Digital Signage in Retail

digital signage in retail

At a time when shopping online from the comfort of your own home is considered the norm, and the added convenience of next day deliveries and easy returns is no longer a chore, it’s easy to see how high street retailers and restaurants are fighting to keep their customers coming through the doors.

A trending method of communication has been making its way into everyday businesses, with the aim of creating new and improved experiences for shoppers; digital signage.

 

Although digital signage is not necessarily a new technology, the market is estimated to grow from $20.74 Billion in 2017 to $31.62 Billion by 2023, at an estimated CAGR of 7.28%. This is according to a 2018 report by Orbis Research. This explosion of digital signage now means the technology is becoming more affordable and common place; not just exclusive to high-end stores or corporate lobbies anymore.

To keep up with the high footfall that online shopping generates, high street shops and restaurants are turning their attention to enhancing the customer’s experience once they’ve entered the premises. Creating more meaningful face-to-face contact with employees is no longer enough, applied solutions in retail environments must be more engaging, stimulating and interactive to encourage customers to purchase and continue to purchase from businesses. As the human brain receives 90% of visual information, digital signage in retail stores is the ideal communication platform to heighten brand and product awareness, especially when placed in strategic locations (particularly near Point Of Sale) as 68% of shoppers agree that digital advertising influences their decision to buy.

Personalised content is also an expected part of the modern buying process. IoT and Big Data are capturing and analysing vast amounts of consumer information which, when integrated with digital signage in retail, can be used to create real-time personalised adverts or provide consumers with location-based information that is specific to them. For example, a customer with the retailer’s phone app walks into a retail store where the digital sign can detect when they’ve arrived using NFC technology. They are greeted and shown content which is specific to their shopping preferences. As they make their way through the store, other signs also pick up the customer’s presence and display tailored offers to encourage additional purchases in that section.

Other examples of ways in which digital signage in retail can be used to improve customer experiences include:

  • Car retailers, once restricted by space to present their vehicles, can now showcase all vehicles on wall-to-wall digital screens that can display detailed information specific to potential buyers.
  • Touch-enabled digital signage is becoming commonplace in fast food restaurants, enabling customers to place and pay for their orders while skipping the main queues. Some figures even suggest that the reduction in service times in such restaurants can increase a company’s market share by 1% to 3%.
  • Certain retailers are also using innovative digital signage solutions to better educate their customers on key products. For example, some retailers are using “lift and learn” signage solutions; when a customer picks up an item the accompanying digital screen shows more information about the product to help inform the customer.

The bottom line is that providing a pleasant and straightforward shopping or dining experience is to now be expected; with interactive digital signage reducing waiting times and human inefficiency, as well as increasing better engagement with the customer overall. With the expectation that digital signage in retail will also further integrate with IoT, digital advertising and communication will continue to become increasingly targeted in order to meet consumer demands.

A leading manufacture of digital signage solutions, IAdea provide innovative, commercial-grade media players and integrated displays. By focusing on partnership, IAdea has created one of the industry’s largest ecosystems around open standards across a wide variety of markets. To find out more about IAdea’s digital signage range, visit our dedicated vendor page by following this link.