Digital Signage News: Bright Days Ahead For Self-Service Kiosk Applications

Transactions completed by consumers in North America using self-service kiosks are projected to more than double over the next few years, according to a new research study from IHL Group.

The report, “2009 North American Self-Service Kiosks,” forecasts the value of self-service kiosk transactions will grow from $775 billion this year to more than $1.6 trillion by 2013. According to Lee Holman, lead retail analyst of the IHL Group, the ongoing recession is contributing to the growth of self-service kiosks as businesses and institutions turn to the technology to keep labor costs in check. Also helping to propel the growth is consumer acceptance of self-service kiosks as what he termed “a way of life.”

In particular, retailers, restaurants and transportation authorities can expect to see continued double-digit revenue growth from self-service kiosk transactions, said Holman.

The report is outstanding news for the digital signage market. As I’ve written about before in this space, pairing traditional linear digital signage with interactive capability is a powerful tool for anyone who has a message to deliver and a transaction to conduct.

That’s because such hybrid interactive digital signs can be used to promote events, merchandise and services as normal digital signs do, and with the touch of finger be transformed into interactive mode supporting self-service transactions for the very items promoted in the normal, linear digital signage presentation. For example, imagine digital signage kiosks strategically positioned around a shopping mall promoting what’s showing at the mall cinema with movie trailers, text, graphics and animation. After attracting the interest of passersby, some will decide to act on the impulse to watch a movie. With a clearly visible instruction to touch the sign to select a movie and buy tickets, the sign switches to interactive mode offering the customer the opportunity to browse movie times, select a show and purchase a ticket –maybe even dispense a coupon for concessions too.

All that’s needed to turn a linear digital sign into an interactive self-service kiosk is the right software, someone to build, test and deliver the branching and transactional aspects of the interactive presentation and any one of several different technologies that recognizes a touch to the screen as an interactive input.

One particular hybrid interactive digital signage application in a suburb of Wichita, KS, takes interactivity to an even higher level. The Walnut Valley Garden Center in Andover, KS, is using interactive digital signage to provide customers with self-service guidance on completing landscaping projects, recommending garden products based on their specific project and fulfill orders on an expeditious basis. The garden center application illustrates another important aspect of digital signage-based self-service kiosks not covered in the IHL Group report. Specifically, hybrid, interactive digital signs can be used to enhance efficiencies in areas of business such as customer service, order processing, inventory control, marketing and personnel allocation. Taken together, efficiencies in these areas can have a real impact on the bottom line of a business.

That’s a substantial bonus for businesses that stand to benefit from a more than doubling of self-service kiosk transactions over the next few years. Isn’t it time you joined the digital signage revolution?