Understanding Player Placement in Digital Signage Networks

While screen placement mainly affects message delivery, player placement is a total cost of ownership consideration. Photos courtesy Minicom. Maximizing return on investment (ROI) from digital signage networks necessitates optimizing screen placement to ensure that the largest number of people are exposed to the greatest amount of content. Less understood is the importance of media player positioning. By Kenneth Dukofsky A major factor in the design of any digital signage network is display device placement. “All the well-intentioned design work, beautiful display devices and high-powered content that money can buy are rendered ineffective if placed in a poor location,” says Dale Smith, director, business development, Digital Signage & Corporate, of Melrose Park, ILL.-based Peerless Industries. A screen that cannot be accurately viewed by the public renders the entire investment useless. To properly place screens in a digital signage network, a long list of requirements must first be met. Likewise, media players have their own set of placement requirements that are at least as rigorous as those governing screens. While screen placement mainly affects the effectiveness of message delivery, player placement, in contrast, is mainly a total cost of ownership (TCO) consideration. Modern digital signage networks primarily follow two types of installations regarding the placement of the media player: at the screen or in a back room used for storing the company’s IT-related devices. Player-at-Screen Technology In “Player-at-Screen” systems, the media player is mounted directly onto the screen. The media players receive content from a central content server via a standard IP-based network. They then transmit the content directly to the display device. This method places IT equipment in the unprotected public areas, exposing them to heat, cold, people and dust. All these hazards have repercussions on the TCO of media players and digital signage networks. Player at-Screen At-Screen Maintenance Players-at-Screen Benefits Player-at-screen topology is suitable for applications in which screens are easily accessible, with or without an existing network infrastructure. This infrastructure can be used to transmit content from the central player to the players at screen. Player-at-screen applications also use less hardware than the other options. Both these benefits help reduce hardware and installation costs and simplify setup. The initial outlay in a player-at-screen application is therefore lower than the competing options. However, as will be seen, as time progresses, the TCO of a player-at-screen application becomes more costly than player-in-back-room applications. Players-at-Screen Service Screen maintenance, servicing and/or upgrading players can be a challenge, for several reasons: Since the players are attached to screens, they are usually quite elevated or sandwiched between the screen and a wall. Substantial ladders are typically needed to reach a ceiling-mounted player. Mounts and brackets must be removed before the players can be serviced. The players must then be taken to a level surface and attached to a keyboard, mouse and another screen. After the players are reprogrammed, they must be reattached to their screens. Replacement of players may require new mounts and brackets, as well. Because of its intrusive nature, at-screen player servicing can be problematic during store hours. This may have to be done outside of store hours, when service costs are more expensive, approaching double or triple the regular rates. Player-in-Back-Room Technology Multimedia hardware extension systems use broadcaster/transmitter and receiver units to transmit video, audio and control (serial) signals from a remote media player to single or multiple screens over dedicated CAT5 cable. Using this technology, media players can be removed from the screens, up to 600 meters (2,000 feet) if necessary, and placed in a protected back-room environment. Player in Back Room Back-Room Player Maintenance Benefits of Back-Room Placement Media players using content extension technology can be separated from the screens and placed in a secure and environmentally-controlled back room with 24-hour accessibility. These elements help maintain the players and keep them from breaking down. Player racks are specially designed for easy access, making maintenance, service and upgrading simple. If upgrades or servicing of multiple players is needed, the task takes minutes instead of hours, because all the players are situated in the same location. A single 1-by-1 meter server rack can hold ten media players. As we have shown, media players are susceptible to hazards that affect their total cost of ownership. Situating media players near the screen, in public, makes them difficult to service and exposes them to multiple environmental hazards, thus lowering their “mean time between failures” (MTBF). Media players, therefore, should be safely stored and protected by way of extension technology in an environmentally-controlled back room. The extension technology also makes the players easily serviced and maintained, thereby increasing their MTBF. Kenneth Dukofsky is the former marketing manager of Minicom Advanced Systems Ltd. , with international headquarters in Jerusalem and North American headquarters in Linden, N.J. Minicom manufactures KVM server and computer management solutions that facilitate the control of corporate IT environments. For further information, contact Gil Raz: gil.raz@minicom.com. This article originally appeared in the fourth-quarter 2008 edition of Platt Retail Institute’s Quarterly Retail Analytics and is reprinted with permission from Platt Retail Institute LLC.

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Retail stores missing opportunities without digital signage

Bill Yackey editor
• 20 Aug 2009

Stores aren’t using enough digital signage, or signage in general, to promote the “back to school season” according to an article from the Cincinnati Business Courier. The article says that even though digital signage is taking off in hospitals, universities and major retailers like Wal-Mart and Target, the department stores and smaller retailers have been slower to adoption. And by doing so, are missing out on opportunities.

The maturing of digital signage

Ajay Chowdhury contributing writer
• 18 Aug 2009

Digital Signage – 10 Top Trends for 2009 Revisited

Despite the recession, digital signage industry growth remains on trend through mid-2009, with new players entering the industry and agencies and brands increasing their investments in digital out-of-home advertising.

By Keith Kelsen

In January 2009, I wrote an article titled “10 Digital Signage Predictions for 2009.” As we’re now halfway through the year, I thought I would revisit my predictions to see what I had missed, what had I predicted correctly and what incorrectly.

As it turns out, I scored an 8 out 10, having missed two trends that are now apparent. Following is a revised Top 10 (plus one additional) Trends for 2009:

1. Content is the next main talking point for the industry
I am still very bullish on this prediction, and given the amount of attention focused on content in trade events, discussions and shows, content is THE No. 1 issue of the year (and I believe for decades to come). As my industry colleague Lyle Bunn observed at the Digital Signage Expo (DSE), “Content was of primary education and exhibit focus for the first time at an industry-wide event.” Further underscoring the ongoing importance of content, in a Web survey my staff conducted, only 47 of 227 companies claiming to create digital signage content actually could provide samples demonstrating a basic understanding of digital signage content.

2. Traditional broadcasters are getting into the Digital Signage marketplace
This trend is becoming increasingly apparent. At the 2009 National Association of Broadcasters Show, Harris, a traditional TV hardware manufacturer, announced the advent of Punctuate to provide digital signage solutions for a McDonald’s pilot. Wegener Corp., a leading provider of equipment for television, audio and data distribution networks worldwide, announced at DSE this year that it was introducing the WEGENER iPump 525 IP Media Player and WEGENER Compel Connect for digital signage. We see CNN Health News and ABC Health News transmitted in digital signage deployments across hospitals and doctors’ offices. NBC also creates content for college campus networks. A number of production companies also have entered the creative side of the equation to do what they do best: Create content.

3. Agencies are awaking to the power of Digital Signage
A number of agencies are being turned upside down given current economic volatility and need to rethink strategies for achieving the best Return on Investment (ROI) for their ad dollars. Jack Sullivan of StarCom Worldwide (one such agency) had this to say about the Digital Signage Expo: “DSE was relevant, provocative, a harbinger of new digital media choices and reflective of the emerging array of new and exciting media.” Other well-known agencies attended DSE and the Kioskcom/Digital Signage Show to help them further understand the opportunities of this new medium. Gwen Morrison, WPP (The Store), said, “Digital Signage Expo had a great mix of industry, agency and brand advertiser representatives, and provided the latest news on technology and communications applications.”

At the recent Strategy Institute “Content Summit” on Digital Signage, there were more than a dozen agencies presenting or in attendance. And last week, Enqii declared itself in the “agency business,” which followed MediaTile’s announcements of its agency content training program and its role as the Ad Council’s new clearing house for PSAs (Public Service Announcements) for digital signage at PSAcasting.org. Companies such as SeeSaw Networks and Adcentricity continue to achieve large gains on the agency side by capturing budgets for aggregated networks.

The real proof point? TV upfronts are down. Barclays Capital predicted in April that upfront spending would decline 15 percent from 2008 to $7.4 billion. In the U.K., advertising revenues to the television companies are forecast to be 14 percent lower this year than 2008. Newspapers are off 28 percent in the U.S., and digital signage network ad sales are up as much as 40 percent for a number of networks on the one hand, while some are folding on the other.

4. Brands are shifting money to this market from traditional TV
For brands, the real proof points are scattered around the world, in retail outlets, stores, chains, and other locations. More and more we see brand displays incorporating digital signage networks and their own brand TV-like channels at the shelf. Samsung is an example of a brand sold on Digital Out-of-Home (DOOH) and their recent new product launch campaign was 95 percent comprised of DOOH media. According to Rob Gorie of Adcentricity, the results were “fantastic.” These are real proof points that will drive brands and their agencies to digital signage “buys.” The trend of reallocating budgets from TV to the shelf and DOOH networks is progressing. (Budgets also are coming from traditional Point of Purchase.) Major players are spending aggressively now to maximize their ad dollars and protect their brands.

5. Cross-platform and interaction with cell phones is critical
So far this year we have seen a few outdoor applications involving mobile SMS and digital signage, including OutCast (formerly FuelCast). There are signs of change, however. Danoo is rolling out to 100 locations. “Download rates tend to be below 1 percent online, but we’re seeing 3 percent,” said Doug Scott, VP of marketing for Danoo. For those users who set their mobile phones to “discoverable mode,” making it easy for them to receive messages, download rates soared to 30 percent, he said. Twitter and tweets are increasingly popular and pervasive, and digital signage vendors are moving quickly to integrate this and other social media. At a recent Auto show, Volvo used Twitter and brought the results to digital signage. This trend is inclusive of mobile, but with a new Twitter-twist.

6. Interactivity and measurement
Here, we have seen impressive rollouts (over 300 in some cases) involving touch screens across retail with brands. Touch screen interactivity is being used for Touch Tune’s and E-Cast’s networks in bars using juke boxes. We have seen some very cool gesture-enabled interactions. However, this has not reached scale as of mid-year. I expect more to come from this very exciting area for digital signage in the remainder of 2009 and 2010.

7. Data-driven content or ad search for DOOH
Technology is definitely starting to conquer this opportunity, and there are a few companies doing something about it. The real question is when the software is in place, how will content be created, tagged and placed on the network? I expect to see content created in a more layered fashion, and digital assets locally assembled in more automated ways.

8. Cost of LCD and players is entering next phase of cost down
Clearly, overall costs are coming down…but right now LCD pricing is slightly on the rise.

9. Consolidation and failures will continue
The industry is in a state of contradiction, enduring some layoffs and failures, while at the same time supporting large scale rolls-out and awarded contracts. The industry is defying economic “gravity” in terms of growth, but there are simply too many companies competing for business, with even more entering the space from outside. I am still of the mind that the industry is headed for increasing consolidation.

10. Growth for the industry is positive
Sales are up compared to 2008. I continue to see the growth despite the contrast of failures. This is a common theme in an industry that is on its way up.

11. The print industry seeks digital
This is a new prediction and one of importance I have seen several news items that indicate this as a viable trend. The first example: a deal between Fast Signs and Scala. Here, a traditional sign company is looking to capitalize on the overall success of digital signage. As with all acquisitions, this will require a fair amount of training for internal employees to overcome a significant learning curve. Another interesting and recently announced “print-related” deal comes out of Canada. ICON Print’s (large format printer for environmental graphics, retail POP, grand format outdoor banners, vehicle graphics and fabric printing) acquisition of GridCast, a digital signage integrator.

Keith Kelsen is founder and chairman of Scotts Valley, Calif.-based MediaTile Co., which he founded in 2002. MediaTile is a worldwide supplier of award-winning, all-in-one cellular digital signage and kiosk solutions with deployments in more than 25 countries. Kelsen also chairs the Digital Signage Association’s Content Best Practices Committee and has received more than 20 content awards.

For additional viewpoints on the future of digital signage, read the responses of the Digital Signage Expo Advisory Board to the Question of the Month: “What are the next big advances in digital signage, digital out-of-home networks and interactive technologies that will have the most impact on our industry?”

Scala Powers Indiana University’s Digital Signage Network

BLOOMINGTON, Indiana – The number of digital signage deployments on university campuses in the U.S. has skyrocketed during the past few years. Earlier this year, Indiana University (IU) Bloomington joined the fray when it launched a campus-wide digital network to more quickly broadcast important news and information to students and staff.

With the aid of Digital AV, a Scala Certified Partner based in Fort Wayne, Ind., IU’s Auxiliary IT group installed 30 40-inch LCD monitors and computers powered by Scala digital signage software. The complete installation took less than one year to accomplish, and the network was fully operational in spring 2009.

“Digital media is not only modern and eye-catching to students, but it’s less of a hassle than printed materials,” said Aaron Sudduth, Senior System Administrator of IU’s Auxiliary IT Services. “It’s evident that the marketing departments have been able to reduce the cost of printing, and the real return has been on getting information to students and staff much faster.”

Users can access a Web-based template that can be used by any authorized Web browser to input the content into a Microsoft SQL database. This ability to remotely access the system brings great functionality to the system and is one of the most powerful components built into Scala Content Manager.

Using Scala software on the university network, IU Auxiliary IT now has the ability to drive more than 30 channels of individualized content to numerous screens all across campus. Currently, LCD monitors are located in all 12 campus dormitories, food service areas, parking operations and the IU Memorial Union Building. Additionally, one digital signage channel is tied directly to the TV cable network within the Memorial Union hotel to display meeting announcements and other upcoming events in each meeting room.

Moving forward, Auxiliary IT would like to integrate digital signage with IU’s emergency alert system, which is currently set up to send emergency text and e-mail messages to students on the go. Additionally, IU plans to investigate ways to harness this technology as a digital way-finding system for the Student Union.

For more information about Indiana University’s digital signage network, please visit this link.