You have probably seen how cheap digital signs are these days, you are probably impressed with how advanced they are, and you are probably pleased that they are easy to set up and very easy to install. All the pieces are set to integrate them into your business, buy some digital signage software, and get the ball rolling on your business’s digital signage installation. However, just because something is easy and around 3000% cheaper than it was 20 years ago (adjusting for inflation), it doesn’t mean you should do it. That is how you end up with Matrix Management, “No I in Team,” Apple Watches, the Google Reader, and the idea that office staff should have tablet devices. Here are a few things to consider when building your digital signage business plan.
Run a Feasibility Study
Do you remember back in the day when you had to run a feasibility study on getting CCTV, but nowadays they are so cheap and easy to install that your insurance company will charge you more if you don’t have them? Well, we are entering a similar era with digital signs. “Not” having them won’t push up your insurance costs, but digital signs are now so affordable, advanced, and easy to install that they seem overly feasible. Companies are even willing to eat the losses if they don’t work out, but that is not the point of your feasibility study.
Obviously, things will be skewed towards yes when it comes to costs, staff on-boarding, training, etc. However, it is beholden to you to examine cases where digital signs didn’t work. Where companies had the same adverts running all day on their signs to the point where staff members quit because they couldn’t hear the advert audio anymore. Look at the cases where the signs were distracting the eye line from store products to the point where sales went down simply because people were watching screens instead of searching for the products they wanted.
Run a Cost-Benefit Analysis
This is where the intended ROI often shifts the balance of power back towards “Not” having digital signs. You are going to note how the costs of buying and installation are a fraction of what they were just a few years ago but getting a return on your investment is very difficult to measure. This is especially true if your signs are going to direct people to car parks or toilets. However, you have to remember that even if they are used as utility tools, they can still save you money and offer a return on investment.
Taking the toilet and car park examples, how often are customers asking staff where these places are? How many staff hours are wasted through these distractions? Plus, if there are no wasted staff hours, perhaps come up with new ways to use digital signs in your business.
Run Some Market Research
If you follow this advice when making your digital sign business plan, temper your market research depending on how you intend to use your digital signs. For example, if you are using your digital signs to promote offers, run adverts, sell items, work as digital menus, demonstrate products, direct people, control queues, etc., then keep your market research brief and try to concentrate on use cases. Do this because the information you get from market research is so subjective that even if your direct competitors are using digital signs, what they are doing may not apply to your business.
On the other hand, if your reason for buying digital signs is because you wish to direct sell to your customers, similar to having your own shopping network channel in your store, then run a full market research campaign.
Consider Micro-Test Runs
Based on the previous paragraph, you may like to consider micro tests. This is especially true if you want to derive persistent profits from your digital sign and its content. A few micro-tests may help you determine if your idea is workable and profitable. The tests have to be as fair as possible since the content sells the product; the sign is only a tool. Nevertheless, a few inexpensive micro-tests should help drive your research to a satisfying conclusion.
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