Table Of ContentNAB EXECUTIVE TECHNOLOGY BRIEFINGS
Digital Signage:
Software, Networks,
Advertising, and
Displays
A Primer for Understanding the Business
Jimmy Schaeffler
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Contents
Acknowledgments xv
About the Author xvii
Executive Summary xviii
Introduction xix
Chapter 1 The Big Picture: An Overview of Digital Signage 1
What Is Digital Signage? 1
It’s Not TV 6
The Scope of Digital Signage 8
Core Opportunities and Challenges 12
Digital Signage Today 13
Purposes of Digital Signage 14
Commercial 15
Informational 15
Experiential 16
Behavioral 17
Screens or Displays 17
Scrolling Message Boards 18
Plasma Displays 18
LCDs 19
LED Displays 19
Electronic Billboards 19
Projection Screens 19
Round Screens and Images on Windows 19
Electronic Paper 21
Self-Illuminating Digital Paper 21
Hardware Infrastructure 21
Content 22
Distribution 23
Trends Propelling Digital Signage 24
vii
viii Contents
Digital Signage Stakeholders 25
Advertisers 25
Network Operators 25
Mobile, Interactive, Touch Screen, and RFID
Technology Providers 26
ISP, Satellite, Cable, Telco, and Wireless Providers 26
Traditional Billboard Companies 26
Kiosk Providers 27
Flat-Panel Display Providers 27
System Contractors 27
Software Suppliers 28
Store Fixture Providers 28
Digital Printers 28
Audio/Visual Professionals 28
Buyers and Location Owners 28
Restaurateurs, Hospitality, and Entertainment 29
Retailers 29
Integrators 29
Banks and Financial Institutions 29
Transportation Hubs 30
Costs 30
Consumer Receptivity 31
2005 Arbitron Retail Study 32
2006 JC Decaux/TescoTV Study 33
The Future of Digital Signage 33
Chapter 2 What Is Digital Signage? 39
History 40
Early Usages 41
Successful Installations 42
Current Opportunities 43
Forms 43
Non-Commercial 45
Commercial 45
Technology 55
Software 58
Content On-Screen 58
Software Control System 59
Hardware 60
Installation 60
Contents ix
Maintenance 61
Key Players 61
Audience 62
Stakeholders 62
Location Owners 63
Network Operators 63
Hardware and Software Providers 63
Distributors 63
Installation and Maintenance 64
Investors 64
Trends 64
Challenges 66
Implementation 66
Profitability (and Other Measures of Success) 67
Operations 67
Industry Adoption 67
Audience Receptivity 68
Opportunities 69
Chapter 3 What’s Driving Digital Signage? 71
Ten Key Reasons Drive the Success of Digital Signage 72
Return on Investment 72
Ad Solutions 72
Connectivity 73
Flexibility 73
Quality 73
Affordability 74
Manageability 74
Accessibility 75
Acceptability 75
Longevity 76
What’s Driving the Hardware? 76
Outdoor Signage 77
Indoor Signage 80
What’s Driving the Software? 83
Usage Is Driven by Where Digital Signage Is Used 83
Retail 84
Service 85
Travel 85
Educational 86
x Contents
Events 87
Miscellaneous 95
Users: Who Uses Digital Signage Is Driving Its Success 95
Business Owners 95
Brand Marketers and Ad Agencies 96
Opportunities 97
Challenges 97
The Future Is Driving Digital Signage 99
Chapter 4 When and Where to Use Digital Signage? 101
Use 102
Display 103
Control 109
In-House Control 109
Outside Control 110
Chapter 5 Content 113
Understanding the Audience 114
Content Placement 125
Types of Content 128
Stills 128
Animation 129
Video 129
Data 131
Miscellaneous (Text, Objects, Logos, etc.) 132
Audio 132
Consumer Dwell Time 133
Future Content 134
Chapter 6 Who’s Right for Digital Signage? 137
The Basic Criteria 137
More Ingredients 138
Organizational Types 139
Ad Agencies and Their Clients 139
Retailers 144
Inside Ads 145
Broadcasters and Multichannel Providers 145
Corporate Users 148
Contents xi
Government Users 148
Educational Users 149
Hospitality and Entertainment 150
Transportation 150
Taxis, Subways, Busses, and Trains 150
Airports 151
Health Services Providers 153
Houses of Worship 155
Miscellaneous 156
Chapter 7 Choosing a Digital Signage Configuration 157
Implementing a Turn-Key Solution 158
Building a System Piecemeal 162
Reliability 163
Factors for Success 164
Chapter 8 Business Models and Benefits 167
Return on Objectives 169
Return on Investment 169
Business Models 170
ROI Business Model #1: Content Developer and Owner Model 171
ROI Business Model #2: Leasing Advertising Space Model 174
ROI Business Model #3: Hybrid Model 179
Pilot Programs 181
Chapter 9 International Digital Signage 185
Asia 187
India 187
China 188
Japan 190
Taiwan 191
Philippines 193
Singapore 193
Malaysia 194
New Zealand 194
Europe 194
United Kingdom 195
xii Contents
Germany 196
Switzerland 199
The Netherlands 199
Croatia 200
Russia 201
Elsewhere 202
Mexico 202
Brazil 203
Saudi Arabia 203
Africa 204
Chapter 10 Where and How to Start Considering Digital Signage? 205
Where to Start? 206
Stage 1: Project Beginning and Development 206
Goal Setting, Goal Determination, and a Development Plan 208
Development Plan 211
Assessing the Content 213
Assessing the Environment 213
Assessing the Technology 214
Stage 2: Pilot Program 214
Measurement 215
Stage 3: Future Growth 215
When to Start? 216
Chapter 11 The Future of Digital Signage 221
The Impact of Digital Signage 226
For Advertising Agencies 226
Future Developments 227
Future Locales 227
At Retail 228
In Education 230
In Other Venues 231
Specific Future Applications 234
RFID 235
Interactive 236
Business Projections 237
Return on Investment Models/Case Studies 238
Contents xiii
Network Integration 238
Key Growth Factors 238
Appendix A: Directory of North American Digital Signage 241
Appendix B: Glossary 249
Index 263
Acknowledgments
Three people are key to the production of this book. The first two are the two peo-
ple who worked with me to complete this book, and to complete it on time. They
are Robb Hawkins and Chris Dempsey. Both, quite simply, worked extremely hard
to help complete this project. I commend them both. Similarly, I owe much to Jeff
Bixler of HughesNet, who became my early mentor and without whom this book’s
quality would likely never have published.
In addition, I am indebted to all those who provided case studies, which
because of their efforts have become very important individual lessons within
each chapter of this book.
And finally, I commend a handful of people who, from the outset, showed
great patience and gave generously of their time as we researched and analyzed
the book’s early parts. This list includes Lyle Bunn, Laura Davis-Taylor, Bill Gerba,
Fabian Keller, Lars-Ingemar Lundstrom, Xavier Orriols, Graeme Spicer, Lionel
Tepper, and Adrian Weidmann.
Thank you all once more.
xv
