With advancements in technology and the reduction in costs of digital screens, ‘In Store Advertising’ has emerged as a new cost-effective method for retailers to influence customer behaviour and increase sales.
The introduction of digital signage can have significant benefits for retailers and customers. The main benefits include:
– Drive impulse purchases
– Highlight special offers
– Offer in-house promotions
– Increase overall spend
– Promote community messages
The correct positioning of the screens is of paramount importance, with advertising screens at the point of sale being noted as one of the most effective display areas. The screen, when integrated with the EPoS terminal, can be used to up-sell products depending on the items purchased. Another key area for the advertising screens is to integrate them with the scales at the deli/fresh food counter. Specific marketing campaigns can be set up on the screens as well as displaying product related information while serving the customer.
Whilst digital signage has been available for a number of years, the main concern for retailers to date has been the time and effort required to update the content displayed on the screens. In response to this, a number of content management companies have emerged that will design, implement and continuously update the content for the retailer. The increase in availability of high speed broadband ensures that the content can be quickly changed and updated from a remote location. This ensures that the display is regularly refreshed and that the retailer is gaining the maximum benefit from the new technology.
Numerous studies have been carried out to evaluate the effectiveness of in-store advertising and recent research, both in Ireland and the UK, proves that:
– 71% of purchase decisions are made in-store
– 25% sales uplift on advertised products (some products achieved a 50% increase)
– 29% of shoppers report making an unplanned purchase when digital signage is implemented
– 73% of customers said it enhanced their experience
– 98% of customers felt that the store had made an effort to make their time in the shop more enjoyable
With the fragmentation of advertising in other media formats such as TV and radio, the in-store advertising screens will no doubt become a major part of most retailers’ future marketing strategy.