Digital Signage Business: What You Need to Start
Digital Signage Business: What You Need to Start
We are a visual society. The digital revolution is responsible for images, videos and messaging everywhere we turn, from large-screen billboards to technology at our fingertips. Information is all around us. The Nielsen company estimates that we watch six hours of video from various sources daily, and last year, it’s estimated that more than 1 trillion photos were taken. The point is, visuals grab our attention, which makes the digital signage business a lucrative prospect.
Digital signage, or electronic signage, is display technology like video screen and video walls with projection and LCD monitors that serve many useful purposes like advertising, sharing informational videos and providing directions. These visual images are seen in a variety of public and private locations and are highly effective in terms of connecting to consumers. The messaging is eye-catching and engaging, which maximizes communication, information, inspiration, sales and entertainment.
It’s a powerful and effective communication tool with high retention rates. An independent Arbitron study showed that more than 80 percent of people recalled what they saw on a digital billboard within 30 days of seeing it, as opposed to only 70 percent who recalled what they saw on a static billboard.
For entrepreneurs who really love technology and digital messaging, this is a good fit. Digital signage is where we are, and it’s only going to get more high-tech moving forward. The beauty of digital messaging is that it’s very engaging, easy to produce and easy to update. But like any business opportunity, you’ve got to have a plan, which in this case would include: knowing the equipment you need, employing graphic designers, purchasing the correct software, having ways to reach clients through a marketing plan, and of course, the capital to get this business off the ground.
How to start your digital signage business
The best way to get started is to create a digital signage business plan. The U.S. Small Business Administration offers a comprehensive guide for small business owners to create a do-it-yourself, general business plan. The plan should include an executive summary, company description, market analysis, organization and management, services you will provide, marketing and sales, and financing.
Next, you must decide on the software and equipment you need to get your business off the ground. NoviSign is a software giant in the industry because of its simplistic interface capability and range of features. You’ll want to ensure compatibility with your software and equipment. This can be a substantial price tag, which means the technology you purchase will need to grow with the applications. Tech professionals are constantly updating the best equipment since new software is coming on the market quickly. According to experts, that equipment will need to adapt as the industry adapts.
Ongoing costs: Delve into the digital details
Digital signage displays video, sound, graphics, and animation on monitors, projectors, and other multimedia devices. To make the most of this technology, you’ll need the best digital signage software to accompany your hardware devices, enabling you to control multiple screens remotely.
You will need to decide your fees based on software costs, design, installation, streaming, programming, labor and equipment. All those are variables that depend on what services you will provide customers. A two-screen set-up with high-end, commercial-grade LCD screens and supporting digital players with mounting begins at $2,000 and goes up in price. Many businesses you work with will consider up to a 10-screen set-up. By time you add in licensing, mounting hardware, installation labor, players and screen displays, it can run upwards of $25,000, with licensing billed annually.
Your digital signage business model is dependent on a lot of shifting factors. You may want to provide a menu of services ranging from design to installation. Pricing will depend on services offered and costs of equipment like screens, players, software and labor.
You need to know how you will attract clients. You may want to start off small, targeting a specific market. From there you can expand your client base. But as a small company, you don’t want to overpromise and under-deliver. Better to focus on a specific business or industry.
Explore the Image360 franchise opportunity
Opening an independent digital signage business is a very complex under-taking. A less-complicated option is to own a digital sign franchise. You can own a Franchise Center with Image360 through purchase, conversion or add-on.*
At Image360, we are experts in the sign and graphics industry. We are a B2B company taking care of messaging needs for our clients from collaboration and consultation to design and installation.
Our expert teams focus on delivering superior quality signs, graphics and displays, all while ensuring we meet the clients’ timeframe and budget.
Our digital displays are a dynamic way to deliver advertising, directions and information. Aesthetically enhanced images, large-format monitors and HDTV displays offered by Image360 are increasingly popular for use as signage and in conveying other visual communications.
Own an Image360 franchise
When you own an Image360 shop, we do all the heavy lifting. You are equipped with expert training through our New Owner Training Class and ongoing assistance. You follow our proven model and skip all the steps of trying to go it alone with a startup business on your own. You have all the benefits of business ownership while partnering with a reputable brand name.
If you want to learn more about Image360, submit this form and let’s get started.
*Not all business models available in Canada.