In-store digital signage: How effective is it?

Digital signage enables brands to communicate with their customers, tell a brand story, promote and recommend their products, and more. It's a key and effective element of digital transformation, providing retailers with a solid return on investment.

The effectiveness of digital signage lies in several points, which are explained by the figures below. For effective digital signage, place your screens strategically and set clear, precise objectives for each of your messages. Digital signage screens multiply the impact of your communication to help you reach your targets and increase sales.

Here are a few statistics from studies carried out for in-store and out-of-home campaigns.

Digital signage market update

N°1

In a Samsung point-of-sale survey, respondents cited "deploying new digital customer experiences" as the #1 priority in outlets for 2018.

16%

Outdoor digital signage networks continue to expand: DOOH (digitalized outdoor advertising display) networks in shopping centers grew by 16% in 2018. Germany being the most dynamic market according to the Invidis 2018/19 annual publication.

60%

According to Digital Signage Today's Future Trends 2019 study, 60% of retailers who don't yet have digital signage in their stores plan to invest in this type of solution over the next two years.

The digital signage market in France is booming in the retail sector, with more and more digitalized points of sale being equipped with digital signage screens.

Effectiveness of digital signage versus static signage

33%

In 2010, Nielsen conducted a study of 120 grocery stores. It found that four out of five brands had seen an increase in sales of up to 33% when using digital signage, compared to print alone.

63%

A 2007 RichMedia Technologies study revealed that digital signage captured the attention of 63% of customers, higher than the figure for static signs (58%).

58%

In the same survey, 58% of respondents said they considered digital signage advertising to be unique, compared with 33% for billboards.

47%

A study carried out by Arbitron revealed that 47% of customers remembered an ad given on a digital screen.

68%

A Nielsen study carried out for SignStorey (later acquired by Crunchbase) in2007 revealed that 68% of customers agreed that digital signage "would influence their decision to buy the product concerned".

Effectiveness in terms of increased sales

6%

One of the main advantages of digital signage is the ability to instantly modify content and program it according to various factors, such as weather conditions. Weather-reactive advertising campaigns are effective: Stella Cidre, for example, saw a 6% increase in sales during a period when this technique was used.

17%

Another example is La Redoute, which used billboards equipped with weather sensors and ran a series of ads based on weather conditions. This weather-reactive display generated a 17% increase in sales.

35%

Its use to manage queues (by directing people to the next open till, for example) can reduce actual or perceived checkout times by up to 35%, and improve customer satisfaction.

12.3%

Maison de la Presse stores have digitized their points of sale, notably by integrating dynamic display screens. The new concept boosted average sales by 12.3% post-digitization. Read the full case study on Maison de la Presse stores.

Brand awareness

34%

A digital outdoor advertising campaign by La Redoute generated a 34% increase in visits to its website.

84%

According to a 2017 study by Samsung UK, 84% of UK retailers believe that digital signage makes a significant contribution to brand awareness.

Future opportunities: IoT, AI, new payment methods

50%

According to Business Insider, half of the top 100 retailers in the US began testing beacon technology back in 2014. Beacons can be used to create a responsive display.

$9.6

The use of facial detection and emotion recognition is growing. Allied Market Research forecasts that the facial recognition market will grow by 20% a year, reaching $9.6 billion by 2022.

28%

According to WorldPay, 16% of POS payments worldwide were made via e-wallets in2018, and this figure is expected to rise to 28% by 2022. On-screen payment points enable retailers to speed up checkout and increase sales.

53%

53% of retail sales will be made via the Internet in 10 years' time, compared with around 20% today. Retailers therefore need to integrate digital into their physical stores if they are to compete with the Internet.

For advice on yourdigital signage project, contact our experts.

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