Have you ever wondered why some companies seamlessly adapt to digital transformation while others struggle to keep up? The key often lies in how they integrate digital elements into their products—not just as a gimmick, but as a meaningful enhancement that truly benefits users. In today's competitive market, simply having a great physical product is no longer enough. The real differentiator is how effectively digital solutions elevate customer experience and create new value.
A digital product—or a product enriched with digital elements—is a physical item that delivers new value to the user via additional features in an app, online service, or cloud-based solution. For instance, a company might add Wi-Fi connectivity and app-based monitoring to a traditional mechanical device, offering customers real-time data and remote control.
However, not every product needs a digital overlay just for the sake of novelty. The key is ensuring the digital solution addresses real customer problems—otherwise, it could become an unnecessary “firework” that remains unused.
Customer experience vs. product experience
Customer experience (CX) encompasses every touchpoint a user has with a brand, from discovering the product to post-sales support. On the other hand, product experience (PX) focuses on how users interact with the product itself—its design, functionality, and ease of use. In markets flooded with similar offerings, businesses that prioritize both CX and PX gain a critical edge. Personalized interactions, seamless usability, and digital convenience turn occasional customers into loyal advocates.
Product transformation: adding a digital layer
Integrating digital elements into physical products offers multiple advantages:
Competitive edge: Unique digital features make a product harder to replicate.
New revenue opportunities: Subscription models, premium features, and in-app purchases create additional income streams.
Operational efficiency: Digital solutions enable data-driven decision-making, automation, and predictive maintenance.
Stronger customer relationships: Enhanced user experience fosters engagement and long-term brand loyalty.
For instance, a manufacturer of industrial machines can incorporate IoT sensors and a mobile dashboard, allowing users to monitor performance, receive alerts, and schedule maintenance remotely. Such value-added services not only improve user experience but also open doors to recurring revenue models.
Preparing for product digitalization
Successful digital transformation requires careful planning:
Identifying the scope of change: Is it just adding a new feature, or a complete strategic overhaul?
Assessing your current situation: Technologies, data flows, customer journey.
Planning your strategy and setting metrics.
Evaluating your team’s capabilities: Hire specialists or engage an external partner if needed.
Transforming the entire ecosystem: From marketing channels to internal processes.
How Marotino drives digital transformation
At Marotino, we specialize in crafting custom applications and dedicated systems tailored to our clients' needs. Whether integrating smart functionalities into traditional products or building fully digital solutions from scratch, we guide businesses through the transformation process. Our approach focuses on three key areas:
Operational optimization: Implementing automation, AI-driven analytics, and process digitization.
Skill development: Upskilling teams, hiring tech specialists, and fostering innovation.
Cultural shifts: Encouraging experimentation, iterative development, and agile workflows.
Real-World examples
Nike: merging fitness and digital engagement
Fitness apps: Nike Running Club and Nike Training Club deliver personalized workout plans, performance tracking, and social challenges.
Community & engagement: Users stay motivated through digital leaderboards, achievements, and sharing sessions.
Data-driven insights: By analyzing user data, Nike refines product lines, marketing efforts, and digital services.
Lego: combining physical and digital play
Lego ideas: Fans can submit their own designs, and community members vote. High-performing ideas may become official Lego sets.
Apps & digital games: From puzzle games to AR apps, Lego extends its brand engagement far beyond physical bricks.
Community connection: Appeals to both children and nostalgic adults, driving continuous innovation.
Starbucks: enhancing customer experience through digital tools
Loyalty app: Users earn stars for each purchase, redeem rewards, and place orders without waiting in line.
Personalized offers: Starbucks tailors promotions based on individual preferences and purchase history.
Omnichannel consistency: In-app orders can be seamlessly picked up in-store, simplifying the customer’s routine.
Conclusion
Enhancing an analog product with a digital layer isn’t just a one-off project—it’s an ongoing journey of growth and adaptation. It demands a clear vision, careful research, user testing, and above all, truly listening to what customers need.
Are you ready to transform your product into a digital success? Contact us today and let’s make it happen!