Out-of-Home Digital Media are - Cleverdis
Out-of-Home Digital Media are - Cleverdis
Out-of-Home Digital Media are - Cleverdis
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SMARTreport<br />
A New Era <strong>of</strong> Point <strong>of</strong> Purchase<br />
(POP) Promotions<br />
A White Paper compiled by <strong>Media</strong>Tile<br />
A new era is upon us – the move from<br />
paper-based point-<strong>of</strong>-purchase promotions<br />
to digital signage. Recently, digital signs<br />
have been popping up everywhere in retail<br />
environments. With 70% <strong>of</strong> today’s<br />
consumer purchase decisions made at the<br />
shelf, more and more vendors <strong>are</strong><br />
increasing their point-<strong>of</strong>-purchase<br />
promotional budgets in an effort to directly<br />
influence consumer purchase decisions.<br />
Combined with today’s lackluster TV, radio<br />
and print advertisement effectiveness, more<br />
than $40 Billion <strong>of</strong> the $165 Billion spent<br />
each year on advertising by US vendors<br />
will move to new advertising mediums<br />
within the next five years. These mediums<br />
include <strong>Out</strong> Of <strong>Home</strong> (OOH) <strong>Digital</strong> <strong>Media</strong><br />
networks, mobile and Internet based<br />
mediums among others. According to<br />
recent research reports, sales <strong>of</strong> products<br />
promoted across <strong>Digital</strong> Signage Networks<br />
rose by as much as 300%. It’s no wonder<br />
that more and more retailers and vendors<br />
<strong>are</strong> adding in-store digital signage to their<br />
marketing and promotional plans.<br />
Advantages <strong>of</strong> Networked<br />
<strong>Digital</strong> Signage:<br />
Attract – <strong>Digital</strong> Signs use video and flash<br />
– they <strong>are</strong> bright, colorful and full <strong>of</strong> sound<br />
and motion, attracting more consumers to<br />
the products that <strong>are</strong> being digitally<br />
promoted in the store.<br />
Influence – <strong>Digital</strong> Signs influence<br />
consumer purchase decisions with<br />
compelling demonstrations, lifestyle selling,<br />
entertainment and more detail than paper<br />
promotions.<br />
Uplift – <strong>Digital</strong> Signs have demonstrated<br />
that they can increase product sales by as<br />
much as 300%, and <strong>are</strong> ideal for product<br />
tie-ins, cross-selling and other multi-product<br />
promotions.<br />
Comply – <strong>Digital</strong> Signs ensure that all stores<br />
have received and <strong>are</strong> playing the vendor’s<br />
product message; they do not require instore<br />
personnel, managers or others to take<br />
any action.<br />
38 / <strong>Out</strong> <strong>of</strong> <strong>Home</strong> <strong>Digital</strong> <strong>Media</strong> SMARTreport January-July 2008<br />
Deliver – <strong>Digital</strong> Signs can accept the<br />
delivery <strong>of</strong> scheduled and approved<br />
promotions to thousands <strong>of</strong> stores<br />
automatically and virtually instantly.<br />
Target – <strong>Digital</strong> Signs can accept targeted<br />
messages on a per device, per store, or per<br />
region basis, enabling the right message to<br />
reach the right consumer.<br />
Train – <strong>Digital</strong> Signs can help train retail<br />
sales associates better understand the<br />
products in their category through ongoing<br />
exposure to promotions, or access to<br />
additional information.<br />
The Drawbacks <strong>of</strong> Wi-Fi /<br />
Ethernetbased Networked<br />
<strong>Digital</strong> Signage: Infrastructure<br />
Although <strong>Digital</strong> Signage Networks provide<br />
a breakthrough in product visibility,<br />
positioning, and instant message delivery,<br />
<strong>Digital</strong> Signs that <strong>are</strong> connected through<br />
Satellite or DSL services have traditionally<br />
required an in-store network using Ethernet,<br />
Wi-Fi or Bluetooth. These solutions have a<br />
major drawback: the requirement <strong>of</strong> in-store<br />
IT infrastructure.<br />
Infrastructure Cost – Network infrastructure<br />
is expensive to purchase, deploy and<br />
maintain – in many cases the hardw<strong>are</strong> and<br />
networking infrastructure and deployment<br />
costs can exceed $10,000 per store, not<br />
including ongoing support fees.<br />
Infrastructure Complexity – Networked<br />
infrastructure is complex – stores must be<br />
refitted with new hardw<strong>are</strong> and networking<br />
infrastructure that may have to be updated<br />
or replaced within a short 2 to 3 years.<br />
Infrastructure Time – Networked<br />
infrastructure takes time to deploy – because<br />
each store has to be refitted, many<br />
departments will be involved, including<br />
finance, operations, IT, and marketing.<br />
Infrastructure Security – Networked<br />
infrastructure that uses Wi-Fi or Bluetooth<br />
wireless networking could present security<br />
risks whereby hackers could push<br />
inappropriate content to store displays.<br />
Infrastructure Maintenance – Networked<br />
infrastructure requires maintenance and<br />
support by expensive IT pr<strong>of</strong>essionals that<br />
must visit each store on a regular basis.<br />
The <strong>Media</strong>Tile Solution<br />
<strong>Media</strong>Tile is the world’s first provider <strong>of</strong><br />
cellular-based digital signage networks.<br />
<strong>Media</strong>Tile enables retailers, brands,<br />
banks, facilities and narrowcasters <strong>of</strong> all<br />
types to deploy digital signage networks<br />
in far more places, in much less time, and<br />
realize ROI sooner. With our unique and<br />
patent-pending cellular-based approach,<br />
our award winning <strong>Digital</strong>-Sign-in-a-Box<br />
and web-based Broadcast Portal, we've<br />
made on-site network management,<br />
application s<strong>of</strong>tw<strong>are</strong>, and upgrades a<br />
thing <strong>of</strong> the past. The <strong>Media</strong>Tile Solution<br />
is the first <strong>Digital</strong> Signage Network<br />
system that completely eliminates the<br />
need for, and the problems and costs<br />
associated with, infrastructure-based<br />
systems. Now you can realize all the<br />
advantages <strong>of</strong> digital signage without<br />
any <strong>of</strong> the headaches. <strong>Media</strong>Tile<br />
products and services <strong>are</strong> available<br />
worldwide through our affiliate <strong>of</strong>fices.<br />
For more information visit:<br />
www.mediatile.com<br />
© Photo: <strong>Media</strong>Tile<br />
www.cleverdis.com