DailyDOOH
The Future of Digital
Signage in Retail and
Public Environments
Adrian J Cotterill
Interim Executive and Industry Analyst Specialising in
Digital Out of Home and Web 2.0
Editor of the "Digital Out of Home Advertising Networks”
directory currently published by The Screen
http://www.dailydooh.com/
DailyDOOH
 Definition of Digital Signage
 “A network of displays that can be
remotely managed and whose
business model revolves around
merchandising or advertising”
 Source: Frost & Sullivan
 Network Types
 Self Financed / Branding
 Also Known As / Seen As











Digital Out of Home
In-Store TV
Digital Screen Media
Captive Audience Networks
Retail Media Networks
Screen Networks
Narrowcasting
Place Based Media
Digital Street Furniture
Video-enhanced Shopping Carts
etc.
 Financed Through Advertising /
Advertising Only
 Mixed / Hybrid
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DailyDOOH
 Network Types
 Self Financed / Branding
 Financed Through Advertising /
Advertising Only
 Mixed / Hybrid
 Financed Through Advertising /
Advertising Only
 Typically the specialty of (new)
third party businesses such as
Avanti Screenmedia, LibriumTV,
MDM.tv, Neo Advertising, POSTV,
etc
 Networks like the “Pharmacy
Channel(s)’ across Europe bring
together niche retailers (very
successfully)
 Self Financed / Branding
 Typically Retailers (especially
Retail Banks) etc.
 Often started life as ‘music’
networks
 Network used for music video,
product marketing, own-branding,
wayfinding etc
 Examples; Nike, Harrods,
Footlocker, IKEA, Jyske Bank,
National Lotteries, various Airports
 Mixed / Hybrid
 Thomson Travel Poster Network,
jointly ‘owned’ by retailer and
advertising network ‘wannabe’
 Retailers and Retail Banks may go
‘hybrid’ if they can be convinced
of ‘brand-fit’
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UK Market - Mid 2007
High Impact
20
28
2
General Outdoor
High Impact
Retail
Captive Audience
7
Destination Venues
5
Mobile
Stadiums /
Exhibition Halls
30
6
Based on number of venues
Based on number of venues
Captive Audience
5
Retail
3
10
Leisure
Transport
Hair Salons
Waiting Rooms
QSR
Health Clubs
1
2
1
High Street
11
Malls and Service
Stations
Petrol Forecourts
8
ATMs
4
6
Based on number of venues
Grocery
7
Based on number of venues
DailyDOOH
Real Estate Classifications
Control Rooms
Corporate Offices
Rental / Staging
Financial Exchanges
University, College, School
Studios
Film Sets, TV Backdrops
Government Buildings
Highway Signs
Theme Parks
Race Tracks
Casinos
Retail Banks
Corporate Reception Airports
Areas
Shopping Malls
Stadiums
Pub, Club, Bars
Hotel Rooms and Lobbies
Railway Stations
Taxis, Trams, Buses
Hair Salons
Restaurants
High Street Retailers
Grocers
Petrol Stations
Hospital, Waiting
Rooms, Surgeries
Mobile Vans
Outdoor ‘High
Impact’
Billboards
Mobile / Portable Screens
Advertising Classifications
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DailyDOOH
Benefits of Digital Signage
 Cost Reduction of POS (print and delivery)
 Instant customer “message - action“
 Brand Enhancement; adds another dimension to customer
experience during visit
 Time of day content targets specific types of customer (propensity
to purchase)
 Centrally controlled campaign management tools
 Brand relevant “feel good’ editorial content
 Third party brand partnership activity (media revenue)
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Tesco - Then and Now
 TescoTV
 Initially Advertising Driven model (JC
Decaux chosen to sell advertising
space as if it were a billboard)
 Instrumental Media and Applied
Television Group won contract to
manage network
 Scala Software and Hughes Satellite
Connectivity
 Common belief that wait-and-see
attitude from other Grocers slowed
down digital signage adoption by
others across Europe
 Allegedly cost £30 Million to rollout to
100 stores
 TescoScreens
 Managed now by Dunnhumby
 Focus on Trade Marketing
 Example £5k for 2 x 5 second
slots in every 5 minute loop
 RFP for technology, network,
solutions etc. out shortly
 Now a “Self-Financed” model
though Dunnhumby not averse to
bringing in 3rd party media sales
revenue when ready (i.e will
become a mixed / hybrid model)
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DailyDOOH
Why It’s not TV

According to a draft study by Deloitte from the
Grocery Manufacturers Association, the investment
in in-store advertising has doubled since 2004 and
is on pace for compound annual growth of 21%
through 2010.

Conventional wisdom, backed by solid if not
conclusive research, says that more than 70% of
purchase decisions are made in-store. Yet despite
that, in-store advertising still represents only 6% of
marketing budget allocations, according to Deloitte

Marketing purists blame this anomaly on the lack of
analytical data proving the efficacy of advertising at
point-of-purchase. But how "proven" is traditional
TV/radio/print, which still commands 35% of
marketing budgets?

It's indisputably intuitive that a message delivered
at point-of-purchase has the best chance to
influence the desired behavior - getting the
consumer to take the product off the shelf.

The latest and most expensive trend has been
video screens along the store perimeter, at
checkout, even in some aisles. A step
forward, perhaps, but out-of-step with
shopper behavior: Mass merchandise and
supermarket consumers go shopping to shop,
not to stop and be entertained

Shoppers are conditioned to move through stores,
not to stop, look and listen.

Marc E. Babej and Tim Pollak are partners at
Reason Inc., a marketing-strategy consulting firm
that works with clients in a range of categories,
including media and entertainment, financial and
professional services, packaged goods and the
public sector
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DailyDOOH
“IT'S NOT TV” People don't watch like they watch TV….
… I don't even use the term In-Store TV anymore because of the
Connotations. Comparing traditional Mass Media with Digital Signage is
like comparing a Greyhound Bus with a sports car.
The Idea of ”Captive Audience" is a myth. If that were true, increased
traffic would have to mean increased viewer ship. I can show that
times of peak traffic are often NOT times of peak engagement. many
times the exact opposite is true.
Steve Yetsko, Director of Media Research Services at VideoMining Corp.
Think “Poster+” rather than
“TV minus”
Don Sperring
Group Strategy Director
JC Decaux
“It strikes me that (this) … makes your screen look MORE
like TV … which is fundamentally where you don’t want to
be because your audience is not in a TV receptive place
when they are encountering your screens”
Alex Hughes
Creative Director
Amigo Digital
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DailyDOOH
Note: Poor graphic quality due to Screen Shot
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DailyDOOH
Success…
A Clear Strategy and Vision




Customer retail psychology
Marketing communications
Video graphic design
Technology - AV/IT
What Happens if the Vision is Not
Thought Through?



Screens in the wrong places
Content may be inappropriate for the
retail locations
Channel not a commercial success
Screen Layout in Relation to
Customer Purchasing Pattern



Where should the screens be placed?
How many screens?
What size?
Screen Content





What content should go on screens?
What’s the eye-on-screen dwell time?
How long should content segments be?
How should it be day-parted?
What is the wear-out time?
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DailyDOOH
Brand Content Mandates
1.
Engaging - you can’t look away
2.
Aware of the context - talk to me as if you are here
3.
Compelling - you still can’t look away
4.
Informative - tell me something I didn’t know until
now
5.
Containing a clear call to action - what do I do next?
6.
Able to improve brand awareness - did the content
make an impression?
http://screenvox.com/
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DailyDOOH
Dagobert’s 10 Rules of Content
1.
Define your own magical triangle between promotion, entertainment and
brand experience
2.
Adopt a leading theme
3.
Never forget that it is a furtive media
4.
Open a dialogue with the customer
5.
Create Interactivity
6.
Structure the content with a single graphic code or by
introducing heterogeneous content with short jingles
7.
Be explicit at any stage of the program
8.
Create an efficient sequencing
9.
Preserve yourself from text overloading
10.
To promote an event, create a ‘cluster’ of animations
Definitions of furtive on the Web: -
http://www.dagobert.fr/
Marked by quiet and caution and secrecy; taking pains to avoid
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being observed; "a furtive manner";
DailyDOOH
Industry Problem
Content Delivery (is it Guaranteed?)
Compliance for Digital Signage and Screen
Networks
Relevance with regard customer habits,
buying patterns, stock levels, time of day etc.
Most customers (Brands) need a
Geographic Reach* not just local (countryspecific) implementations
*For example across EMEA
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DailyDOOH
Customer Problem
 You have Screens1, but can you guarantee…
 that they are turned on?
 that they are playing relevant content?
 You have Content2 but can you…
 target your customers by time of day or week or make seasonal
variations?
 sell what you have, not what you think you have?
 sell more of what's selling not what's not selling?
JML for example; typically 20-25% are off at anyone time AND there is probably an equal number playing wrong
(irrelevant) content versus what is in stock
1
European Research studies have shown that digital marketing and advertising consistently; shrink wastage, quickens
turnaround for promotion to venue, decreases printed POS in-venue clutter, gives the ability to communicate multiple
messages from one ‘poster’ site AND offers the possibility of 3rd Party Advertising / Media Revenue (if desired)
2
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DailyDOOH
Compliance - True Example
Total
Network A
Network B
Network C
Any POS in Venue
58%
49%
69%
56%
Participating in
Promotion1
59%
60%
64%
54%
Gave Gamecard
without Prompting
25%
23%
36%
16%
Posters in Window
8%
6%
13%
6%
Posters in Venue
34%
30%
38%
35%
Show cards in Venue
41%
38%
47%
38%
4%
4%
3%
5%
On-Screen Promotion
36%
26%
57%
26%
Overall Display
24%
24%
26%
23%
Leaflets
1: This statistic is compiled from the number of venues that gave gamecard right away, number of
venues that gave gamecard after asking and number of venues that had run out of gamecards.
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DailyDOOH
Content Delivery Roadmap
Note: Poor graphic quality due to Screen Shot
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DailyDOOH
iCapture - Accurately captures,
tracks and analyses faces in video
images, generating real-time
audience data
iTally - Embedded people
counting device with built-in
overhead camera, i.e Gross
Footfall
Number of screens:
Number of venues:
Footfall:
Dwell time:
Frequency of visit:
1,015
203
1.4 million till transactions per week
4.5 minutes
3.6 visits per week
DOOHAN, SparTV Entry, May 2007
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DailyDOOH
Why Will Digital Out of Home Be Successful?
 Audience
 Immediacy
 Selling by day part
 Uniqueness
 Editorial Content
 Interaction
 Creativity
Challenges to success
 Accountability and
Effectiveness
 Creativity - the right
treatment for the right
screens
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DailyDOOH

The DailyDOOH blog brings you Digital Out
of Home Industry Analysis in Europe, Middle
East and Africa
acotterill@dailydooh.com
http://www.linkedin.com/in/aideycot
 The Screen is the Out of Home digital
signage industry association. It is
based in London, with members in the
UK, France, India, Israel, South Africa
and the USA
 http://www.thescreen.org/
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DailyDOOH
DailyDOOH 26th August 2007
This Motion-activated (Flash-driven) interactive wall mural was in London’s Virgin
Megastore at Piccadilly Circus for the last 4 weeks (it came down on Sunday so if you
didn’t see it in person then you have missed it).
The 20′x8′ wall, project managed by the folks at PosterScope’s Hyperspace division
showcases Adobe Creative Suite 3’s library of effects, including Illustrator, Photoshop, After
Effects, and Flash.
The murals are designed so that when a person walks from left to right more animations
are triggered and the density of the imagery increases.
It’s quite a clever way to do interactivity and I am sure will be repeated elsewhere (this
Adobe creative was previously in New York). Interactive View and Obscura Digital (from
the US) used an edgeless plasma wall (MPDP panels) to create the large window display
and the Flash content respectively. I think there is a reason why all of the publicity shots
were taken in the dark (in my opinion it does not look as good when in direct sunlight)
http://www.interactiveview.co.uk
http://www.obscuradigital.com/
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DailyDOOH
Music - Legalities (UK Example)
 Phonographic Performance Limited
 PPL is a music industry organisation
collecting and distributing airplay and
public performance royalties in the UK on behalf of over 3,500 record companies
and 40,000 performers
 http://www.ppluk.com/
 Video Performance Limited
 VPL is the collecting society set up by the record industry in 1984 to grant
licences to users of music videos, eg. broadcasters, programme-makers, video
jukebox system suppliers
 http://www.vpluk.com
 MCPS
 The MCPS-PRS Alliance is th home of the world's best songwriters, composers
and music publishers
 http://www.mcps-prs-alliance.co.uk
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