In this digital era, the retail industry is becoming more competitive with the influx of major international retailers.
More retailers start to invest in promotional and branding activities to sustain in the market. Now, retailers can embrace interactive approaches of engagement that allows the collection of consumer data sets to track the target audiences’ preferences and influences.
The integration of digital signage network with location intelligence from sensors and consumer data has helped in overcoming traditional limitations posed by static signage. However, to understand the effectiveness of a particular digital signage network, retailers must first understand the three business key metrics.
Improving Return on Objective (ROO) through digital signage
ROO is highly relevant in assessing a digital signage marketing campaign as it enables retailers to plan and achieve specific measurable objectives. Starting a digital signage marketing campaign with a clear objective in mind helps retailers to design measurement of their objectives.
Digital signage gives a more effective ROO compared to traditional ones because most digital signage network can be integrated with business intelligence and consumer data. From here, retailers will know how to define both key objectives and expected outcomes based on the consumer data collected through business intelligence platform and with the right Content Management System (CMS), it will further optimise their contents before deploying to digital signage.
Engaging content drives better ROE (Return on Experience)
With location intelligence, together with digital signage, cloud-based analytics and consumer data, customer experiences will be greatly improved as retailers now get better insights on how to use digital signage more effectively by delivering relevant and personalize content.
WBR insights survey¹ highlights that 80% of retailers consider digital signage essential and vital to improving customer experiences. Plus, more than half of the retailers (52%) claim customers get positive in-store experiences after they shift from traditional to digital signage.
Intel Corp. report² has also shown that digital signage captures 400% more views than traditional signage. Plus, Digital Signage Future Trend 2019 report shows that customer engagement increased by 64% while customer service increased by 57% after implementing digital signage. This further proves that digital signage will undeniably have a better ROE than traditional signage as it provides a better platform for more engaging and dynamic content to be displayed.
SURVEY RESPONDENTS: RETAILER DIGITAL SIGNAGE FUTURE TRENDS 2019
Consumer data are already being used widely in the digital signage market, retailers now have the tool to measure the impact of their content and later make adjustments such as changing the location and time of digital displays to fit the profile of their targeted audience. This will later result in a better ROE of the digital signage compared to traditional signage.
Will ROI (Return on Investment) increase as digital signage is deployed?
Compared to traditional signage, where results are being calculated manually, integrating digital signage network with a business intelligence platform helps retailers to leverage the data collected for a more complete view on their retail footfall. This is made possible because they are able to understand the efficiency of their customer engagement and messages delivered. With the ability to give more freedom and flexibility to retailers, more savvy organisations are starting to make the switch ¹from traditional to digital signage.
WBR Insights survey¹ also shows products that are advertised with digital signage had a 34% increase in sales while those advertised with traditional static signs only had a 15% increase. Based on Nielsen research°, on the other hand, 80% of brands experienced up to a 33% increase in sales through the use of digital signage.
Business intelligence platform with other technologies, including RFID tags, proximity devices, and WI-FI devices help in gathering additional measurement data and identify the increasing areas such as click-through rates, and time spent in front of the digital displays to understand a digital signage campaign ROI better. It is undeniable that digital signage is rapidly replacing the traditional signage market as it provides better alternatives for retailers to measure their campaigns better.
Does investment in digital signage a good move for retailers?
Even though digital signage requires high investment, but with proper execution, it will definitely help improve the ROO, ROE and ROI of the retailer’s marketing campaign. Digital signage together with the data collected has the ability to provide insights into the preferences of the targeted audiences, hence retailers will be able to identify the problem and come up with a better solution before deploying their next campaign.
Moving Walls is a media technology company headquartered in Singapore, with a presence in India, Malaysia, Indonesia, Philippines, Africa and the U.S. We operate Moving Audiences, an AI-powered location intelligence platform that brings transparency and automation to out-of-home media via Planning, Buying, and Measurement tools.
We had recently acquired Quad42 Media, India’s leading digital signage management platform. As digital screens become a ubiquitous part of physical spaces, the addition of Quad42’s strong presence in retail and place-based environments is aimed at creating the next wave of programmable digital signages.
For more detail about our Retail Solution: Click Here.
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