Digital signage in a retail environment

By Nico Colijn, Marketing Director at Mermaid A/S

Competition is fierce within the retail industry. When customers visit a store, it is important to service and inspire them so they come back. This can be achieved by placing screens with relevant content in different areas of a store.

Create additional sales by using in-store TV

This article is our basic approach towards using instore TV within retail shops. Screens are effective because they make it possible to influence customers at the point where the ­purchase decision is made. They often generate impulse buying and are a perfect tool to advertise for products. There is research that proves that decisions are taken inside the store and research that proofs that in-store TV is effective as an influencer. OgilvyAction cited an overall in-store decision figure of 72,4 % in their recent research. The results show that there are three main areas where decisions are taken in-store: how much to buy (52%), choice of brand in the store (39%) and buying something in another category than planned (29%). Recent studies from Walmart and Edeka in Germany (Nielsen research) show the effectiveness of in-store TV.

Inspired by 'Lighting Up the Aisle', we have divided a typical store into eight zones where we recommend that screens are placed: the attraction zone, transition zone, traffic zone, category zone, information zone, checkout zone, exit zone and staff zone.

Attract your customers

The attraction zone is the area where customers must be convinced to enter the store. In a shopping mall for instance, customers could be persuaded to enter the store on impulse. The screens can provide the customers with great offers that will attract their attention and convince them to pay the store a visit.

When customers enter a store and enter the transition zone, it is important that they feel welcome and see something familiar. Screens can give customers a warm welcome and inspire them with special offers. The customer needs to be reassured, that they are in the right place - therefore you might show a spot with the main offer from the printed material.

From attraction to inspiration

Large supermarkets have a clear traffic zone, the main aisle, where customers walk fast to arrive at the daily goods area.  This is a great place to inspire them and show them some of the products they might not have considered buying. Therefore, it is relevant to advertise for non-food products such as beauty products, toys or clothing. The offers should include products that are placed in different locations of the store in order to make sure that the customers get around everywhere.  The above research shows that 29% of shoppers buy products in other categories than the ones where they had planned to shop. In this connection, it is important that the screens guide the customers so they are able to find the goods easily.

Each category zone can benefit from having screens with advertisements of specific products. This can create additional sales, and we recommend that the advertisements include a product and price and that they are placed as close to the products as possible. Furthermore, the screens can provide customers with serviceable information about the products. 

Entertain and service your customers

When customers have to stand in line when approaching the information desk, it is a good idea to entertain them while waiting because this will reduce the experienced waiting time. Screens in this area can advertise for a customer retention club or inform about practical information - eg. information about the renting of trailers.  It is important to call to action in the store! This can be done by facilitating SMS response or by using QR codes for smart phones.

In the checkout zone, customers often stand in line waiting to pay for their purchases. This means that this is a place where it is easier to attract their attention and influence their shopping behaviour. Therefore, this is a great opportunity to launch new products by introducing them on screens because the customers have time to look at them. It is also important to reduce the experienced waiting time by entertaining the customers with news, the weather forecast or other entertainment. Furthermore, it is effective to advertise for products that are placed by the waiting line in order to generate last meter impulse buying.

When the customers leave the store, thank them for their visit and encourage them to come back. A special offer of the following week could be the trigger.

Motivate your staff

Screens are also very suitable in the staff zone in order to inform and ensure that everyone receives the messages. The staff should receive information about campaigns so they are aware of the special offers. This ensures that they are able to service and guide the customers. Furthermore, statistics of sales can motivate the staff and increase competitiveness. Screens can also be used to create a good environment where staff members feel appreciated by announcing social events or birthdays on the screens. On top of that, screens can show the values of the company in order to create an awareness of them and make sure that employees comply with them.

Altogether, screens in retail shops are serviceable in order to communicate with customers and employees. Screens make it possible to service, entertain and influence your customers which will increase sales and ensure satisfied and loyal customers.