Introduction
In the 21st century advertisers needed to tap into cutting-edge technology in order to reach out to their clients and increase their market share. One of the latest development in delivering advertising content is the use of digital signage systems. A digital signage system is an interactive way of communicating with the company’s target market. In public places digital signages can be used to interact with potential customers. Since the system is highly interactive the customers will have the chance to send a feedback to the source of the message.
In the past advertising is limited to one-way communication. Print and TV advertising is an example of one-way communication. There are so many businesses competing for the attention of the customer and thus there is a need to break away from the pact. Digital signage systems offer provides competitive advantage as it will allow merchants to communicate interactively with their customers. According to global brand 3M this is the power of one-to-one marketing (3M, par. 7). This is made possible by the use of touchscreens and other interactive devices (3M, par. 8). This is like having a “virtual sales associate” that can readily provide information to the customers when needed (3M, par. 9). It increases flow of information with very minimal effort from the customers.
Business establishments that deploy this kind of business tool can be assured of reaching a bigger share of the market. This effect can even be enhanced by placing digital signage displays in places where their target market can be expected to congregate. A good example would be to place digital signages in banks, restaurants and within the premises of the store. If digital signages are placed inside a bank, the system can inform those who are waiting in line about a new product or service that they are offering and by the time that the customer has reached the bank teller he or she is ready to inquire regarding the advertising content.
Retail Digital Signage
One of the most exciting new technologies that are available for advertisers is the interactive digital signage systems. This new method of delivering media content provides competitive advantage for firms that can directly communicate with their target market. The promise of digital signage systems is not only to be interactive with customers but also the capability to sell a the right product, in the right place and in the right time. It is as if the salesman is doing door-to-door marketing campaign but this time the customer can be unaware that such a ploy is in effect because digital signage systems are placed inside the stores, inside banks, restaurants, busy subway stations – in places where the target market is a captive audience. The power of this new medium can be seen in retail marketing.
Retail digital signage is just an easy way of describing what this technology can do in terms of retail marketing. The best way to understand this is to see digital singages near the cashier or near the fitting room for instance. One of the purposes of the system is to encourage customers to buy related products. For instance in a grocery a customer’s original purpose is to simply buy coffee but once the cashier started to process the sale of the coffee digital signage comes to life telling the customer that if she will buy a creamer to go with that bag of coffee he will get a discount. A digital signage system can be designed this way by incorporating business strategies for the simple task of increasing sales.
In this example the customer had no idea that if he will buy a creamer then he will also get an offer that is difficult to turn down. It is also possible that he really wanted to buy a creamer but he simply forgot about due to many distractions. It is the digital signage display who reminded him of that need. At the same time it is the digital signage display that made the customer aware that this product is available in that store at that kind of price. It is interesting to note that merchants can easily manipulate the system by making it work exactly as they want it to. This is the power of digital signage systems.
Solutions for Digital Signage
A digital signage system is the effective use of current computer as well as audiovisual technology to deliver advertising content to a specific target market. One of the best examples is the use of LCD TV screens that will be used to project messages similar to what one can find in TV commercials or ads that pop up in the web while surfing. The only difference here is that the company that uses digital signage systems have better control with regards to the type of content that they are willing to communicate. This is because digital signage systems can be placed within store premises, inside establishments such as banks and restaurants.
Thus, the advertising content can be specifically tailored to match the type of people that are coming into these types of business establishments. In the case of banks majority of those coming are long term customers or at least knowledgeable about the general functions of a bank. The digital signage solutions can then be used to tell about a particular bank product. Since the person reading the message is already inside the bank’s premises, it would not take much effort to approach an information officer in order to ask about the said ad.
One of the most interesting features of this technology was summed up by one supplier who said that a digital signage system is anytime, anywhere rich media portal (A5TEK, par. 1). This is also the most captivating aspect of this medium because the system can be updated and monitored via remote from virtually any point in the city. It is therefore possible to command and control a vast network of digital signages without having to visit each site and manually changing the content of the message. Aside from placing digital signages in public places, another effective way of maximizing profit is to install a digital signage system inside the business establishment like a store, bank or restaurant.
Digital Signage Systems
In a nutshell a digital signage system is the use of multiple digital displays such as an LCD TV screen and controlled from one source. One supplier provides a more technical definition, “…a network of customizable digital displays that you can control electronically allowing you to change your content remotely for the most targeted messaging possible” (Scala, par. 1). From this definition one can get the basic features of this system and it is the use of digital displays that can be controlled by a computer. A more sophisticated system allows the user to update the content via remote; for instance from an office located miles away from the digital displays.
This system will not be possible without the proper use of computer hardware and software as well as the collaboration between the supplier of the equipment and the end-user of the said digital signage system. The end-user would have to communicate their requirements to the designer of the digital signage software so that they can create a system that is easy to manage as well as easy to update. The whole set-up is called a system because it is composed of different components working together as one. The computer hardware that will be used to control the whole system is in turn powered by oftware designed to specifications. Finally, the whole system will only work if the target market will be able to see the messages.
Sotware is also an integral part of the system because it is the thinking part of the whole system. The software will be able to analyse changes in season as well as the levels of inventory. For instance the store stockpiled a special kind of chocolate for the Valentines season, after February 14 the software can create an advertising content that can sell this type of chocolates at a cheaper price. This is made possible by the software inside digital signage systems.
Marketing Intelligence
In today’s marketplace there is a great need for cutting-edge technology that will help enhance the ability to advertise and then close the deal between merchants and customers. One of the most important tool is the combination of computer and audiovisual technologies to produce digital signage systems. A dgital signage system will enable the merchants to communicate interactively with their target market as well as provided specific information with regards to a particular product that they believe that the customers really wanted.
One good example is the Rabobank in the Netherlands whose philosophy in marketing is a perfect fit for digital signage systems. According to their supplier of digital signage software Rabobank believes that there are few business environments that exemplify a captive audience because in banks there are many people who have nothing to do while waiting in line. By using digital signage systems the bank can tell these people about their products and services that would probably be of benefit to the customers if only they knew about them (Scala, par. 2). Digital signage displays can readily disseminate this type of information.
One good example is the use of digital signage systems in supermarkets. A pre-programmed computer system can be used to analyse the inventory levels of products. If there are still a substantial number of products that are still in storage and yet near its expiration date, the system can created advertising content based on these changes. For instance the system can prominently display on the LCD screens that prices of some meats are on sold at a discounted rate. This can influence others to buy as well as inform them of a good offer that they cannot pass up.
In Store Marketing
Television commercials are basically designed to bring people into the stores. They see and hear a persuasive sales talk on TV, chances are they will go to the store and check the product out. This is the traditional form of marketing. But in a highly competitive world merchants must continually find that competitive advantage. They must always try to discover the most cost-efficient way to market their wares as well as to increase their sales. There is no better way to do this than by installing a digital signage system within the store’s premises. In this way more customers will be able to know that a product or service is available.
One of the best examples of using digital signage displays in in-store marketing can be seen in one bank in the Netherlands where digital signage technology is being used to communicate with a captive audience (Scala, par. 2). The digital signage displays are installed prominently so that customers can see it whether they are standing or sitting down. In other words the strategic locations of the digital signage system within the store’s premises can be seen from any vantage point and therefore enhance its effectiveness as a medium for advertising content.
The importance of digital signage display in in-store marketing can greatly help improve sales because customers can interact with the digital signage display. A customer can come in having only one item in mind to buy. The digital signage solution can help persuade customer to buy something else in addition to what was being sold. But this cannot be done using traditional methods. There is a need for system that can be so intuitive that it can behave like a thinking machine. Marketing done inside the stores is now possible because digital signage displays are dynamic and interactive.
Software Digital Signage
A digital signage system is the integration of different types of technology such as computers and LCD TV screens. This equipment is essential but it will not work without the software. It can be said that the software is the brains behind the system, without it nothing can be achieved. Software is created by the collaboration of merchants and computer programmers. Businessmen must articulate their business strategy to the one creating the look and feel of the structure. Programmers will take note of the needs of the merchants and customers alike to develop software that will help everyone.
One developer is Novari and this company is focused on creating software that can help their clients succeed. Software can be simple or complex depending on the needs of the people. But the most important thing to consider is the term “collaboration” because computers may be able to calculate at the speed of light but it is unable to see the true needs of the people. The software must be designed only after an extensive interview with clients.
In this manner software developer must know what it is required before they proceed.
Software developers will only achieve the highest standards if there is a successful collaboration. Afterwards it is now possible to create a system out of that interview. The software designer must continually seek new challenges. In the past video signages are only able to show canned messages that are played back through a loop of messages. This time software has become more sophisticated that it is able to understand what is going on around the inventory, sales etc.
Target Marketing
Advertisers needed to communicate their message to their intended audience. But in the past there is no way that they will be able to achieve this feat. The best that they could do is to create giant billboards and hoping that their intended target market will pass by, gaze upon the said billboards and persuaded to buy their products. Newspaper and TV advertising are also not much different because advertisers are trying to broadcast their message at random. There must be a better way to be more cost-efficient but at the same time produce substantial results such as driving up sales. In the 21st century there is no better way to deliver advertising content through effective target marketing than the use of digital signage systems.
A digital signage system is the integration of computer hardware, software as well as digital display devices to create a medium which businessmen can use to communicate to their intended audience. Those who have used this kind of system are calling it one-to-one marketing because it is like having a “virtual sales associate” in places like bus stops, subway stations, and other public places (3M, par. 7). If businesspeople can send their message to their target market then they can expect more substantial results.
It is much better to be able to focus on one’s target and pour all the necessary resources and wasting nothing. This is the promise of digital signage systems. One good example is the use of a digital signage system in restaurants. According to one study customers respond favorably if they know that they are getting a discount. The use of digital signage display to alert them of specials can easily drive sales (Yackey & Bickers, par. 10). This can easily beat flyers or posters. The reason why digital signage displays are very effective in telling customers about specials is due to the fact that it is highly dynamic. This means that the eyes are accustomed to following something that catches its attention. It is hard to distract the customer from what he or she is thinking by simply creating a poster or a sign that is very hard to read from a distance.
Dynamic Digital Signage
A digital signage system is simply the integration of different technologies with the end goal of providing highly interactive messaging system for 21st century customers. The foundation of any digital signage display is a well-designed digital signage system that includes computer hardware and software. Combining these two technologies and connecting it to a display device like an LCD TV screen will create a medium for delivering advertising content to a particular target market. Digital signage systems is different from other tools used by advertisers because it is dynamic and can change based on the season, availability of stock, special offers, expiration date, marketing strategies etc.
Digital signage systems has come a long way from the earlier models in which one can only expect a looping of messages. In other words the earlier versions are only capable of repeating canned messages. This time around merchants can collaborate with software developers in creating a system that can be updated via remote or can change its message content based on the time of day, availability of products as well as changes in business strategies. It is no longer enough to display an infomercial all day long. In this manner customers are being told of a product or service that they probably would need and purchase during this time of year if only they are aware of it.
A dynamic digital signage system is made more effective by adding an interactive mode into it. This means that customers are not only able to view and listen to the messages broadcasted through the digital signage system but they can also send their feedback. There are limitless possibilities because this time around businessmen are able to get information from the customers and not from analysts who may or may not misinterpret research data. Another example of a dynamic digital signage display can be seen in restaurants that are using this method of reaching out to their customers.
Digital Signage Display
A digital signage system is the integration of a variety of technologies like computer hardware, software and LCD TV screen technology. The end goal is to have a “…unique and powerful communications medium that provide unparalleled opportunities to capture your audiences’ attention, educate, inform, build brands, improve customer experience and drive sales” (3M, par. 2). For business people there is nothing more important than the capacity to increase sales. This is what a digital signage system promises to every user. But cutting-edge technology will mean nothing if the target market will not be able to read or perceive what was advertised or communicated.
One of the most important components therefore of a digital signage system is the digital signage display. In many cases the preferred equipment is the LCD TV screen since at the heart of the system is a computer device that handles the messaging system. When an LCD TV screen is not used then a computer-monitor type of equipment will takes its place. There can be different ways of displaying advertising content but the most important thing is for the customers to be able to see it from where they are standing or sitting.
In other configurations the digital signage display is not simply an audiovisual device that has message-loops – the continuous playback of messages – but it can be made interactive. This means that customers are not only experiencing one way communication the can create feedback. This is made possible by the use of touchscreen technology as well as other interactive devices made available by the business establishment. This cutting edge technology will not be of much use if messages as well as instructions on how to use the system could not be displayed properly. Digital signage displays are more effective than print advertising because it is interactive as well as it is strategically located to increase exposure of a product. A newspaper to be effective must first be bought and read. For a digital signage display not only is it free but it is delivered to a specific target audience.
Works Cited
Scala. “What Is Digital Signage.” 2009. Web.
3M. “What’s Digital Signage?” 2009. Web.
Navori International. “Why Use Digital Signage.” Web.
A5tek. “The Power to Engage.” 2009. Web.
Yackey, Bill & James Bickers. “The Role of Digital Media in the Restaurant.” 2009. Web.