Digital signage in the cloud

The effect of digital signage on sales

Digital Signage is a method of electronic display that demonstrates constantly changing messages. It is a rapidly growing industry with an annual growth rate of over 25 percent. The growth has been predicted to continue to accelerate. This has endorsed businesses to ask “what is the effect of digital signage on sales”. In order to determine the effect of digital signage on sales, Intel Research Strategy Group, Ontario Lottery and Gaming, and Capital Networks and EdCom conducted a joint project from August 2013 to December 2013. Digital screens were installed at Brantford Casino and Thousand Island Casino, while a static sign (poster) was installed at the Sault Ste. Marie Casino. The Thunder Bay Casino was used as a control site as it did not have any advertising. Anonymous Video Analytics (AVA) technology was used to record how many individuals viewed the signs and how long the individuals viewed the sign for. AVA also categorised the viewers by age and gender. It was an anonymous way to record detailed audience impression metrics. AVA technology allowed the joint project to estimate the effect of digital signage at the casinos in three areas: free giveaways, restaurant menu item sales and sign-ups for a loyalty program. The results of the joint project indicated that there was an increase in free giveaways at the casinos where the free giveaways were advertised on digital signage compared to casinos where the free giveaways were advertised on either static signage or no signage. The effect of digital signage on restaurant sales, appeared to have similar results. When certain food items were advertised on digital signs, the purchase on the food items increased. When the food items were advertised on static signs, there was a slight increase. However, there was no increase on the casino where there was no advertising. The results of the joint project were inconclusive on the effect of digital signage on sign-ups for a loyalty program mainly because it is heavily advertised through other media and there are many promotions that offer tangible benefits to new members. The joint project also concluded that the position of the digital screens is extremely important, the average exposure time per visitor tended to be in the range of 2 to 3 seconds and it is possible that digital signage has a greater effect on new patrons than on “regulars”.  

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About the Author
Markus Mueller

Markus Mueller

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Founder of HappyCloudSolutions with a passion for all things digital.

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