According to a new market research report released today, the marketing arena worldwide has witnessed dramatic transformation over the past few years. The recent years have seen decline in traditional print advertisements in newspapers and static outdoor billboards, but commensurately rising interest in new interactive marketing strategies, including digital signage. Given its ability to use vibrant, media-rich messages to rope in the right audiences, digital signage represents a powerful medium for advertising, information display and entertainment. The market is further driven by the evolution of hybrid digital signage systems wherein digital signs are augmented with the interactivity of digital kiosks. The amplification of marketing impact possible through this medium provides a high return on investment (ROI) business case for these systems.
Against a backdrop of a digitalized world, the digital platform of marketing makes for an effective medium to target elusive consumers, especially the younger generation. With several advantages like higher viewer recall and retention of digitally displayed messages, stacked in its favor, digital signage systems are forecast to witness sturdy gains in the upcoming years.
Falling costs associated with purchasing, installing and maintaining digital signage systems in sync with technology development and market penetration, will help bolster the market in the post recession period. Low hardware costs, and declining software development costs have made systems, such as, media players, and display units like LCD displays cheaper and affordable. While the retail sector remains the prime end-user of digital signage technologies, evolving application areas, such as in financial services, transportation and hospitality are forecast to generate steam in the upcoming years. Companies poised to gain will be those capable of providing end-to-end digital signage solutions encompassing installation, consulting, content creation, content management and support.
Developing countries in Asia, Latin America, and Middle East are forecast to drive future gains in the market. The retail boom in countries like China, Singapore, Malaysia and Thailand, UAE, Hong Kong, and India, among others, provides a strong business case for new installations of digital signage systems. Major application areas in these regions include public notices and real-time weather forecasts among others. Opportunities for advertising are on the rise in developing Asian countries like India, China and Singapore largely due to the growing base of urban population and a resultant wider audience base of target corporate workers, commuters and shoppers. Industrialization will remain a key factor indirectly driving growth in the marketplace. Development of transportation networks, public infrastructure, new construction of commercial buildings will create demand for digital signage in public spaces. The retail boom in Asia brought upon by strong economic growth, rising consumerism, rising standards of living, increase in disposable incomes, and changing lifestyles that rival western counterparts, all provide a strong platform for growth.
As stated by the new market research report on Digital Signage Systems, the US represents the largest regional market worldwide. Asia-Pacific is the fastest growing regional market with dollar sales growing at a CAGR of about 22% over the analysis period. By product, digital signage displays represents the largest segment, while digital signage software represents the fastest growing segment, waxing at a CAGR of about 25% over the analysis period.
The research report titled "Digital Signage Systems: A Global Strategic Business Report" announced by Global Industry Analysts, Inc., provides a comprehensive review of market trends, drivers, company profiles and key strategic industry activities. The report analyzes the global Digital Signage Systems market by all major geographic markets, including US, Canada, Japan, Europe (France, Germany, Italy, United Kingdom, Spain, Russia and Rest of Europe), Asia-Pacific, Middle East & Africa and Latin America. Product segments analyzed include Displays, Set Top Boxes and Media Players, Software, among others.
