Digital Signage: The Future in Advertising

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“…is a form of electronic display that shows information, advertising and other messages. Digital signs (such as LCD, LED, plasma displays, or projected images) can be found in public and private environments, such as retail stores and corporate buildings.” (1)

“Digital signage delivers what marketers are looking for today: fine-grained targeting, consumer attention, accountability and measurable Return on Investment. Digital signage is not TV. It is a new and unique medium that combines the power of mass media with the precision of niche marketing. It provides direct communication with consumers at point of decision, where the viewer is either waiting for service or looking for the right product.”(II)

http://www.youtube.com/watch?v=Hx4Xe6aABe4

What is Digital Signage?

Broadcasting vs. NarrowcastingBroadcasting:• General term used in television and radio• Reaching out to the whole public at one time

with no “narrow” audience in mind.

Narrowcasting: (this is where Digital Signage Lies)

• Zoning in on a particular audience to outreach to- not on the general public as a collective

• Localized distribution of information to a particular group from a shared source.

Customization

What is Customization?• “Mass customization, in marketing, manufacturing, call

centers and management, is the use of flexible computer-aided manufacturing systems to produce custom output. Those systems combine the low unit costs of mass production processes with the flexibility of individual customization. Mass customization is the new frontier in business competition for both manufacturing and service industries. At its core is a tremendous increase in variety and customization without a corresponding increase in costs. At its limit, it is the mass production of individually customized goods and services. At its best, it provides strategic advantage and economic value.”(2)

“Shopper Marketing”

• One of the fastest growing areas of marketing

• Shopper Marketing allows you to affect the customer directly right up until the moment of purchase aka the “moment of truth”

• As a modern society, driven by technological advancements, we are more likely to notice digital advertising showcased on an LCD at a register, over any kind of signs or printable posters. We are wired to connect with that which is most familiar/ appealing to us- aka the digital.

• E.g. Tim Horton’s Drive Thru Screens and In Store LCD Screens- Eg EK3 Technologies leading Canadian Company in Digital Signage.

DaypartingWhat is it?• “ In broadcasting, dayparting is the practice of dividing

the day into several parts, during each of which a different type of radio programming or television programming apropos for that time is aired. Programs are most often geared toward a particular demographic, and what the target audience typically engages in at that time.” (3)

• Digital Signage dayparting works much the same.

• The advantage is that the advertisements playing on the LCD’s in a particular venue can directly correlate with the time of day and even the weather!

Dayparting cont…QSR (quick service restaurant) Dayparting: Using the example of Tim Hortons

• 6am-11am - breakfast sandwiches, hash browns, coffee (if the weather is hot- iced cap)

• 11am-2pm- sandwiches, donuts, coffee (lunch combos)

• 2pm-6pm- (if its cold outside:) soup, chili with sandwich

• 6pm-6am- both dinner items, coffee specials to get through the night, and morning breakfast sandwiches again at 6am.

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6am-11am

11am-2pm

2pm-6pm-

6pm-6am

Dayparting cont…How does the weather dayparting work:• The LCD’s technology is triggered to a postal code tied to a local weather feed.

The technology monitors the feed. The algorithm of the technology is set up so that it knows “if the weather is 20 degrees plus, play this reel….if it is below 15 degrees play this reel etc”

• This is yet another way that the advertisements stay relevant, and affect the consumer up until the moment of truth- also upping the sales of the product geared towards the particular climate/ time of day.

• These are advantages that still ads such as posters could never give you. Digital signage is constantly affecting the mindset of the consumer- either confirming what it is they desire, or changing their mind at the moment of purchase either way

it does not go unnoticed. QuickTime™ and a

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From Sight Line to Fingertips

The Next Step…• Further in the thought process is not only

how to affect the consumer at the “moment of truth” aka the moment of purchase, but also- how can we affect the consumer through their shopping journey and wipe out any competition from their mind?

• This is where INERACTIVITY WITH MOBILE TECHNOLOGY comes into play.

Interactivity with Mobile Technology

How it works:

• The consumer is walking through the store (Wal-Mart) and for example sees an ad about Tide detergent being on sale for $7.50

• The consumer wonders if maybe Zellers price point is lower and if they should wait to buy the product

• The consumer then points their cell phone (must have a screen) at the LCD in the store

• The screen has a code which is then sent to your phone which brings you to a corresponding site listing the competitive prices of that product at major stores in the surrounding area.

• E.g Wal-Mart: $7.50, Zellers: $7.75, Superstore:$7.90• The consumer can then make the decision right then and there

that they will purchase the product at the moment of truth.

Why Digital Signage

• Digital signage delivers in-store advertising that targets not only a specific market, but furthermore a specific product.

• Digital Signage offers a sophistication that print ads no longer possess.

• More accurate Information and targeting at a greater efficiency

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Conclusion

Digital Signage is the future. It is not enough to simply be visually stimulated as a public anymore through still images. Movement-

audio- technological transitions- new developments; These are the things we desire in what we see. We need quick

results, fast decisions during a busy day, and persuasion from advertisements in digital signage allow us to do this. From here we

can only move forward ,further into the digital world- leaving static notions behind.

• http://www.broadsign.com/digital-signage/digital-signage.html