Operational customer experience domains in phygital retail settings: a domain-based framework for managerial decision-making

Abstract

The rapid integration of digital technologies into physical retail environments has intensified the managerial focus on customer experience (CX). However, existing research predominantly conceptualizes CX as a holistic, journey-based construct, offering limited clarity about where within retail systems experience is structurally shaped and where managerial interventions can be effectively directed. This conceptual ambiguity complicates strategic decision-making in digital transformation initiatives. To address this gap, this study systematically identifies and structures operational CX domains in phygital retail environments and develops a domain-based conceptual framework explaining where experience formation occurs and how managerial interventions can be targeted. Drawing on a structured integrative literature review of 166 peer-reviewed studies, the research systematically identifies and stabilizes distinct structural domains within retail systems where CX formation is activated through identifiable experiential mechanisms and where managerial actions can be meaningfully directed. The analysis results in 9 operational CX domains spanning physical, digital, and cross-channel configurations. The resulting framework enables managers to evaluate digital initiatives by clarifying: (1) which structural domain is being modified, (2) which experiential mechanism is expected to be activated, and (3) how changes in one domain may affect alignment across others. By making the operational architecture of CX explicit, the framework supports more coherent, targeted, and strategically consistent digital transformation decisions.