I have been asked this question quite a number of times and thought I’d give my opinion on which areas you can make money in the digital signage industry. I have broken this up into the following areas:

Selling Hardware/Software

I believe this is an area that the majority of the IT and AV companies are getting into which has now become over saturated and too competitive. With the growing number of digital signage manufacturers and developers, choosing the right solution is also now becoming more difficult. There are too many options available on the market. Each system has it’s own features and issues so choosing the most suitable solution has now become more difficult. I don’t believe there is a one size fits all solution on the market and please don’t try to convince me. I’ve seen and tested quite a number of products, both hardware and software packages and they seem to be either too limited in it’s capabilities or too comprehensive which equates to being too expensive. If you’re starting a business in the digital signage industry, selling hardware and software packages is not where the bulk of the money is unless you started at the early stages of the digital signage boom, or if you became a distributor of a well know digital signage company in your country. I don’t believe resellers make a lot of money just by selling another company’s equipment or software.

Now if you’re thinking of developing your own player then that’s worse. You’re going to struggle selling and and penetrating the market unless your solution is innovative and different from the others.

Maintenance

This is an area or service you would generally offer to clients who are purchasing hardware and software. The only drama is that a large percentage of clients do not think or budget for this particular service. It’s pretty much like selling life insurance to someone who doesn’t want it so if you have a good sales pitch and provide your client with this service then you may be able to earn some yearly revenue. The only catch is to make sure your hardware is reliable so that you don’t have to spend the time, money and resources to replace failed equipment. If its software, you may be able to charge an additional fee for upgrades and maintaining patches etc. I don’t believe there’s much money to earn from this aspect of the digital signage business.

Installations

This involves anything from installing the screen, digital signage player, configuring the software, network, cabling etc. These are one off costs and generally its for paying the labour costs – either charged per hour or per screen. So if your an installer you can make a bit of money from this but it’s not where the big $$$ are.

Content

There’s no point in installing a digital signage system if there’s no content. The saying “Content is KING” can be misinterpreted but in in the digital signage world content is important. There are different types of content e.g video, images, text, RSS feeds, MRSS feeds, news, TV and if you’re a designer, content producer or provider you can make quite a bit of money especially when content needs to be refreshed on a daily or weekly basis.  

Advertising Network

I strongly believe this is where the “secret treasure chest” is. Simply put, an advertising network is a collection of screens and an operator manages the contents on all of these screens. I know most advertising networks struggle in the first few years to make a reasonable profit but once they expand their screen and viewer coverage then they will be able to make a considerable amount of money. Advertisers are always looking at ways of marketing their new products and services and digital out of home advertising is an area that most advertisers are looking at spending their marketing dollars.

Building a advertising network can become costly at first (the operator covers the costs of all of the above areas) but the ROI is high if done well. It will be the most difficult and the most challenging but at the same time it will be the most rewarding.

Category: Digital Signage Blog News

Sometimes being a digital signage solution provider can be a tough and challenging job. Not only do you have to represent the company you’re selling the product for but you’re also consciously looking after the best interest for the client and here’s a typical dilemma:

One of our clients requested a feature to a digital signage software component which wasn’t that much of an issue except we required the services of the digital signage software company and there was a cost associated with this feature (the client was happy to pay for this). But all this came with  a little  unanticipated catch – the client was required to upgrade to the latest version of the software before the modification patch would work. Many of us might be thinking,  “That’s easy, there’s no harm in doings so as the latest patch will resolve and fix previous bugs”…. Ummmmmm…. WRONG!!!

By upgrading the software we found quite a number of bugs and spend quite a number of hours investigating and then reporting the issue to the manufacturer whilst the client had to workaround the problem. Fortunately, we provided the client with a test environment and didn’t upgrade the development system with the latest software.

I’m not sure whether many of you have experienced this but upgrading to the latest version can actually introduce new bugs. What’s worse is that a considerable amount of time can be spent investigating the issue and the  time for this may not be chargeable – who do you charge for this type of work…. the client who has already paid for a working solution ? or the digital signage company who supplied the dodgy software?

This is a tough one and I’ll like to hear from anyone who has been through this experience.

So there are a few lessons that I have learnt from this:

1. ALWAYS make sure you test the upgrade or software patch on a test unit or environment

2. ALWAYS back up your content or system before applying any patches as you’ll  never know the state of the unit after the reboot

3. PLAN for any changes you make to the system and carefully provide detailed rollback plans in the event the change failed

4. TRUST and have some faith that the developers have done their testing but acknowledge that they cannot test all the different scenarios

5. Make sure you charge someone for your work or include this as part of your Maintenance and Support costs… or even better get the manufacturer to conduct intensive testing with your configuration before applying any patches or upgrades

6. IF IT’S NOT BROKEN LEAVE IT AS IT IS… sometimes making a simple change can break the entire system… but if you’ve done the above point 2 & 3 correctly then this shouldn’t be an issue.

Have you been in this situation? Tell us what you think.

Feel free to submit your answer as a comment.

Category: Digital Signage Blog News

Who are we?

We are a group of technology enthusiasts who are passionate with the uses of gadgets and nifty pieces of equipment.
When digital signage came into our picture, we got excited and decided to take it for a ride. In fact, with the tremendous popular rise of digital signage and its applications everyday, it has now become part of our profession.

Our first success was Advertise Me, an established digital signage company in Australia.
Through establishing many clients and partners, we created the Digital Signage Portal.
And if that wasn’t enough, we decided what the heck – let’s blog about it!

So what is this Blog about?

We have been operating in the digital signage industry since its birth in Australia, and have come across many experiences in this line of business.

Apart from working, we also obtain many useful sources of news and information that we think would be beneficial to the digital signage community.

So where else would we collaborate all our experiences and news? Right here of course!

Contributors

There are currently several contributors to the digital signage blog.

From time to time we like to invite others to write something or submit a topic to us, and we will post it on the blog.
Having said that, if you would like to share a post with us, feel free to send it to info@digitalsignageblog.com.

Don’t forget …

To visit our Digital Signage Portal to interact with the digital signage community from around the world or visit the Digital Signage Articles for a mix of different digital signage articles from around the world.

Now if you’re looking to exchange links visit the Digital Signage Experts.

Category: Digital Signage Blog Info, Digital Signage Blog News

If you haven’t heard, in Australia the Federal Government is planning to spend 43 billion dollars to upgrade the Australian network infrastructure. What’s been interesting is the fact that the government did not award this project to any of the major Telcos – it will all be in house. Well this may potentially mean the infrastructure will not be monopolised by any of the Telcos. This is definitely a good thing for consumers.
Now if you’re a digital signage company you may be wondering how this may impact you. The first thing that popped into my mind was “more bandwidth…. means more bandwidth intensive applications can be used on the digital signage system”.

Here’s a list of things that popped into my mind when this was announced:

• stream or cache high definition videos to the screens – this includes live TV,  Foxtel, and even live events (Youtube has already introduced the Live Events program)
• develop real time applications on the digital signage systems
• shorter waiting times for content synchronisations
• integrate the digital signage system with wireless hotspots
• integrate with the upcoming digital radio services
• develop interactive applications that require low latency and high bandwidth
• real time monitoring of digital signage networks and quicker troubleshooting/response times

Seeing several opportunities, advertise me will hopefully launch several innovative solutions in the next couple of years so watch this space.

What innovative digital signage applications do you see taking advantage of high speed networks?

Feel free to submit your answer as a comment.

Category: Digital Signage Blog Info, Digital Signage Blog News