Big Picture - August 2017 - 15
* Average sales uplift of 3 to 5 percent. This provides a
baseline for measurement so that after digital signage is
installed, you have a clear goal to meet.
* Average increase of margin per transaction of 2.5 to 3
percent. This is the "upsell" data that can help influence any
customers who use P-O-P displays. Content related to add-ons
or products can be effective when used as P-O-P signage.
* Nearly one-third (29.5 percent) of customers find
digital signage influential in their purchasing decisions.
Again, this provides context around who might be easily
influenced to purchase more.
* One in five customers made an impulse purchase
after seeing the product displayed on dynamic signage.
This is a substantial number of easily influenced buyers.
4. CONSUMERS CAN RECALL MESSAGING SEEN ON
So, we know consumers remember seeing digital signage, but
can they actually recall the specific message? This is important, especially if the signage is advertising something not in
the immediate location. Location informs recall. If the digital
signage is within a retail or dining venue, the user is seeing
messaging focused on their current experience. If a consumer
sees digital signage outside of the location, like on a billboard
or on screens in a commuter train, recall is more important.
That user needs to be able to remember the message at the
time when he or she is ready to make a purchase.
To understand recall for messaging outside of location, the
2015 Nielsen study tested six digital billboard campaigns in
five major US cities. Consumers reported recall of a specific
message 74 to 89 percent of the time. These numbers provide
real proof that using digital signage outside of the actual
location can still influence buyers. Consider using this type of
data if you're working with a client that uses digital signage
more as source of advertising revenue versus promotion of
their products or services.
7. KIOSKS ARE DOMINATING THE MARKET
Kiosks held the largest market share of digital signage in 2015,
according to a MarketsandMarkets study from the same year.
That's a bit surprising, but kiosks are beacons for information.
They can also provide the ability to transact. Restaurants use
them for easy ordering, large venues use them in wayfinding,
and museums use them as learning aids with exhibits.
It may be hard to believe that digital
signage can rival social media, but the same
Arbitron study found that, when compared to
other channels of video, digital signage was
considerably more viewed.
A kiosk is an interactive communication channel. The
touch screen allows viewers to search for information, and
they can be fitted with payment acceptance elements. Kiosks
even help companies eliminate labor in certain circumstances.
This trend is expected to continue to rise, as many quickserve restaurants are already employing them or planning to
do so. For example, Wendy's announced earlier this year its
intention to add kiosks to cut costs.
8. DIGITAL SIGNAGE GETS CUSTOMERS IN THE DOOR
Digital signage at the storefront is sometimes harder to sell.
Your clients may have concerns about how it will adhere to
windows or if it will be impacted by the sun. Technology is
continuing to address those concerns. PixelFlex, an LED
signage provider, offers a product called Flexclear that was
created for windows. It's lightweight, ultra-bright, and
designed specifically for window displays.
Using an effective sign in the window is a key element of
5. CONSUMERS ARE RECEPTIVE TO DIGITAL SIGNAGE its success because it needs to attract. When consumers are
attracted, they're more likely to walk in the door. FedEx
The Nielsen study also found that 72 percent of respondents
conducted a study in 2012 on storefront signage and found
think digital signage is "a cool way to advertise." Sixty-five
percent think it's a "good way to learn about new businesses in that 76 percent of consumers were compelled to enter a store
because of signage. Further, 68 percent went on to purchase
the area." And 61 percent believe that digital signage is "a
products reflected in the signage. And, these consumers trust
good way to learn about sales and events."
Consumers do, in fact, have positive feelings toward digital the signage, with 68 percent believing that the store's signage
was a reliable indicator of the brand's products.
signage. One pushback you may get from clients is they think
Window shopping has been around since the introduction
it's a nuisance to customers. With this data, you have the
of storefronts. But digital signage has turned window shopping
ability to remove that misconception.
into actual buying.
6. DIGITAL SIGNAGE ISN'T JUST FOR RESTAURANTS
Now that you're armed with data, it's time to put it all
together for your clients. Use this information in presentations
or proposals as proof points on assumptions. Be specific to
Corporate and healthcare sectors are seeing a rise in the use
your client. For example, if you want to convince them that
of digital signage as they've realized the benefit of being able
to instantly communicate with audiences. A 2016 Grand View digital signage can influence buying behavior, show them the
projections of increased sales and give them ideas on how to
Research report found that growth in a variety of industries
create effective messaging around a target item.
should continue through 2024. Both of these nontraditional
It's hard to argue with data. It's the best way to counter
digital signage markets are expected to grow their usage
objections or preconceived notions. So, continue to collect
substantially in the next seven years.
data from the industry as a whole as well as within your own
Digital signage is applicable in any situation where
client base, and digital signage in the digital print industry will
messages need to be conveyed. The ability to have real-time
continue to grow.
communication should be a huge selling point.