Digital Signage in 2024: Industry Trends and Statistics

Introduction

The digital signage industry has been growing steadily since the late 1990s, and is now a ubiquitous sight across both public and private sector spaces. When considering digital signage statistics, it’s clear that from airports, hotels and retail stores, to corporate offices and healthcare centers, digital signage content has been embraced with gusto.

In 2022, the global digital signage market was valued at $24.86 billion. And the forecast looks good for growth, with studies suggesting an 8% compound annual growth rate bringing the estimated value to around $40 billion by 2030.

As new technologies and uses emerge, not least AI, the market growth of the digital signage industry continues its steep upward trajectory. And why not? Digital signage is both highly engaging and a cost-effective medium to convey a wide range of messages. In fact, its versatility means that the demand for digital signage is only going to increase as more businesses realize the benefits of using digital displays.

Digital signage is also incredibly simple to setup. Which is game-changing for companies who were once reliant on specialist hardware and complicated content management systems. Now, with any media player like an Amazon Fire TV Stick, you can easily turn any screen into a visual noticeboard or promotional screen.

Digital Signage Trends and Statistics for 2024

Global Market Overview

The global adoption of digital signage has been steady. However, several markets such as Europe and Asia Pacific are expected to contribute to a larger chunk of the digital signage market size in coming years as they catch up with the North American market.

1. North America is expected to continue to grow, maintaining its leadership position.
2. Europe is the fastest growing, with the digital signage market forecast to grow by an annual growth rate of 17.3%.
3. Key players across LATAM, Africa and the Middle East are expected to boost growth by around 11.29% CAGR.
4. The Asia Pacific region is set to be a significant contributor, driven by rapid urbanization and infrastructure development.

When we consider the adoption of technology as part of the high-cost projects we’re seeing across countries such as Saudi Arabia and the other Gulf States, it looks like electronic displays may even see an exceptional uptake as part of this local regional outlook.

Industry-Specific Trends and Statistics

Retail

Retail is often ahead when it comes to embracing digital technologies, and it’s no different with digital signage:

1. Over 40% of shoppers say that digital displays can change what they buy because relevant information is served close to the point of purchase.
2. 44% of shoppers admit to social media increasing purchasing decisions.
3. 8/10 customers have entered a store because of digital signage catching their interest.
4. Retail is the fastest growing area for digital signage networks.
5. Digital signage solutions offer a cohesive brand experience between a business’s digital and physical presence.
6. 81% of Gen-Z shoppers prefer to visit brick and mortar stores for their retail therapy.

Burberry’s flagship London store is a prime example, featuring mirrors that double as video wall digital signage displays, staff armed with iPads, and RFID-enabled screens that trigger related catwalk footage when products are taken into a fitting room or near a screen.

Advertising

Digital signage is proving to be a powerful advertising medium:

7. US digital ad spend is expected to continue growing year-on-year. Between 2023 to 2027, the average spend is expected to grow by 50%.
8. Digital media in public venues reaches more customers than videos on the internet or Facebook.
9. 68% agreed that digital advertising would influence their decision to buy advertised products in the future.
10. 71 percent of people said they felt advertising on digital billboards stood out more than online ads, and 46 percent said they were more prominent than even television ads.
11. Digital signage has a recall rate of 83%.
12. 20% of people will read the text on a page, but 80% of people will watch a video.
13. A 23% increase in brand awareness is observed when full motion digital out of home advertising (DOOH) is added to social media ad campaigns.
14. LED advertising signs pull in 1000 impressions for a mere $0.15, making it the most cost-effective form of advertising, according to the Small Business Association.

Hospitality

Digital signage is transforming the hospitality industry:

15. A guest’s impression of a hotel is formed in the first 10 minutes of arrival.
16. Digital media helps minimize wait time — or at least helps customers perceive that their wait is shorter.
17. 55% of travelers indicated they would be more likely to visit a hotel that offered self check-in kiosks.

Education

Educational institutions are leveraging digital signage for enhanced communication:

18. 73% of educational institutions see digital signage as crucial for the future of communication.
19. 65% of school children use a smartphone and 47% use a tablet on a daily basis.
20. 96% of students say that video increases the learning experience.
21. Applying technology to education helps students to reduce stress (45%), improve confidence (46%) and efficiency (57%), while also helping students to better prepare for class (67%).

Corporate Communication

Digital signage is proving invaluable for internal communications:

22. Good internal communication drives 25% higher employee productivity.
23. 56% of internal communication teams are considering increasing the use of digital signage within their organization.
24. Digital Signage has a 47.7% effectiveness for brand awareness.

Restaurants

The food service industry is leveraging digital signage to enhance customer experience:

25. 74% of customers say an easy to read menu is an important part of the experience.
26. 80% of adults have seen digital signage in the past month and 70% subsequently made an unplanned purchase.
27. 29.5% of customers find digital menus influential for purchase of products.

Tradeshows

Digital signage is revolutionizing the tradeshow experience:

28. 93% of consumers find user generated content (UGC) to be helpful when making a purchasing decision.
29. 1 in 4 event professionals already use tablets for registration and 60% of event planners rank on-site technology as important as a good internet connection.
30. 58% of US marketers use social media to engage their target audience during timely events as part of their real-time marketing engagement strategy.
31. Event technology can help increase event attendance by 20%, increase productivity 27%, and decrease costs 20-30%.
32. Video walls have become one of the biggest growth areas in the digital signage market, with their adoption growing by 16% since the end of COVID, and forecast to grow by a CAGR of 11%.

Healthcare

The healthcare sector is increasingly adopting digital signage for improved patient experiences:

33. 75 percent of those viewing a digital sign in a hospital could recall at least one message.
34. Digital signage can cut perceived wait time by up to 35 percent in a healthcare setting.
35. Using distraction in clinical environments has been shown to reduce perceptions of pain, lower anxiety and stress, and benefit clinicians.
36. 83% of patients spend a significant amount of time interacting with a hospital’s digital content.
37. 78% of patients actively seek out digital health solutions when they are available.
38. 7/10 hospitals now provide digital messaging systems.
39. Digital signage reduces workplace injury by 20%.

Gym & Spa

Digital signage is enhancing the fitness and wellness experience:

40. Digital signs keep customers in your establishment longer.
41. Studying while moderately exercising may help individuals retain information better.
42. Social media motivates people to exercise.

The Rise of AI in Digital Signage

Artificial Intelligence is set to revolutionize the digital signage industry:

43. A study by McKinsey found that 71% of consumers expected brands to personalize interactions. Those brands that do embrace personalization in their marketing see up to 40% more revenue compared to those that don’t.
44. Experts expect to see more interactivity in the digital signage market within the coming years. This will likely be driven by emerging technology such as AI as well as underused technology such as augmented reality (AR), facial recognition and motion interaction.

Emerging Trends for 2024 and Beyond

1. 5G Integration: The rollout of 5G networks will enable faster, more responsive digital signage systems, allowing for real-time content updates and improved interactivity.
2. IoT and Smart City Integration: Digital signage will increasingly become part of larger IoT ecosystems, particularly in smart city initiatives.
3. Sustainability Focus: As environmental concerns grow, expect to see more energy-efficient displays and eco-friendly materials used in digital signage hardware.
4. Enhanced Data Analytics: Advanced analytics will provide deeper insights into viewer engagement and content effectiveness, allowing for more targeted and efficient messaging.
5. Touchless Interfaces: In response to health concerns, touchless interaction methods like gesture control and voice commands will become more prevalent.
6. Personalization at Scale: AI-driven personalization will allow digital signs to display content tailored to individual viewers or specific audience segments in real-time.
7. Integration with Mobile Devices: Expect to see more seamless integration between digital signage and mobile devices, enabling interactive experiences and personalized content delivery.

Conclusion

The digital signage industry continues to evolve rapidly, driven by technological advancements and changing consumer expectations. From retail to healthcare, education to corporate communications, digital signage is proving its worth across various sectors. As we move further into 2024 and beyond, we can expect to see even more innovative applications of this technology, with AI, IoT, and data analytics playing increasingly important roles.

The future of digital signage looks bright, with personalized, interactive, and data-driven experiences becoming the norm. Businesses that embrace these trends and leverage the power of digital signage will be well-positioned to engage their audiences effectively in an increasingly digital world.