Digital Out of Home (DOOH) is rapidly maturing, especially as new technologies and solutions hit the market. Today, digital signage is cheaper, faster, and more feature-rich than at any time in history. Most retailers can quickly install digital signage networks and have even cashiers quickly update signs to display products, promotions, and information. More frequently, these digital signage networks primarily update themselves, changing content based on the customer, real-time stock or inventory, weather, or live sensor data sharing what products are being picked up or looked at.
Integrating this technology into retail stores can help you to drive sales, increase customer satisfaction, and increase revenue. While there are dozens of ways retail stores can approach DOOH, these 5 strategies will get you started.
Drawing Customers into Shops
Drawing customers into shops is increasingly a primary challenge for retail stores. With online shopping offering convenience and ever-faster shipping, people lose the need to go to physical stores. Well-placed digital signage can help change that, attracting passersby, reminding consumers of options, and generating foot traffic.
One study by Samsung suggests that well-placed digital signage can increase foot traffic in some stores by as much as 40%. However, your results and placement will heavily depend on store location. For example, retail stores located in malls and shopping areas can use digital signage to offer promotions and products and to drive interest. Stores in areas such as transit and airport areas are better off using other tactics, such as using relevant marketing surrounding time of day, weather, or passersby to target ads and promotions. Here, simple advertisements such as switching window ads up to display “quick” sale items like umbrellas or rain coats when it’s raining, or sunglasses and ice cream when it’s sunny, can prompt customers to stop in, which might lead to more sales.
Offering Upsells with Product Information
Digital signage is increasingly used to offer product information and comparison across stores. Even large retailers like Walmart now use end of shelf and shelf edge signage, which primarily exists to help customers make better choices. These displays can be very simple, like Walmart has, where product information is primarily displayed on its own, based on where the display is.
You can also pair fairly complex sensors to bring items up onto a screen as customers pick them up, to add item comparisons, and to allow customers to interact with the screen through touch. Offering product information at the point of decision means customers will stay more engaged with the product and with the store, rather than looking up information on their phone or possibly moving to another store.
Here, some quality tactics include highlighting products and options and offering upsells with several price range categories, linked customer reviews, and product features so customers understand what they are getting for the money. Why does this matter? People tend to choose the cheapest product when they aren’t comparing. But, when directly comparing options, most customers will go for the middle ground, spending more for higher perceived quality.
Closing on Sales in Store
Digital signage offers multiple tools to increase sales in the store. Here, you can rely on product information and comparisons to help customers make decisions right away. You can also offer self-help kiosks, where customers can look up information, directly compare as many models or options as they want, and see peer feedback or reviews. Each of these tactics will help customers make a decision, before they leave the store.
You can also utilize tactics like online web shop access, where customers can walk up to a touchscreen display and simply order a product. This might not seem like much, and it isn’t considering most customers can simply do the same on their phone, but it will help you close sales. Why? Most people in a store have made up their minds to make a purchase. They are in the right mindset to buy. That could change if they have to go home or outside before making that purchase decision. A digital display offering backorders or custom orders for products not in stock will allow your store to close on sales in that window.
Increasing Shopping Cart Value
Shelf edge, banner, and point of sale digital displays can each help you to increase shopping cart value. Here, the point of sale display is typically the most valuable, but certainly not your only priority.
Stores like Walgreens are increasingly using digital screens to share options, product comparisons, and information for products. These ads help customers make decisions for higher quality products, help drive sales for accessories and complementary items, and ensure customers are aware of products to begin with.
Banner ads are typically used to alert customers of sales and promotions, usually to draw attention to specific departments or sections. These normally display items such as sale of the week and work to draw customers into that area to make a direct sale, typically driving impulse purchases.
Point of Sale
Point of sale displays allow you to increase shopping cart value by highlighting important items the customer might have missed, highlighting items that go with the products in their shopping cart, and offering small sale items that could become an impulse purchase.
How does that work? Product sensors could recognize from a tag that customers are purchasing a television. The digital display could update to remind the customer of products such as cables, wall mounts, or Smart TV add-ons that might improve their experience.
Displays can also update to notify customers of frequently-forgotten items such as trash bags, toothpaste, or socks. Or, you could link to weather, traffic, etc., to provide contextually relevant ads.
Inviting Customers Back
While most retail strategies for digital signage focus on driving immediate sales, that shouldn’t be your only focus. In fact, one of the primary advantages of point of sale signage is that you can use it to connect with customers when they are waiting and likely bored. They will pay attention to product ads and promotions and they will remember them. So, while most won’t likely drop what they are doing and run back for a sale, many will remember and might come back. This means that you can use promotions starting next week or running for several weeks at a time to drive customers back. You can also make use of customer engagement programs, inviting customers to apps or social media.
Digital signage offers a great deal of opportunities to drive sales, connect with customers, and help customers to make better and more informed choices. This will often naturally result in increased sales, through a combination of better customer awareness of product options and increased customer satisfaction.