Article

Commentary: Top 5 reasons retailers deploy digital signage at the POS

The head of a firm specializing in retail digital signage lists the top reasons for deploying signage at the point of sale.

April 13, 2011

by Wil Putt, president of Vital Media

As the founder of a digital signage company that specializes in developing, deploying and managing digital signage for independent retail channels, I can list all kinds of reasons why digital signage really is the future of point-of-sale advertising. I get to meet a number of independent retailers and see firsthand how their digital signage programs are implemented, and what they see as the most valuable aspects of the program. The following are what I have personally observed as the top five reasons retailers deploy digital signage at the POS:

1. Augmenting sales staff

We have placed hundreds of digital signage programs into automotive tire and repair centers. These are busy stores, with a mix of both drop-in and by-appointment customers. The counter staff stay busy, and between checking on repair status and active selling, are not always available to answer questions or to immediately assist a walk-in. Digital signage has a mix of both brand offers and dealer specials and seasonal promotions. This achieves a huge measure of preselling, where the customer's first interaction with sales staff is often along the lines of "I see you've got a special on shocks this month." That's big.

2. Incremental revenue

Customers generally visit an independent retailer for more information on, or to purchase, a specific product. Their awareness of additional products or services offered by the retailer may be limited, or simply not top of mind. With a digital sign, retailers find measurable increase in incremental revenue associated with products and services displayed on the digital signs — even more so than traditional printed POP displays.

3. Wait time

In many considered purchase product showrooms, such as outdoor equipment and tire dealerships, there is a wait time that may be associated with a service being performed, samples being assembled, or being early for an appointment. For the retailer there is a lot of relief knowing that there is a topical, interesting and entertaining message communicated via digital signage to the waiting customer. A creative message on a well-positioned digital sign makes the wait seem shorter and keeps the customer informed.

4. Message management

As one retailer pointed out, the problem with traditional printed POP is that it is what it is, and can't be changed without physically replacing the pieces. The beauty of digital signage is that the message can be modified at any time, to reflect special, seasonal or even weather-related offers. As one retailer said, "There's nothing like having a wiper blade-replacement offer in front of customers during our rainy season. It really makes an impact."

5. Customer Expectation

In a world where almost every consumer is channeling more and more of their buying information via their computer, tablet or smartphone screen, a digital sign simply aligns more tightly with customers' expectations of where and how they are going to receive product and service information.

Putt is the founder and president of Fort mill, S.C.-based Vital Media, a company focused entirely on turnkey digital signage and Message On-Hold for independent retailers. According to its website, Vital Media specializes in digital advertising solutions that help independent retailers increase customer transaction values, make the most out of every customer interaction and compete effectively against large, big-box establishments.