There is one common factor that binds the streets of Dubai, New York and London and that is definitely the constantly evolving face of the signage industry.

In the good old days, we used to go and buy products just because we liked them. Our decisions were more influenced by friends and family. However, today the rules of the retail game are totally different and redefined on a daily basis ... if not hourly. How do we grab the eyeballs? A pertinent question, that plays on the minds of every marketing head 24/7.

There has been a massive shift in buying patterns. There are more impulse buyers than ever before. Buyers are exposed to a variety of products within the same category. This also gives rise to several challenges. The buyer is confused due to the plethora of choices and brand managers are running out of ideas to grab potential customers.

Do they have a magic wand? Perhaps yes, but the most important thing is to know how to use it to your advantage. This magic wand according to me is the powerful world of digital signage solutions.

The evolution of digital signage has been dynamic over the past 10 years due to the tech advancements. The retail market has glazed the eyes of consumers with digital and interactive near field communications. The market is expected to touch $20 billion (Dh73.5 billion) by 2020 and there are several players who are entering this space to capitalise on the sector’s growth opportunities.

Window panelling and the big outdoor screens are fading away gradually. One of the biggest challenges the industry faces now is the transition from traditional to digital signage. However, with society going all smart with gadgets and other interactive devices, the demand to create interaction between the audience and the brand has increased and will give the much required boost to the digital signage industry.

Interactive content is also necessary to engage discerning customers as passive content will not serve the purpose of any retailer. Digital signages should be programmed to interact with customers through social networks, or through interactive kiosks. This will draw people in, and associate them with a brand on a one-to-one basis — an important factor toward boosting sales.

This surely becomes a powerful tool to help build brand equity and a true end-user relationship.

On the interactivity front, retailers globally use digital signage kiosks to establish that relationship with consumers. Offering special deals through Facebook or Twitter, or letting the customers use a smartphone to scan a digital sign for coupons or other promotions, is gaining popularity.

Interactivity is the retail industry’s most important formula for building relationships and for growth. If a retailer knows that college students are its biggest store audience between the hours of 4pm-6pm on certain days, then it can customise its digital signage content to maximise purchasing opportunities. The one-to-one relationship is therefore realised.

In 2013-14, the signage industry showed a growth rate of 56 per cent and it is expected to show better results. Demand for digital signage shows a positive trend with a definite outlook for growth in the Middle East region. Furthermore, demand for digital signages in the retail and health care sectors are expected to drive the global market over the next decade.

Floor space is becoming expensive in today’s retail marketplace and, therefore, the growth of digital signage will surely help marketers to take wiser business decisions and get better returns on their investments. Organisations such as e retail outlets, hospitals, malls and airports are all utilising the power of digital signages and able to communicate better with their target audience.

The Expo 2020 and other mega events in the region are set to boost demand for digital signages. The shopping mall frenzy is always going to remain despite the softening of real estate and oil markets. Developers are looking at constructing new malls and expanding capacity of existing malls around the region.

Digital signage will surely be a game changer for the advertising industry. The ones who understand the pulse of the customer and align with super innovative signages will truly win the retail race.

 

The writer is the Chairman of International Expo Consults, the organiser of the SGI Dubai show.