What Is Digital Signage?

how digital signage works
how digital signage works

Did you know that digital signage reaches 135 million people a week? The adaptation of digital signage solutions continues to rise steadily, with 60% of enterprises planning to invest in digital signage in the next two years. So, what is digital signage?

What Is Digital Signage?

A segment of electronic signage, digital signage can also be defined as screens or monitors that use technologies such as LED, LCD, and projections to display videos, images, text, and multimedia content digitally. Digital signage board is widely used in public spaces for wayfinding, advertising, marketing, and educational purposes. In addition, it can be used as a network of digital displays that are centrally managed, but at the same time are also capable of pushing different content to each screen for their targeted audiences.      

What Can Digital Signage Do?

Now, you know what is digital signage. The next question is: what can digital signage do for businesses? Digital signage offers an excellent way to attract attention, advertise your brand, and get information to prospective customers. Here is what digital signage can do for businesses:

1. It Disseminates Information

Unlike static traditional signs, digital signage offers you a way to deliver all types of content to your target audience in a captivating and attractive way. The displaying content can be sale promotions, wayfinding information, or anything you want to let your target audience know. You can include any visual aspects with your content, such as images, videos, and vivid animations.

On top of that, digital signage solutions can be used to deliver strong branding messages during the entire customer’s purchasing journey. By establishing a clear branding image, you create a better branding reputation among the customers and raise customers’ loyalty towards your band. 

2. It Bridges Emotions

According to research by Antonio Damasio, a professor of Neuroscience at the University of Southern California, human emotion is crucial in decision making. The study showed that a person would rely on previous experiences to face situations and make current decisions. You will utilize the emotions for the past choices and create preferences. This process is so hard-wired into the brain that people who have damaged links between thinking and emotional sides of the brain (usually from a surgery) may be unable to make decisions. 

So, how does the world of neuroscience affect how digital signage works? Clients face a wide range of decisions to make at every location where companies deploy digital signage. The use of movement and the vibrancy of the digital signs will evoke an array of emotions. Moreover, the use of movement, vivid colors, and brightness often create a fascinating display that sets the viewer in the right emotional state to be open about trying new products. 

3. It Increases Visitors' Engagement

Today, the market is changing rapidly: Customers want premium goods and services at affordable prices with excellent customer experience. Business owners need to adapt to the changing market and offer what their target customers are looking for in the market. That can be challenging to tackle and fulfill. 

That’s where digital signage comes in. With cloud-based digital signage systems, business operators will be able to make any prompt changes to their digital signage based on real-time data anywhere with an internet connection. This way, businesses can ensure their digital signage delivers the right message to the right people at the right time.

Let’s also not forget that digital signage also delivers information appealingly and vividly. Consider including bold colors, exciting light patterns, and precise screen layouts to grab the attention of passersby and keep customers engaged. 

What Is Digital Signage for Different Industries?

Digital signage has proven to be an efficient communication channel. But have you wondered what is digital signage for different industries? Here are a few examples:

1. Restaurant

digital menu boards _ hospitality digital signage

What is digital signage in the restaurant aspect? The restaurant industry often refers to digital signage as digital menu boards. Digital menu boards offer restaurants, whether dine-in or quick-service restaurants, a reliable and flexible way to manage and update their menus. Business operators can make price adjustments, schedule ahead and launch campaigns, and update menu designs anywhere at any time.

2. Retail

Choosing the right mall digital signage blog_ what is digital signage

What is digital signage for the retail industry? Digital signage for retail is a reliable marketing tool to help businesses share promotional campaigns, attract customers, and raise brand awareness. As a matter of fact, 64% of digital signage users reported significant improvement in customer engagement as the main benefit of digital signage.

Digital signage for retail comes in many forms: standalone kiosks, video walls, window displays, store displays, digital shelf-edge displays, digital advertising power banks, and more. Continue to read more on the 8 Types of Digital Signage.

3. Hospitality

hotel digital signage with social media

What is digital signage for the hotel industry? Hotel digital signage helps hotels connect with their guests effectively and enhances the overall guest experience. Moreover, hotels can use digital signage to deliver information, guide guests to where they want to be, promote amenities, foster local or global partnerships, and more.

4. Banking

5 tips for Bank Signage lobby displays

What is digital signage for the banking industry? Banking digital signage is a great communication tool to help banks share financial products, show limited-time offers, introduce financial advisors, and deliver other financial information to customers. The survey revealed that over 65% of banks use digital signage to communicate with customers. Among the information shared with the customers, 75% of the messages are related to banking.

5. Education

school signage displaying inspiration motto

What is digital signage for the education industry? As the technology evolves, many educational institutions have invested in digital signage. As a matter of fact, 87% of educational institutions, including K-12 schools, have already launched digital signage systems in their lesson plans to foster better communications.

School digital signage is a reliable tool for schools to build better communication between students, teachers, and staff. Read more about How to Leverage Digital Signage Solutions for School Education.

6. Healthcare

hospital digital signage _ what is digital signage _ healthcare

What is digital signage for the healthcare industry? Digital signage is an excellent internal communication tool to ensure everyone has access to the latest information. Healthcare digital signage also keeps the patients entertained, reduces perceived wait time, and frees up time for the medical team to perform urgent tasks.

Nearly 70% of hospitals now provide digital communication systems. Continue to find out the Top 9 Ways to Use Digital Signage Solutions for Hospitals.

Bonus: How Frequent Should Businesses Update Their Digital Signage?

Within a few clicks, digital signage management software allows a business can execute different marketing strategies tailored for various target audience groups. However, other than the question of what is digital signage, another common question business owners have is the frequency of updating their digital signage displays and the media players.

Most people live by the saying, “If it ain’t broken, don’t fix it.” However, that is not the right concept. Even if a solution is not malfunctioning, it is not the right solution for your business if it is time-consuming to manage. It is essential to recognize that keeping your digital signages and software up-to-date will bring you more benefits than sticking with old solutions.

Besides software and system updates, business owners should not use the same content all year round (that will defeat the purpose of having digital signage). Consider launching seasonal promotions and offers based on real-time data or introducing new digital signage designs to give customers a fresh look. The frequency to update the screens’ content will depend on the industry, the objectives, and the budget businesses have in mind.


Digital Signage is a powerful tool for all industries to deliver any messages target audience effectively and efficiently. Research has shown that digital displays capture 400% more view than static displays and that 80% of brands that use digital signage achieved a significant raise in sales by up to 33%. The impact and benefits of digital signage cannot be overlooked. It is important to consider the industry, the psychological, and financial aspects when it comes to deciding how digital signage works for you. Once you figure out how digital signage works and how it applies to you, then you are ready to start your digital signage journey and bring your business to the next level.

You can learn more about NexSigns Digital Signage solution and connect with us on FacebookLinkedInTwitter, and YouTube to get the latest info on digital signage!

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