As the Digital Signage Expo 2011 concludes, I want to share my outlook on the industry. According to a recent study, estimates show that more people now watch videos on digital signs than on Internet sites such as Facebook.[1] The events at the recent DSE only confirm the expansion of the digital signage industry. To capitalize on this expanding market, industry players need to focus on a few key factors: value proposition, standardization, and integration.
Value Proposition
While many in the media-buying world are already invested in the digital signage market, there are still quite a few who are not convinced. We talk a lot about metrics and proof of concept as a proxy for value. This is good but we also need to show that digital signage is not confine to the conventional media business value proposition. The advancements in digital signage technology, such as Intel’s AIM Suite, gives industry players the ability to solve problems for brands and customers. Digital signage is not just about selling features. It is also about selling solutions.
Standards are Critical
Another key factor in the expansion of the digital signage industry is the development of standards. Standardization, as we have seen in numerous other industries, helps drive down costs, creates common units of measurement, and increases appeal to smaller users. Furthermore, standardization allows industry players to focus on innovation rather than on platform capability. As a result, standardization drives the reach of digital signage, simplify metrics for media-buys, and assist in the development of integrated solutions.
Integration
We have talked about how today’s consumer are more active than ever. Mobility, interactivity, and social networks are transforming consumer behavior. Brands have to deliver a consistent sales and service experience to wherever the consumer may be. Digital signage will play an important role in this. Take the recently unveiled “The Connected Store” by Intel. “The Connected Store” creates a retail environment where digital signage interacts with mobile devices, social media, and all their ancillary capabilities to achieve the personalized experience that consumers demand.
As standards emerge and integration takes place, the digital signage industry will continue to make its strong case for the most valuable ad delivery infrastructure.
[1] NSR Analysis 5/09 & 2012-2015 Intel Estimates
Tags: Digital Signage