Businesses are trying
to create a distinct experience for the customers during their interaction. In
an increasingly connected world, the fusion of physical and digital
interactions are heightening customer engagement, thereby making the players
stand out in the competition. Retailers always need to stay ahead of the game
in their marketing activities to beat their competitors such as ecommerce sites
and discount retailers. In the absence of (creative) digital signage, a
business is merely letting its potential customers walk away or losing them to
their competitors. However, there is a long way for retailers to explore and
yield from the signage market. Owing to the various benefits offered to the
enterprises, global Signage Market size attained a valuation of $18.7 billion
in 2018, and the demand is projected to rise at a CAGR of 8.7% during the
forecast period 2019-2025.
Signage offers a
myriad of new options to the retailers to make a real difference to their
customers. It offers benefits before the customer even set in their foot into a
store. For instance, the flow of digital signs rolling on a digital signage
screen or a self-service kiosk catches
the eye of the passerby. In particular, it benefits small businesses, since
they are more flexible than the market giants allowing the transformations to
happen rapidly. Consequently, the signage market is thriving to upgrade the
marketing activities of the retail sector.
North America Retail
Activities Uplift the Signage Market
North America is a
dominant region in the global signage market with a regional share of 35% in
2018. The retail sector, one of the predominant end-user of the signage market,
is thriving with huge investments in strengthening their digital presence.
Also, most of the retail brands are headquartered in the U.S., which adds as an
advantage to the signage market of North America. According to the World
Federation of Direct Selling Associations, North America held a regional share
of 19.3% in global direct sales of retail business. Also, the region has
observed a growth rate of 1.1% during 2017-2018. The growth rate and the
dominant share of this region is attributed to the rising innovations and
marketing activities involving self-service kiosks and digital signage,
especially in the retail vertical. As a result, North America signage market is
expanding further.
Automation in the
Healthcare Sector Strengthens With the Signage Market Demand
Any service industry
avails a lot from the signage. They not only act as a marketing and advertising
endeavor but also enhance the productivity and efficiency of the service
sector. Healthcare is one of the lucrative sectors that can benefit the most
with the help of signage. Digital signage can act as an emergency alarming
system, in the staff room for sharing information, and as a patient care tool
to deliver important information such as announcements, time-sensitive
messages, and notices. For instance, while waiting for long hours during the
consultation, a slide show of the educational or promotional content that is
specifically targeted towards the patients on a large digital screen is quite
pragmatic and captivating to the patients. As aforementioned, signage eliminate
repetitive tasks and also offer services with low-cost and less-maintenance
benefits. Thus, the automation capabilities of the signage market coupled with
the thriving need for healthcare services augment the demand for the signage
market in the healthcare industry. As a result, the signage market in the
healthcare sector is anticipated to grow at a CAGR of 9.7% during the forecast
period.
Signage Market Trends
and Growth Drivers
Cloud-based services
leveling up the game in the signage solutions
Advanced digital
signage players in the market make use of ubiquitous cloud technology services
to level up their transparency and security. Cloud-based digital signage
software enables us to deploy digital signs, update dashboards on a computer,
tablet or any internet-connected device and manage the content effectively and
remotely. This cloud-based content management system (CMS) is easy to be deployed
and maintained. As it is supported by various screens and displays, the CMS is
often managed by third-party solutions thereby reducing IT efforts of the
businesses. These kind of cloud-based solutions are further thriving with
advancements to upgrade themselves to become agile and centrally controlled
systems that can be monitored efficiently. These advantages of cloud-based
solutions in the signage market are gaining momentum among the businesses.
Advances in Display
Technologies Amplify the Efficiencies of Signage Hardware
In the past few years,
display technologies are experiencing major advances, and they now offer better
resolution at a low-cost. These advancements are disrupting signage hardware
market too. Though LEDs are leading TVs and computer screens market, OLEDs and
MicroLEDs are dominant in the small-medium screen devices market. However,
these devices are gaining huge traction among the signage manufacturers owing
to their high resolution, wide color gamut, and self-emission properties.
Recently, Samsung
innovated ‘The Wall’ that uses MicroLED technology, and LG Electronics’
MicroLED signage was launched at InfoComm 2019. With these innovations into
action, the display technologies such as MicroLEDs are thriving huge demand
lately from other players in the global signage market.
Personalized
Innovations Elevate the Signage Market Growth
Lately,
personalization and customer-centric products and businesses are rising trends
in the marketplace. Moreover, these trends are observed in the signage market.
Recently, Philips Professional Display Solutions launched Augmented Reality
Configurator app, which provides an idea to its consumers about how its signage
displays look in any location. The app uses the camera and captures the wall
measurements in the selected space. It provides feedback on how the signage
display would fit in that area and allows to view in different angles. This
kind of innovations serve the unique needs of the businesses and boost the
sales of different signage displays in the market.
Increasing Investments
for Marketing & Sales Drive the Signage Market Demand
Retailers across the
world are finding new innovative ways to retain customers and attract new ones
using technological tools. From drawing a window shopper into the store to
telling their brand story anything is possible with the help of digital
signage.
Sephora, a global
leader in featuring about 300 brands in personal and beauty care products,
launched self-service and touch screen kiosks that market their products in an
interactive way. The touchscreen kiosk launched by Sephora called ColorIQ
enables the customers to find a suitable makeup for their skin tones. Another
kiosk called SkincareIQ helps consumers find the right skincare treatments for
their skin conditions such as dry lips and puffy eyes. These products are
launched as a part of their marketing strategy, which involves integrating
online and in-store experiences. These kind of marketing strategies from other
market players are thriving the demand for the signage industry.
Combination of
Biometrics and Signage for Analytics and Security
Biometric technologies
such as facial recognition, fingerprint, and retina sensing are generally used
in security and access systems. Digital signage combines biometrics and
analytics to accurately identify the desired demographics of the consumer, such
as gender, location, and age. Today, these technologies are used for marketing
purposes to apply statistical techniques, to identify consumer behavior and
analyze the data collected. Thereby allows the retailer to understand the
buying patterns and recognize the most potential consumer which can further
increase the sales of the respective business.
In 2016, NEC Display
solutions have combined NEC’s NeoFace facial recognition technology with
Microsoft Kinect’s motion-sensing technology and named it as ‘NEC Engage’. This
context-aware digital signage is used by increasing numbers of vendors for
customer analysis and security purposes. With the growing awareness of facial
recognition and the rising demand for the secure and scalable network,
biometric technology is surging in the global signage market.
Market Players
Perspective in the Global Signage Industry
The giant players
operating with a major share in the global signage market include Panasonic
Corporation, Samsung Electronics Co., Ltd, Sony Corporation, Sharp Corporation,
NEC Display Solutions Ltd, Scala Inc., LG Display Co., Ltd., Planar Systems,
Inc., Au Optronics Corporation, E Ink Holdings Inc. Acquisitions and innovative
product launches are expanding in the global signage market. Few of them
include:
· In 2019, Panasonic
Corporation, Japanese based electronics giant recently introduced ‘One ID’
automated airport passenger terminal solution at Passenger Terminal EXPO of
ExCel London, the U.K. Powered by facial recognition technology, One ID allows
passengers to check-in, pass over immigration, and obtain other personalized
flight details using self-board and digital signage. This process does not need
any manual ID for verification.
· In March 2019,
McDonald’s has recently acquired Dynamic Yield, big data and analytics-based
company to customize drive-thru signage in real-time. This acquisition has a
dynamic potential to influence digital signage and restaurant apps for years to
come. This technology acquired by McDonald’s surfaces in the self-service
kiosks at the restaurants and mobile applications of the company.
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Related Reports:
A. LED Digital Signage
Market
https://www.industryarc.com/Report/18691/led-digital-signage-market.html
B. Interactive Kiosk
Market
https://www.industryarc.com/Report/15424/interactive-kiosk-market.html
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