As an industry we are constantly looking for approval and acceptance of what we do. Especially as this is a new territory with little on statistics to fall back and compare on. Since the SPAR reports that came out a few years ago, we have been infatuated with any positive news. The SPAR Report did indeed confirm that investment in a digital signage network would reap the results. Yet hardly anybody jumped the gun, effectively waiting for someone else to lead the pack.
Tesco, now a world brand retailer, did go out and install a large network in its UK stores. The buzz was everywhere as pilots sprung up here and there. As one industry pundit exclaimed, “We have more pilots than an airline.” It seemed so. Those that did wanted more proof before expanding their networks and that proof had to match their own. Then two major events hit the industry hard, Tesco dismantled the network claiming that, yes they did experience uplift, but the cost cancelled the uplift in essence we were looking at a zero-sum game. Other causes did play a part but there is no room here to expound on those. Subsequently we were also hit with a world financial meltdown that caused everyone to conserve spending. The expected uplift in the digital signage industry looked dire from the beginning of 2008 till last year. Early 2009 experienced a flurry of new activity as somebody switched on the light at the end of the tunnel.
We’ve come full circle as again we have another supermarket study to reflect on. EDEKA a German food store had installed its EDEKA TV in 220 stores across Germany. Not a pilot. The participants in this study were EDEKA, Nielsen and OVAB plus 1,400 EDEKA customers. The result is a study much bigger than that of SPAR’s a few years ago. As impressive the installation so were the results, increases of up to 33 percent were noted. Recall rates of up to 14 percent suggested the customers noticed the screens. In general the proof of awareness and acceptance pleased the industry, as did Tesco’s experience a few years ago.
With a weak economic recovery already being played in the press, this comes at a moment where industry seems to be driven by optimism and new drive. This is reflected in the record attendance numbers in this year’s first exhibition at the ISE in Amsterdam. More than any other time in the short history of this fledgling industry have we had so much to look forward to, with excellent tools and hardware to assist and let us move projects forward.
James van Etten. Editor, CLIPPINGS