefore, retailers and brands must find ways to overcome these challenges and unlock opportunities to create a greater sense of connection with the customer.

The key takeouts

To keep customers engaged with your brand, it is essential to provide a consistent and secure payment experience across all channels. Curated virtual environments offer exciting possibilities to engage customers by integrating gamification, personalisation, and conventional eCommerce. Achieving genuine brand immersion involves seamlessly linking these elements with other touchpoints like in-store and social media experiences. Equally crucial is finding strategies to embed your brand within the customer’s world through established virtual and social platforms.

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