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DRE Conference Session Summaries Part I

Filed under: Digital Signage — Josh Coffman @ 12:13 pm on Monday, May 22, 2006

The Digital Retailing Expo offered an International Summit Conference program comprised of three learning tracks with a total of eighteen sessions. Each attendee had the opportunity of choosing six sessions, three for each day. Each session included several panelists and industry learders which all spoke on a similar topic and then the forum was opened up for Q&A with the audience at the end. In this article I will summarize key findings from the sessions I attended. Part I will review sessions from Wednesday.

Session 2 - Measurement/Impact of DS: Real Results, Real Metrics

Speakers: Barnaby Page (AKA.TV), Rob Winston (Arbitron Inc.)

For advertiser-driven networks, companies must hire a media savvy salesperson. Most dollars that will be spent on a digital network will come from Out of Home, Outdoor, or Alternative media budgets. To capture these dollars, salespeople need to tell a compelling story and demonstrate their unique network value proposition. To build credibility, digital signage network owners should turn to renowned third party research companies such as Arbitron or Forrester.

Standard metrics such as reach, frequency, and comparative CPM evaluated in conjunction with a ROI driven by awareness, acceptance, and effectiveness will determine the viability and adoption of the medium. In addition, for most advertisers, awareness is more important than sales lift. Network owners and operators should focus on communicating the unique advantages of the medium, such as its ability to cut through the clutter and put the message in the consumer’s path, it’s high recall rate, and it’s ability to deliver timely, relevant, and helpful information.

Session 5 - Content Development Challenges and Best Practices

Speakers: Lauren Moir (Alchemy), Jeff Porter (Scala), Rudy Alexander (The Elevator Channel, Inc.)

Lauren Moir provided a lot of great insights by discussing everything from the consumer’s point of view. She stated that the customer is saying that it is all about them and the art of retailing has shifted to the art of me-tailing, revolving around consumers’ lifestyle needs and wants. To ensure quality and relevant content on a digital signage network, there must be a hierarchy of standards which must all align (brand standards -> audience network standards -> playlist standards -> spot standards). The length of each spot must be carefully determined for each network as well. In addition, network operators must avoid real estate grab, with content strewn everywhere, else it will be tuned out by the consumer. Instead of only thinking in terms of ROI, companies must think about return on objectives (ROO), which includes ROI, brand influence, marketing, customer loyalty, and perception.

Content challenges include digital rights management, finding the perfect mix of graphics, video, and animation, and continually feeding the network with updated, relevant messages.

Session 7 - Hospitality Best Practices

Speakers: James Lavelle (Watchit Media), Anna-Lisa Mantesso (Mantesso Marketing & Communications Network)

This was the session I was most looking forward to, as it was a new addition to this year’s program and focused on the hospitality industry. Watchit Media, out of Las Vegas, spoke about their in-room private television network which is currently installed in about 100,000 rooms. The network consists of brand ads, 3rd party ads, and programming on the area’s attractions. James Lavelle spoke about the opportunity, citing 4.2 million hotel rooms and minimal investment. However, I’m not convinced that hotel guests actually watch these private networks. Would they watch something similar at home? Also, with the new trend in the industry of making the hotel lobby a focal point of interaction and a social hub, I believe there is much more opportunity in the lobby and common areas. In addition, the Watchit network is in fact television. Digital signage is not television. It is a new medium that must be treated as such.

Anna-Lisa Mantesso, former VP of Sales & Marketing for Hilton Canada, spoke about her involvement with the digital network recently installed in various Hilton franchises across Canada. Dubbed the Hilton MediaMatrix, the goal of the network was to revitalize the core Hilton brand, not deliver specific messages to the various members of the Hilton family. My concern with the network is that each individual brand should have their own sub-campaign. DoubleTree hotels and Embassy Suites should have specific content relevant to their unique brand. Also, should Hilton corporate control the network and playlist or should the hotel owners? What if a large REIT wants to cross promote a Marriott inside one of their Hilton properties? Surely Hilton wouldn’t approve and it would intially add to consumer confusion, but consumers aren’t as loyal as the hotel brands think. They want consistency in service, and if they can attain that through various brands within an individual owner or operator, they will.