There are plenty of common tricks to increase your profitability, like cutting unnecessary expenses and raising prices when possible. No doubt, these actions will increase profitability, but there’s another highly effective method: digital signage.
According to statistics, digital signage influences customers in the following ways:
- Customers spend 30% more time in stores
- Customers spend 29.5% more money per purchase
- Customer retention rates increase by 30%
If you haven’t started using digital signage, now is the time to get on board. If you’re already using this wonderful technology, you can always make improvements to your marketing strategy to generate higher profits.
Here’s why digital signage is the go-to choice for many successful businesses.
1. Digital Signage Enhances Customer Experience
The customer experience is central to your profitability. You can use digital signage to shape the customer experience and influence purchase decisions at the same time. For example, a wall-mounted TV with a touchscreen interface can give customers a hands-on experience that immerses them in your brand.
Data shows that when customers physically interact with a brand’s marketing, they’re more likely to buy. This is the core principle that drives direct mail marketing.
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You can use digital signage to engage users with a touchscreen, but that’s not necessary. You can use other technologies to create a touchless interactive experience. For instance, Visix just launched voice-activated signage that listens for specific words and phrases and shows the requested media on screen. For businesses that can’t afford expensive touchscreens, this is a great solution to use with your existing monitors. All you need is a microphone.
2. Customers View Digital Signage Longer
The purpose of all signage is to capture attention, but print ads don’t work as well as digital signage. Research from Sweden on the effects of electronic billboards on driver distraction found that when people see digital video displays, they gaze for a longer period of time. (You’ll be happy to know the study didn’t find a detrimental effect that would be considered a safety hazard).
You’ve seen those movie scenes where a bunch of people gather outside of a store window displaying multiple TV screens. That’s a good depiction of reality, except not everyone gathers around digital displays in crowds. You won’t see people gathering like that to observe a printed ad, unless it’s outrageous. Even then, attention wanes fast.
3. Customers Remember Ads Better
If you want new customers, your ads need to be memorable. Even if you’re not advertising a product, you’re advertising your brand.
Building brand awareness is one of the best ways to use digital signage. Creating brand awareness through print works, but digital signage is far more effective. For example, a Nielsen study looked at the effectiveness of digital billboards on the highway. The study found that 55% of travelers recalled the message on the screen “every time or most of the time.”
Increasing positive brand awareness allows you to charge more for your products or services than your competition. When people know, love, and trust your brand, they’ll be willing to pay a premium for your products.
4. Digital Signage Can Influence Impulse Purchases
Impulse buys can generate significant profits. You know it’s hard to resist impulse buys if you’ve ever had to stare at massive piles of candy and snacks while waiting in the checkout line. There’s always something that stands out and becomes your snack on the way home.
Photo by Vlad Alexandru Popa from Pexels
Digital signage influences impulse purchases for 19% of people, according to a 2010 study by Arbitron Research.
5. It’s Easier to Change
You probably don’t want to spend the time and money constantly changing your print ads. However, if your ad isn’t effective, you have no choice – you’ll need to keep tweaking your ad until you maximize its effectiveness. This requires buying new prints after each change. Then, you’ll need to pay someone to change the prints. If you’re advertising far away, you’ll have to pay to ship the new prints out.
To change digital signage, you only need to program a new display image or video, and that won’t cost you anything but time.
Digital Signage Is the future of Advertising Technology
Printed advertising materials have their place, but digital signage is superior in many ways. If you’re committed to increasing your profitability, dive into digital signage and experience the advantage this wonderful technology provides.