15 What Is (actually) Phygital Phygital? $200tn** The term “Phygital” has been around for quite some time, though it is perceived completely wrong and in a very unfairly narrow sense. In most cases “Phygital” is monopolized today by either omnichannel marketing, retail strategy or online-to-offline customer experience meanings. In fact, it is much more powerful and relates to every human being on Earth, as well as every corporation and the government. Physical So, what’s the big deal with Phygital? And why should anyone Digital AL care about it? $84tn* The answer is plain and simple and is pictured on the right: you $9tn* can think of Phygital as an evolution of everything that has been AR/VR developedincomputing,AR,VRandissettodramaticallychange $34Bn* the way we live, work, communicate, travel, study, entertain and muchmore. OF PHYGITAs a result, all physical objects in the future will be Phygital, i.e. E powered by a set of breakthroughs (AR, IoT, M2M, etc.), while AT online environments (Social media, eCommerce, etc.) that exist today in the digital form only, will finally merge with physical objects not just as an add-on, but rather as an integral part of it. ST This will lead to a dramatic redistribution of wealth and assets, primarily disrupting the offline world and acting as a gateway to the offline economy for today’s digital enterprises. 2021 * Global Market Size in 2020, $US trillion ** Upside potential in the next 5-10 years, LETA Capital estimate, $US trillion