4 Keys to Avoiding a Digital Signage Network Failure

In the past, we've discussed a number of areas that can have a large influence on the success of your digital signage network. We've talked about content, installation and deployment, building a talented operational team, and ways to measure viewership and response. Unfortunately, many companies that invest in a digital signage solution do so without giving much thought to the core fundamentals. Predictably, their hardware and software fail to deliver an acceptable ROI, as defined by senior management.

In this article, I'll explain the four keys to avoiding a digital signage failure. We'll take a look at your objectives, the revenue model you're pursuing, the people tasked with maintaining the network, and some common snares along the way.

#1 - Develop Concrete Objectives

Many companies invest a large sum of money into a digital signage initiative without first having determined what they hope to achieve with it. Nothing sabotages a project more quickly than failing to have a well-defined goal. That can include lifting in-store sales, branding, distribution of information, and several other objectives. What's more, goals can change as a company grows. A small 5-store chain might want to lift immediate sales while a multinational corporation may have broader objectives in mind.

#2 - Understand How Revenue Will Be Generated

In most cases, ROI is directly attached to revenue generation. Branding is a different beast; the metrics are difficult to track (that may be putting it mildly) and revenue isn't a major factor. Other models are clearer. For example, a signage network that pipes advertiser sponsored content loops generates revenue through the sale of ad spots. Private merchandising projects focus on lifting the sales of store brands (for example, products offered exclusively by Gap or Banana Republic). The key is to know in advance how the digital screens will produce income.

#3 - Organize A Talented, Dependable Team

One of the most common causes of a project failure is not having a dependable team who can manage it after deployment. Managers often underestimate the scope of expertise required to handle a fully deployed network. Nobody can do everything effectively. Depending upon size, breadth, and goals, you'll need talented individuals who can handle financing, ad sales, content creation and scheduling, and merchandising.

You'll also need people to manage the technology. From training to hardware maintenance to software integration and monitoring, these are not tasks for non-technical personnel.

#4 - Sidestep Network Deployment Snares

As more companies adopt digital signage technology, they've become increasingly aware of snares that were common years ago. But, mistakes still happen. When they do, they can doom a network. An example would be insufficient resources that are budgeted for the installation. Or, preliminary venue research isn't conducted, leading to screen placement issues and connectivity problems. Content might be treated like a second-class citizen. Each of these mistakes continue to ensnare hopeful network operators. The result? The project dies.

Digital signage is receiving a greater portion of promotional budgets as senior management recognizes its uses and flexibility. But, that doesn't mean a network's deployment and ongoing maintenance are simple. Success is not a forgone conclusion. Fortunately, reliable standards have emerged as the technology has expanded into a wider breadth of industries.

Determine your objectives and how your screens will generate revenue. Put together a talented team of people who can handle the range of responsibilities involved. Plan carefully and thoroughly. If you address those factors, your digital signage project will have a much better chance for long-term success.