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Industry Practices in Digital Signage Deployment

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by Mini Sindhu , Senior Research Analyst, Marketing Services
1 January 2017


Digital signage is either used for advertising-based applications in retail outlets/restaurants or information-based educational/corporate applications. Print signage has limited content flexibility and also lacks concrete techniques for measurement of efficiency. Interactive displays, on the other hand, enable dynamic, relevant, and timely content. Retailers are investing more in in-store technologies such as interactive displays to drive customer experience through personalized promotional offers, which also improves brand perception. Digital signage is used for multiple purposes such as drawing in walk-ins, boosting traffic, increasing the basket size, and sharing product information to upsell. Digital signage can be cost effective in the long run, reducing the need for frequent replacement of materials, and is also a sustainable option in terms of reducing carbon footprint and paper wastage. However, lack of proper maintenance can drive up costs in terms of spend on breakdown and hardware repair. Retailers are increasingly adopting preventive maintenance schedules to suit trading hours, thereby ensuring maximum profitability and operating time for the clients. Maintenance of screens and media players can include cleaning, rebooting them remotely, or even replacement of the hardware.


The global digital signage market is growing significantly and is expected to be worth $27 billion by 2020. The increasing adoption of digital signage in the retail industry as an effective tool for driving walk-ins and increasing conversion rates has necessitated a revisit of the signage strategy by incorporating the digital signage solution. Display innovations like LED screens, ultrahigh definition displays, facial recognition software, interactive touch screens, and self-checkout kiosks have driven retailers to consider options to leverage the same for gaining better shopper insights. Retailers are also leveraging the Internet of Things by utilizing sensors and beacons to send triggered messages and display customized content in digital signages.

Key Growth Drivers for Digital Signage:

1. Technical advancements in hardware and declining cost (e.g. built-in media player, interoperability)

2. Energy savings driven by LED backlit panels with lower power consumption

3. Easy content updating—complicated software has been replaced by easy-to-use templates through which the user can update the content in real time

4. Remote troubleshooting—diagnosing issues and resolving them remotely, significantly reducing the resolution/breakdown time and maintenance/repair costs

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