Staying on top of latest digital signage industry trends is essential for retailers to provide customers with more value from each visit. There is good reason to prove that digital signage is a critical ingredient that must be incorporated into modern retail strategies.
Research shows that 80% of customers walk into a store because the screen attracts them and 40% make purchasing decisions based on product information offered on signs.
Retailers must keep in mind though that simply putting up a few digital displays is not enough because the technology is only effective when the screens provide an enhanced overall customer experience. Here is how digital signage developments can impact businesses:
1. Cross-industry adoption
It is evident that digital signage is extremely popular in today’s world. Factors such as the Covid-19 pandemic and the fact that LED screens are more energy efficient, are playing a role in driving digital signage adoption across a range of industries. In addition to retailers, the advertising, healthcare, transportation and education industries are investing in indoor and outdoor digital signage.
According to Digital Signage Today, the United States digital signage market is expected to reach $8 billion by 2028. On a global scale, the industry expects a compound annual growth rate of 7.7%, taking the market to $38 billion by 2030. Flexible network connectivity with digital signage is making adoption rates higher as businesses reap more benefits to increase their performances – customer engagement, efficient staff and increased revenue. By embracing the technology, businesses are directed towards multiple competitive advantages, thereby helping them thrive.
2. QR codes
QR codes are re-gaining popularity and have become a recent trend in the retail industry. As a result of the Covid-19 pandemic, businesses and customers now prefer contactless customer engagement – which makes QR codes the perfect solution. Statistics show that every 3 months, 45% of shoppers use at least one QR code, which means a 94% increase in code interactions, also expanding the QR reach to 96%.
As a result of this QR code resurgence, retailers are realizing that incorporating QR codes into digital signage is an ideal fit. On digital signage content, QR codes are displayed for retail opportunities such as redeeming promotional discounts, registering for loyalty programs, following social media pages, and so on. Also, if the LED display is located at an accessible height, QR codes can be implemented to help customers with completing a purchase and requesting delivery of items, so the in-person checkout points are less pressurized. As such, incorporating digital signage to mobile devices will increase in popularity. Scanning a QR code to get all information directly on smart phones has led to QR codes making a huge comeback in digital communication.
3. Personal experiences and connections
In the modern retail industry, one popular goal is to not just sell a product but to build a bond with each customer. Digital signage provides a whole lot of opportunities to do so. Advances in technology have brought LED signs to a point where retailers can almost replicate personal conversations to connect with audiences. The key is to deliver the right content to the correct audience at just the right time. Every advertiser in the retail, transport, hospitality, healthcare and education industry is aiming to do.
Firms can incorporate sensors, AI analysis and cloud-based networks into digital signage systems to precisely target visitors with tailor-made content. Customers can then review recommended products and promotions from the digital display without having to explore the entire store. Gradually, digital signage has the potential to provide efficient customer service experiences, thereby freeing up regular staff to handle other operations.
4. Augmented Reality
Very rarely will you see digital signage as standalone displays. More often than not they are integrated with smart phones and other in-store devices such as cameras, facial recognition software, sensors and so on to provide a better customer experience. What’s more exciting is that digital signage makes an entry point for augmented reality applications such as:
- Wayfinding: strategic placement of electronic displays throughout the store will help provide directions to certain departments or specific products.
- Virtual fit-on systems in clothing stores can provide customers with visuals of what they look like in different items and recommend accessories that complement with that outfit. This means customers don’t have to physically try on the clothing.
- Products such as furniture and large appliances can also be visualized in different settings apart from the store floors.