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![]() Lessons Offered By New York Subway Digital Signage Network
Significant advances have been made in digital signage during 2004, and 2005 is showing signs of being a busy year for dynamic digital signage.
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Digital Signage is being called "the last mile of a marketing program", offering more cost-effectiveness, flexibility and control at product and service selection locations. Many retailers such as Apple, McDonald’s, Bank of America, Circuit City, Safeway, Sears, Virgin Music, US Postal Service, Nike and others have run successful pilots during 2004. At the same time, some of the firms shifting ad spending to digital signage include astute media buyers and brand-builders such as Bayer, Black & Decker, Colgate-Palmolive, Disney, DirectTV, Frito-Lay, General Mills, Heinz, Kodak, L’Oreal, Minute Maid, Nestle, Sara Lee, Starter, The New York Times, LG Mobile Phones, ABC, Fox, Univision and Lee Jeans. Here are a few of those valuable lessons:
Lesson One
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Lesson Two
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"Cost-effective, reliable, fully secure and interactive image transport done wirelessly by satellite has long been used for Interactive Distance Learning (IDL) and business television applications" said Larry Steinman, President and CEO of BTV+ , which is contracted by some of North America’s largest organizations to deliver interactive content to more than 13,000 locations in the USA, Canada and Mexico (www.btvplus.com). Steinman adds, "digital signage applications benefit from the cost-effectiveness, location flexibility, security and reliability that satellite connections provide for digital (IP) communications. Overlaying full motion signage on an existing IDL or BTV (business television) infrastructure is easy. Content management, network monitoring, troubleshooting and reporting tools are well advanced."
Lesson Three
Lesson four Digital displays support commerce, public safety and information needs because they are so visual, vivid and eye-catching. Being able to provide information at a point of decision or when information is needed underpins the value of this communications medium for advertisers and public service providers. Revenue measures from stock turns, margin per square foot or revenues from print (static) signage locations place a value on retail location space. Revenue from dynamic digital display at, for example $10,000 per month per display to the network owner, offers a good "return on space" comparison. The location benefits of use, such as product lift, branding, better customer relationships, liability containment, etc. are adding to the value assessment. The 25x50 inch LED signs positioned at the street level entrance to New York subways are providing a "return on space" and value along the supply chain from advertiser to signage provider. To summarize, the lessons are:
1. Build it and they will come. Several upcoming digital signage events offer updates and education on the rapidly advancing area of digital signage. Plan to attend Strategy Institute's Digital Signage Advertising Summit in Toronto, February 8-10, 2005 (http://www.strategyinstitute.com/020805_digisign/dsp_digisign.php) and New York, April 26-27, 2005 (visit www.strategyinstitute.com or call 416-944-9200 Ext.282). Happy birthday New York subway signage network! You show the potential of an entire industry.
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