Industry Trend Analysis
In 2012, the global digital signage market was valued around USD 12.50 billion and is anticipated to reach approximately USD 21.46 billion while maintaining a compound annual growth rate (CAGR) of 4.98% during the forecast period owing to rising demand for the digital advertising of services and products in order to draw the target audience’s attention in an useful manner. The development of innovative products like leak detector systems, home monitoring systems, etc. together with complex monetary products like forex cards that require succinct and informative advertisement matter are few of the driving factors that are expected to fuel the digital signage demand. Additionally, there is an increasing demand for implementing superior products that need digitized information guidance and management which can be accessed from distant locations. This is among the major drivers projected to drive the global market during the forecast years. Digital signage presents the essential quality information to a huge amount of viewers by using big display screens around the location with a focused target audience. Eventually, the rising awareness amongst the consumers about the complexity and drawbacks of conventional advertising like short-lived print marketing is prompting the adoption of digitized advertisement. Moreover, the novel efforts contributed by the researchers, display designers, and promotion agencies are spending extra on the development of the display technology of digital signage. So, all these factors are consecutively anticipated to boost the growth of the global market. With the evolution of LED, OLED, LCD, and Super AMOLED as well as the innovations in display technologies, is fortifying market growth further. These technologies have contributed to the improvement of the advertisement content quality, hence impacting the target audience positively. The implementation of these sophisticated technologies by digital poster suppliers in display systems is estimated to fuel the global market growth. Though, the factors like hardware and software compatibility, electrical interface, connectivity, and networking are some general issues expected to hamper the smooth growth of the market.
Type Outlook and Trend Analysis
According to types, the industry has been divided into video screens, kiosks, video walls, digital posters, transparent LED screens, and others. In 2016, the video walls section reported for the major market share and this is estimated to persist during the forecast years. The kiosks and video screens section acquired an elevated industry share accompanied by the video walls section in 2016. The utilization of these kinds of digital posters is better than the other types due to the factors like ease of installation & mounting, connectivity, and low price. Video screens and walls have seized a key market share over public places such as shopping malls and other. Kiosks are normally used to render information and for promoting in retail verticals and institutes. Though, transparent LED screens are forecasted to experience the maximum growth rate during the approaching years. Transparent LED screens are skilled for presenting a clearness level further than 80% along with the high resolution. Furthermore, they are sufficiently proficient concerning energy, hence, contracting consumption of energy and optimizing the fixed cost spending of users. All these factors are expected to boost the transparent LED screens demand during the forecast years.
Component Outlook and Trend Analysis
According to components, the market has been divided into software, hardware, and services sectors. In 2016, the hardware components section ruled the global market and is expected to retain its position during the projected period. The hardware requirement is massive as compared to software, and hence, the sector reports for a huge industry share. Accompanied by the hardware components section, the software section reported for a significant industry share. The software section is forecasted to demonstrate a stable growth during the forecast years. The services section registers a relatively lesser demand due to fewer service and maintenance issues taking place in digital signages. The internet connectivity and installation of a digital display are the key services concerned here. Thus, the service benefits are pretty cheaper than the software and hardware demands, contributing to a smaller industry share.
Application Outlook and Trend Analysis
According to applications, the global market is classified into corporate, retail, banking, education, transportation, and healthcare sectors. In 2016, the retail sector reported for the highest market share. The retail section is the most important sector requiring digital advertisements so as to promote and market services and products. The rivalry between the retail merchants due to the range of product benefits in the market has contributed to the increasing awareness levels regarding efficient marketing strategies. Hence, digital posters are used widely by the retailers since digitized advertising is an efficient approach to promoting a product, which draws the consumers’ attention. Further, the banking segment is another important use of this technology. This is assigned to the wide existence of ATMs, banks, and other bank-related facilities like e-banking centers. This sector is expected to show growth at a stable pace and must keep on bestowing constantly to the global market share. The transportation segment involves the application of digital posters & promotions at railway stations, airports, bus stands, and metro stations. Due to rising improvement in the transportation sector and the increasing urbanization in developing nations, the advertisement market is anticipated to expand, eventually boosting the growth of the global market.
Location Outlook and Trend Analysis
By location, the global market is segmented into out-store locations and in-stores locations. In-store locations involve the installation of digital posters inside closed places like banks, corporate offices, malls, healthcare centers, and retail shops. In 2016, In-store location reported for the major industry share. This is assigned to the massive demand from retail shops as the retail segment is the most assuring application of digital displays section for advertisement. The sector is forecasted to retain its spot in the global industry during the projected period and demonstrate growth at a significant pace owing to steady demand. Though, the requirement for out-store locations is projected to show extensive growth during the forecast years. Hence, the section is forecasted to contribute considerably to the global digital signage industry. The requirement at out-store locations is estimated to rise due to the emerging transportation segment in developing nations. In addition, the growing demand for advertising products efficiently and on a comprehensive together with new trends like introductory offers on products & services, election campaigns, and the escalating quantity of live shows & concerts are prone to boost the use of digital posters in open place.
Technology Outlook and Trend Analysis
The market has been segmented according to the technologies into the projection, LCD, and LED. LCD technology is among the most widely implemented technologies in the marketing & advertisement market. Thus, in 2016, it reported for the major market share. The easiness of manufacturing LCDs and their lesser production costs are some factors behind the widespread implementation of LCD technology in digitalized posters. Though, LEDs have made a mark as a normal product successfully with their high-quality display. Producers remain hopeful of the designing of larger, flat-paneled, slimmer, and brighter displays. LEDs are among the successful accomplishments in display technology. Further innovations in LEDs have contributed to the development of OLED displays which are projected to drive the global adoption of LED displays. Better picture quality presented by the OLED is expected to be an important driving factor for the growing demand. Though, the manufacturing costs and complex manufacturing method, along with a smaller lifespan of LED displays might hinder the growth of the global market. Projection display might be a front projection or rear projection. Projection display technology is estimated to demonstrate steady adoption and develop at a stable rate during the forecast years. The fact that the technology is slightly complicated in nature and hard to install, makes it less adaptive. Hence, the industry share for projection technology is relatively less, while the projection technology demand is rising and is anticipated to develop at a significant pace.
Regional Outlook and Trend Analysis
Europe and North America are jointly anticipated to lead during the forecast years owing to the rising presence of committed providers of industrial products and equipment. Additionally, the digitized display demand in the retail market is rising at a significant rate in these areas, which is driving the growth of global industry further. Countries like Germany, United Kingdom, and the United States are anticipated to demonstrate major growth, mainly due to growing R&D efforts contributed by manufacturers in an attempt to improve the advertising content quality. Moreover, augmented governmental initiatives to install digital signage in offices in order to retain constant information stream is yet again expected to propel the growth of the region. Though, the Asia-Pacific regional market is projected to conquest the European regional market by 2022. This expansion of the European market is assigned to the rising awareness levels amongst the regional population concerning digital signage benefits. India, South Korea, and China are predicted to show significant growth, mostly owing to the rising applications over offices, hospitality industry, hospitals, banks, and the retail stores. Also, the growing transportation segment in the Asia-Pacific regional market is expected to drive the market growth further. The increasing disposable earnings of the region’s population have contributed to a rise in a number of visitors to multiplexes and malls in the developing economies of Asia-Pacific region. Hence, market players are leveraging these opportunities with the intention of promoting their product benefits by utilizing of big displays, sequentially helping them to draw the objective audience in an efficient way.
Competitive Outlook and Trend Analysis
The major market participants in the global digital signage market are Microsoft Corporation, Omnivex Corporation, KeyWest Technology, Inc., NEC Display Solutions, Ltd., ADFlow Networks, Winmate Communication, Inc., LG Electronics, Samsung Electronics, and Panasonic Corporation. The advent of novel solutions is expected to drive the market during the forecast years. For example, Intel Corporation brought in Open Pluggable Specification (OPS) that has assisted in standardizing the digitized marketing plan. In addition, Japan’s Nippon Telegraph and Telephone (NTT) Corporation, produced digital signs with the help of aroma-emitting devices. The market players, by continuous innovation and R&D efforts, are also striving to formulate high-value and premium quality products at best possible cost to achieve a competitive benefit in the price-sensitive industry.
The global digital signage market is segmented as follows
Transparent LED Screens
Other Signage Types
Rest of Europe
Rest of Asia Pacific
Rest of the World
United Arab Emirates
Some of the key questions answered by the report are:
What was the market size in 2012 and forecast from 2013 to 2022?
What will be the industry market growth from 2013 to 2022?
What are the major drivers, restraints, opportunities, challenges, and industry trends and their impact on the market forecast?
What are the major segments leading the market growth and why?
Which are the leading players in the market and what are the major strategies adopted by them to sustain the market competition?