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Measuring Digital Signage ROI

(March 2017) posted on Fri Mar 17, 2017

Having actionable data is essential for any new technology; how you obtain that data is just as important.

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By Beth Osborne

An example for improving customer experience might be to reduce average wait time by 60 seconds during lunch in the next 14 days. The client would need to know current wait time to initiate this goal.

Step 2: What and How to Measure
Now that the goals are set, what will be measured and how will you do it?

• Example 1: Revenue Increase
It’s fairly simple to determine if sales increased on a particular item within a timeframe. But what’s important is that no additional factors contribute to the change in revenue. It may be a challenge to determine whether digital signage contributed to a sales jump if your client also changes their TV advertising budget or activity on social media. For the period of time that is being measured, recommend that your client not alter their other marketing practices in any other way. This may seem extreme, but it’s the only way to ensure accuracy. This way, the measurement is simple: Did sales for product X increase from the previous month, before the digital signage promotion? It would also be prudent to compare it to sales from that month from the previous year.

• Example 2: Brand Awareness Increase
To measure an increase in Twitter mentions as a result of digital signage may seem impossible. But a good way to relate mentions back to the digital display is to use specific hashtags that are only promoted on the digital signage. Then, you can specifically measure the number of times that hashtag is used.

• Example 3: Customer Experience
This goal is very specific in that it defines an exact time period. You may be wondering if a reduction in wait time actually improves the customer experience. Less time in line usually makes customers happy, but this is an assumption. It’s also important to note that digital signage is a proven technique to decrease wait time. It does this by preparing those in line to order faster because the information is clearer and drives consumers to action.