Digital signage helps retailers adapt more quickly to consumer demands, Bob Rosenberry, visual solutions manager at HP, tells Tech Sunday.

The retail environment in Western Europe is changing rapidly. Product and trend lifecycles are becoming shorter and more dynamic, with retailers having to respond and adapt quicker than ever.

Always-connected consumers are better informed about product choices by the time they reach the store. Consumer expectations are also evolving – they expect easy access to information in-store along with an enhanced shopping experience.

Retailers face increasing competition from their large counterparts and are having to find creative ways to lure customers in-store and increase the number of potential customers.

Features like digital signage displays are starting to have a huge impact on how these retailers promote their goods, transform the look and feel of their stores and differentiate themselves from the rest of the high street stores.

Do you think the digital signage market has been fully developed?

The digital signage market has come a long way. We are now seeing more mature business models and providers of various types starting to find vertical strengths and excel within their niches.

The overall ecosystem consisting of software, hardware and services companies is also sorting itself out into more defined roles and a more traditional value chain is emerging. For example, a few years ago, a digital signage software company may have had to also play the role of system integrator and content provider, simply because they couldn’t find outside expertise.

Now we have an ecosystem of companies concentrating their efforts around things like content, system integration and national rollouts. The participation of big multi-national solution providers like HP marks another step in the industry’s maturity and will accelerate its growth.

What are the new applications of digital signage?

I’m most excited by interactive and personalised experiences that meet shopper’s needs and let store customers interact and transact with retailers on their own terms. For example, we see retailers using digital signage to increase store revenue by integrating inventory or other store system information to deliver targeted promotions and information that are more relevant to their customers.

What ways do you think are most effective for engaging the viewer?

Consumers are very media-savvy, so something seen as just another advert is easily ignored. But the reality is that every shopper and visitor is actively seeking relevant information when entering a store or facility – signage and in-store media can provide that information and provide an immersive experience.

What lessons have been learnt from the early days of digital signage?

Quite a few lessons have been learnt. First and foremost is that while we have always recognised that digital signage is not television, some early implementations did not reflect that reality and resembled a television network business model with screens up above shoppers’ heads essentially playing adverts. Now retailers understand that screens should be brought closer to the shopper, both literally and figuratively in the form of more relevant content and interactivity.

Second, we’ve learnt that return-on-investment is a proven reality and developed business models and content strategies to exploit this. I think we’ve also learnt a lot more about shopper behaviour and expectations around digital signage and network owners are making smarter choices about how to better engage with customers

What role do you think digital signage plays in promoting loyalty?

The most actionable way that digital signage can promote loyalty is by interfacing with and extending the reach of existing customer loyalty programs. Some of our software partners are pursuing interesting innovations that link signage and in-store media to shopper loyalty cards to provide personalised in-store experiences that extend the reach of those loyalty programmes.

What is HP’s digital signage strategy?

HP sees digital signage as a strategic area of opportunity. HP’s overall strategy is to lead the industry by providing complete solutions for digital signage. HP has been a supplier of components such as players, servers and touch-screens for digital signage projects because we are often the preferred technology vendor for network owners. As a result, HP technology is already powering thousands of digital signage screens.

We have large format displays, touch-screens, player PCs, servers, networking and services to provide a complete solution or both large and small companies, supported globally by our service organisation and commercial warranties.

We’ve partnered with the best software, content and strategy companies in the business to create an ecosystem for comprehensive delivery of full solutions to retailers and other customers.

Are you optimistic about the outlook for the digital signage market in the months and years to come?

Very much so. Recent studies indicate a compound annual growth rate exceeding 20 per cent, despite recent economic challenges. It’s exciting to be part of a growing and dynamic industry and to be part of the HP team looking to accelerate that growth.