Friday, October 30, 2009

Digial Signage: Waiting For The Tipping Point

A point in time when momentum for change becomes unstoppable.

When will this time come, or has it already for digital signage? I figure I would weigh in, every market research company has and charges lots of money too, so why not me on my two cents worth blog? I have a lot of industry experience and insight to draw upon, and besides its free. Simply put, I am going with 2010. While it is a nice round number, it also appears that several more stars, industry outlooks and consumer trends, will be aligning and create even more momentum and reasons to consider investing in a digital sign solution for your business. What are those trends and indicators? A couple of the many I came across preparing an update for a recent strategy presentation for a client are as follows:

1. IT spending. Its forecast to rebound in 2010 with context aware computer spending, like digital signage, a key area (CAC uses things like location, presence and other social & environmental information to aniticpate an end-user's needs).
3. Decling Print Ad Sales. One man's loss is another ones gain I suppose. As magazines and newspapers continue to shutter, digital out of home and digital merchandising spends will gain more momentum and continue to grow.
4. Burger King Revamp. BK recently announced an effort to revamp all 12,000 stores with a sleek new interior design that includes digital menu boards. While 12,000 locations is a ginormous amount (as my daughter likes to say) and whether they even ever get passed 1,000 only time will tell. But the significance is the trickle-down effect this will have on the many other large and small fast food and fast casual restaurant chains that will look to emulate this.
5. Detroit Airport Mandate. As part of a huge redesign the Detroit Metro Airport mandated that all new foodservice vendors with menu displays use a digital menu board system.

You can see how it all begins to add up. Not to mention price erosion continuing in hardware and the consumers insatiable appetite for more information and desire to be able to make more informed decisions at point of sale. The day is fast approacning when most new construction and renovation projects incorporate digital merchandising of some form or another. Its no longer a matter of if but when, 2010.