Commercial Integrator + Security Sales Nov/Dec 2023 - 15

Digital Signage: Is Demand
Reaching New Heights?
Kristin Bidwell, director, managing
consultant, ACT Associates, testifies
to a steady increase in digital-signage
applications throughout the commercial
AV industry. " I haven't had a project this
year that has not incorporated some sort
of digital signage, " she continues, pointing
to everything from displays in reception
areas and lobbies, to sales-driving retail
digital signage, to large-scale, eye-catching
videowall applications. Bidwell believes
that the pandemic accelerated the growth
of the digital-signage market, arguing that
it changed human behavior. " [People] are
now accustomed to contactless transactions
and are seeking greater digital
experiences, " she opines, adding that, as
a result, businesses have had to find new
ways to communicate with customers.
Joseph Mendonca, director, business
development, AVI-SPL, amplifies this view,
estimating that approximately 60% of
AVI-SPL projects involve digital signage of
some kind. He says that, today, the quality
of the experience is equally as important
as the functionality integrators implement
in physical and digital spaces. " We are
experiencing extensive digital transformation
taking place in the workplace, healthcare,
education, retail, transportation,
manufacturing, entertainment and corporate, "
Mendonca explains. " Digital signage
is playing an essential role in making these
changes successful. " Likewise, Joe Mahurin,
vice president of sales - workplace/
digital experience, Diversified, attests
that a large percentage of the integrator's
overall projects include digital signage
and related offerings. " Organizations of all
kinds are seeking to create unparalleled
and unforgettable experiences that grow
connection with their customers, fans and
employees, " he declares. " Digital signage is
a big part of that. "
Although Sean Wargo, vice president,
market intelligence, AVIXA, is anything
but a digital-signage skeptic, he
tamps down some of the ebullience by
pointing to data from AVIXA's Industry
Outlook and Trends Analysis (IOTA) report.
" Current-year estimates are for signage
revenue for pro AV to increase by 6.4%, "
he explains, " versus 9.4% last year. "
Wargo continues, " With other categories
growing faster, this means signage
spending is a lower percent of total AV
spending in 2023, which may, in turn,
translate down to the integrator level. "
And, indeed, Bryan Meszaros, CEO and
founder, OpenEye Global, describes 2023
as " a reasonably flat year. " He continues,
" We saw a cautious approach from our
clients. Most of the projects we saw come
in were related to existing initiatives,
either additional creative or some minor
upgrades in legacy equipment. "
Revenue and Margins
Although every integrator aims to
achieve functional and experiential
excellence, each one is, of course, also a
business. That means, when integrators
evaluate the digital-signage opportunity,
they must think about revenue potential
and margins.
Jason Ault, co-founder and COO,
Coffman Media, whose firm specializes
in digital signage, attests to revenue
increases in the digital-signage space
over the past 12 months, while acknowledging
that hardware margins remain
quite thin. " However, " he hastens to add,
" services and software still have tremendous
margins - recurring, in some cases
- if the right vendor partnerships are
formed. " Mendonca expresses a similar
view, saying that the business model for
digital-signage providers has changed
from selling equipment to providing
a complete set of managed services to
achieve successful business outcomes.
" Managing the overall digital-signage
strategy - the technology, the content,
the users and the outcomes - [is key] to
any successful digital signage initiative, "
he states. Meszaros drives home the point
further, declaring, " There is significant
revenue in the digital-signage space, but
it comes on the professional-services
side, especially skewed toward content
management and design. "
But Bidwell urges channel members
not to dismiss the margin opportunity
in digital signage altogether. " Over the
past 12 months, I have seen an increased
Neoti Focuses on Color, Flexibility in Latest Offerings
Neoti leverages some of its key LED differentiators - image quality and flexibility
- for digital-signage applications. Neoti's groundbreaking, proprietary UHD Pro
direct-view LED display series offers the most accurate color-matching system
available in the market to deliver true-to-life color reproduction. UHD Pro offers
ICC color profile calibration, automatic white balancing and unmatched black
level performance - especially at low brightness. This high-end performance
ensures perfect gray scale from as low as 1% brightness. Automatic thermal
calibration also maintains a clear image no matter the heat and runtime
properties. The integrated video mixer allows for simple scaling, cropping and
PIP capabilities, with full RS232 or IP control. When color reproduction is critical
to accurate content representation (logos, digital art, image uniformity, etc.), UHD
Pro is simply the best solution out there. It's also TAA-compliant for installations
in secure environments, such as mission-critical control-room spaces.
For flexibility, Neoti's flagship UHD89 Series introduces multiple cabinet sizes,
giving signage designers new options for creativity, flexibility and curves. With a
native 8:9 aspect ratio, this product is a staple in the mission-critical broadcast
industry, and it's approved for use inside or outside.
Joining the UHD Pro and UHD89 Series to round out the product offering is
Neoti's Flex Series, which is used to produce natural, tight curves, and the ECO
Series for outdoor use. Whether for a museum ceiling or a stadium scoreboard,
Neoti is your resource for all your LED signage needs.
Nov/Dec 2023 | Commercial Integrator+Security Sales & Integration
15

Commercial Integrator + Security Sales Nov/Dec 2023

Table of Contents for the Digital Edition of Commercial Integrator + Security Sales Nov/Dec 2023

Commercial Integrator + Security Sales Nov/Dec 2023 - Bellyband1
Commercial Integrator + Security Sales Nov/Dec 2023 - Bellyband2
Commercial Integrator + Security Sales Nov/Dec 2023 - Cover1
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