Ghalia BOUSTANI. Senior retail consultant at Univers Retail | Published author | Visiting lecturer.

The landscape of luxury retail has undergone a profound evolution in recent years, ushering in a new era where the boundaries between the physical and digital realms are blurred. The catalyst behind this transformation is the emergence of hyperphysical stores, a groundbreaking approach that is redefining the very essence of the retail experience. Hyperphysical experiences benefit retailers, particularly in appealing to the Gen Z audience, who seek more than just a transactional shopping process. Brands can use hyperphysical retail to create brand awareness, enhance word-of-mouth strategies, and increase sales.

In this article, I explore the world of hyperphysical luxury retail stores, their atmospheric design, the importance of physical touchpoints, and the strategic adoption by luxury brands.

The Hyperphysical Retail Revolution


Hyperphysical retail is an innovative concept, heralding a new era in the world of luxury shopping. It seamlessly melds the physical and digital dimensions, creating an immersive and unforgettable shopping experience. This novel approach engages all the senses and elicits powerful emotions, transforming retail spaces into sanctuaries of connection, innovation, and individuality.

Hyperphysical stores are characterized by their focus on delivering a higher level of personal, cultural, and memorable experiences. These stores use tactile materials, offer interactive experiences like Augmented Reality and virtual try-ons, and serve as entertainment venues.

The post-pandemic landscape has seen shoppers craving connection and experience in their shopping endeavors. Retailers have responded by evolving their brick-and-mortar stores into hubs of community, innovation, and exclusivity. They are creating hyperphysical retail experiences that engage multiple senses, foster community, and appeal to Gen Z consumers. Luxury brands, ever attuned to their discerning clientele, have embraced hyperphysicality with open arms. They’ve recognized that shoppers are demanding more from their store experiences, particularly in the luxury segment.

Notably, statistics underscore the importance of this transformation:

  • 32% of consumers seek in-store experiential moments.
  • 58% are influenced by excellent past customer service.
  • 47% were more likely to purchase from a brand with a local presence.
  • A survey by IBM and the National Retail Federation reveals that around 56% of Gen Z global shoppers visit physical stores for the sake of a “fun” experience, which includes capturing set designs for social media sharing.
  • A report by The Business of Fashion reveals that 31% of luxury shoppers visit physical stores at least monthly, favoring the tangible benefits of face-to-face interactions. 
  • Furthermore, 68% prefer a physical store when it comes to customer service.

Several luxury brands have masterfully harnessed the power of hyperphysicality to captivate their audience:

  • Balenciaga adorned its London store with bright pink faux fur to celebrate its Le Cagole handbag line. Every aspect, from walls to seating, invited visitors to touch and interact with the soft, tactile material, creating a memorable and shareable experience. 
  • Jacquemus transformed a section of Selfridges into a whimsical baby blue bathroom, introducing key products from the “Le Splash” collection. The brand’s campy handbag vending machines add an element of playfulness to luxury purchases.
  • Bottega Veneta‘s maze in Seoul and Mulberry’s pop-up promoting their new Softie bag.
  • SHOWFIELDS, known as “the most interesting store in the world,” has made hyperphysicality its core brand pillar. Its Miami branch features a functional tube slide and various themed exhibits, offering a captivating and interactive space for both emerging and heritage brands.

The Hyperphysical Trend: Here to Stay

Consumers’ increasing demand for engaging shopping experiences has led to the emergence of hyperphysical retail, where brands reinvent their physical stores to create emotionally charged and memorable experiences. Hyperphysicality is not a temporary trend. It shows the importance of soulfulness in physical spaces during a world recovering from lockdowns. Retailers must appeal to customers with meaningful spaces and experiential services that elevate the traditional shopping experience.

Hyperphysical retail is gaining popularity due to its blend of sensory and emotional engagement. Luxury brands are using this trend to stay competitive and build stronger connections with their target audience, as consumers are looking for more engaging shopping experiences. In the post-pandemic era, the key to success lies in these “hyperphysical” shops, where the physical and digital worlds intertwine to create emotionally charged, unforgettable experiences for the discerning luxury consumer.

Luxury marketers are exploring multi-sensory experiences in physical stores, potentially integrating ASMR (autonomous sensory meridian response). The goal is to create places where memories and emotions are crystallized through a hyperphysical, material, and sensorial experience. Physical touchpoints should no longer be viewed solely as places for selling products but as meeting places capable of projecting a brand’s identity in its entirety. This involves engaging multiple senses to create a memorable and unique experience for digital-native customers. Marketing and communications departments are focusing on community building to create a personalized and realistic universe around their buyers. This community-building process aims to foster identification with the brand.

The Role of Analytics in Hyperphysical Retail

The success of hyperphysical retail largely hinges on data-driven strategies. Analytics play a pivotal role in curating immersive experiences that make financial sense, align with labor constraints, and allow for continuous testing and iteration. In-store analytics track and analyze customer behavior, revealing popular areas and customer preferences. This data optimizes store layouts, product placements, and customer experiences.

Shopper data enables retailers to provide tailored experiences based on customer demographics, purchase history, and browsing behavior. Personalized recommendations and interactive displays enhance customer engagement. This reading is important as it helps in improving operational efficiency. Analytics enhance employee performance, streamline operations, reduce costs, and optimize inventory management. Peak hours can be identified to allocate staff, accordingly, improving customer service. 

Moreover, in-store analytics facilitate continuous testing and iteration of experiences, allowing retailers to refine the overall customer experience and enhance satisfaction. The interpretation of this reading is done at the design level of the physical touchpoint to ensure a positive experience and keep customers engaged and interactive. Retailers can also monitor key performance metrics and respond promptly to evolving conditions, adapting to customer needs and preferences in real time.

Some essential elements that retailers can incorporate into their hyperphysical stores.

Design elements, and digital tools, in hyperphysical stores play a crucial role in creating immersive and memorable experiences for shoppers. These elements are carefully chosen to engage the senses, evoke emotions, and reflect the brand’s identity. 

  1. Hyperphysical stores focus on aesthetics and design to create visually captivating spaces. These may include unique architectural features, striking interior designs, and creative use of materials, colors, and lighting to set the stage and establish a lasting impression. Retailers may use sensory elements like scents, music, and tactile materials to create a multisensory environment that complements the products and brand identity.
  2. Hyperphysical stores often feature interactive displays, such as touch screens, Augmented Reality (AR) and Virtual Reality (VR) experiences, or digital installations. These interactive elements encourage customers to actively engage with the products and store, making the shopping experience more immersive. 
  3. AR holograms in hyperphysical stores provide animated total looks, help consumers visualize how clothes will look in real life, and increase the average check-out. They also demonstrate out-of-stock items, allowing customers to examine them in AR and place orders. Retailers can use QR codes to redirect shoppers to AR holograms, making it convenient for customers to explore items in their surroundings. QR codes can also showcase out-of-stock items and enhance customer engagement.
  4. The design could include tactile elements that invite customers to touch and feel products. Providing hands-on opportunities for customers to interact with the merchandise enhances their connection with the brand. Design elements may also include features that allow for personalization. This can range from customizable product offerings to interactive experiences that cater to individual preferences and tastes.
  5. Retailers often create distinct zones within the store, each offering a unique experience. For example, there might be a product demonstration area, a relaxation space, or an area for social interaction. These experiential zones add variety to the shopping experience.
  6. Design is used as a tool to tell the brand’s story and convey its narrative. The store’s layout, decorations, and displays should align with the brand’s identity, values, and mission to help customers connect on a deeper level. Moreover, the design should reflect the brand’s identity, ensuring that the store’s aesthetics and ambiance align with the brand’s image and message.