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Technology Planning Document V1.1small
1. 1
Table of Contents
Summary
1.0 Prelude ....................................................................................................... 3
Digital signage industry: ........................................................................................ 5
Limitations ............................................................................................................. 6
2.0 Needs ......................................................................................................... 6
2.1 Vision ...................................................................................................... 6
2.2 Mission ................................................................................................... 6
2.3 Business Model ...................................................................................... 6
2.4 Key Actors .............................................................................................. 7
3.0 Explore solutions ........................................................................................ 7
3.1 Network options ...................................................................................... 8
3.1.1 Advantages of Wi-Fi ........................................................................... 10
3.1.2 Disadvantages of Wi-Fi ....................................................................... 11
3.1.3 WiMAX Option: ................................................................................... 12
3.1.4 Comparison between Wi-Fi and WiMAX: ............................................ 12
3.1.5 Alternatives: ........................................................................................ 14
4.0 Hardware: ..................................................................................................... 15
4.1 Benefits of server based system ............................................................... 16
4.2 Mounting.................................................................................................... 17
5.0 Software ........................................................................................................ 17
5.1 Digital signage: .......................................................................................... 18
5.2 SMS/MMS marketing system: ................................................................... 20
5.3 ERP & CRM: ............................................................................................. 20
5.4 Internet connection: ................................................................................... 20
6.0 Staff Training:................................................................................................ 20
………………………………………….Section II……………………………………….
Return on Investment.......................................................................................... 22
7.0 Break up of Cost........................................................................................ 26
3 metrics that matter ........................................................................................... 28
2. 2
Metric 1: CPM:................................................................................................. 28
Metric 2: Impressions: ..................................................................................... 28
Metric 3: Immediate feedback response: ......................................................... 29
Content Creation ................................................................................................. 30
Conclusion: ......................................................................................................... 31
References ......................................................................................................... 33
Table of Figures
Figure 1: Digital Signage Network......................................................................... 5
Figure 2: Wi-Fi point to multi point ........................................................................ 9
Figure 3: Wi-Fi mesh........................................................................................... 10
Figure 4: Satellite multicasting network ............................................................... 14
Figure 5: Server .................................................................................................. 16
Figure 6: SMS Feedback System ....................................................................... 20
Figure 7: Value Chain ......................................................................................... 23
Figure 8: Network Business Model ..................................................................... 24
Figure 9: Passenger traffic at Male International Airport ..................................... 25
Figure 10: Flight Movement in Male International Airport .................................... 25
Figure 11: Reason for Visit to Maldives .............................................................. 30
Figure 12: Visitor’s Nationality ............................................................................ 30
List of Tables
Table 1: Cost for 3 years……………………………………………………………...25
3. 3
Technology Planning Document
Summary:
WIMAX useful in streaming video used in video on demand or in dynamic
advertisements of digital signage
Hybrid network by combining WIMAX, Wi-Fi and Satellite based IP
networking is recommended
Puppy Linux recommended for deployment on DS network
Fat client recommended for deployment on DS network
Immediate feedback response most effective metrics on DS network
1.0 Prelude: Technology planning is the process that will help organization
save money on technology, buy as per organization need, and use
technology as a tool to accomplish organization's mission. Technology
planning helps to
Obtain funding: Funders will be much more likely to give money for
technology if organization can show them a technology plan.
Use technology effectively to further organization’s mission. The
technology planning process can expand organization’s horizons and help
4. 4
organization’s see new ways in which technology can further
organization’s mission.
Buy the right equipment: Purchasing hardware, software and networking
equipment can be overwhelming. If organizations don't plan, it's easy to
end up with something that is way too complicated or doesn't do what
organizations need it to. There's no substitute for thinking through
organization’s goals and researching possible solutions.
Save money: Organization’s probably do not need the fanciest system on
the market. Planning allows organization’s to figure out how to spend less
and still meet organization’s needs.
Avoid crises: Bad technology decisions can leave organization suffering
for years. A faulty system can send organizational stress level through the
roof and make organization lose crucial data and capabilities.
Use staff times more effectively: How many hours of staff time have
organization’s lost to those niggling technical problems? A technology plan
will help organization’s streamline staff use of technology, and put
systems in place that will make technology a useful tool for staff, not a
stumbling block.
Protect organization from staff turnover: If the person who knows
organization’s technology leaves, what will organizations do? A
technology plan can save organizations by providing documentation of
existing systems as well as future plans.
5. 5
Digital signage industry:1
Dynamic Digital Signage has emerged as the ―Next Killer Application‖ for the new
generation of sign technology in the advertising industry. A digital signage
system, which is usually composed of a server or PC, a monitor or TV and
software, is capable of delivering full-screen, full-color content to multiple
locations. Cost of implementation has been reduced significantly over the past
two years, making it possible for Digital Signage to be in the mainstream
marketplace. This is evidenced by the extensive usage of digital signage at
airports, museums and shopping centers. The growth rate is projected to
increase significantly in the next few years as the technology matures.
Figure 1: Digital Signage Network
2
This document outline will be as follows
Defining needs
Explore solutions
1
http://www.signindustry.com/electronic/articles/2005-05-02-DigitalSignageNewAge.php3 : 22-Jan-08
2
http://www.a5tek.com/images/ieHIP_diagram2.png
6. 6
The Plan
Limitations
The prices quoted will be subject to market fluctuations
The timelines will need to be reworked with vendor involvement
The document needs to worked backwards with budgetary constraints
2.0 Needs: The needs of digital signage would come from vision and
mission of the organization. Business model of the organization is also a
deciding factor in defining needs.
2.1 Vision: ―Create compelling content that attracts and informs‖
2.2 Mission: ―We provide end-to-end networked digital signage
solutions with wireless delivery of information, merchandising, brand
marketing, and advertising for major brands‖
2.3 Business Model:
Primarily, digital signage firms specialize in one or all of the following.
Own digital sign networks and the associated assets
Sell advertising insertions on digital sign networks
Sell and/or rent digital sign software technology
Install, operate and manage networks
Create advertisements
The model we had discussed was to own and the network and associated assets
and create advertisements.
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The need can be defined as a digital signage system in combination with
wireless connectivity to fulfill the needs of display of compelling content and
thereby act a metamediary to multiple brands.
2.4 Key Actors need to be virtually integrated
THE SOFTWARE EDITOR
Integrators will often be called to outsource specialized software editors
who have developed specific solutions for different vertical markets.
Software editors also help in the deployment of their solutions.
CONTENT DEVELOPER
This is a very broad term… about as broad as the range of content
available for digital signage. What is important to note is that this is
probably the most important part of the overall solution. Indeed when
designing the system with the architect or consultant in the first place, first
one must know the content to be put on the screens. One of the biggest
errors for example when playing video content is simply to play the ad
organization made for TV, or at the other end of the scale, to make simple
power-point or flash presentations in a situation where something much
more ―dynamic‖ will get results.
3.0 Explore solutions:
The different components of digital signage are
PLAYER SOFTWARE: software is installed on the player computer and
drives the playback of media to the display. This includes integration with
any dynamic content sources or backend systems
COMMANDPOINT ONLINE TOOLS: Command Point is the series of
online software tools used to monitor and manage a digital signage
network. This includes adding and scheduling content, creating screen
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layouts, media approval, real-time status monitoring and proof-of-playback
reporting
PLAYER COMPUTER: The player computer can be any Windows XP,
Mac OS X, Linux system. The player can have one or multiple video
outputs each controlling a unique channel of content (up to 4) with
appropriate hardware.
SMART MOBILES: Small in size, easy to operate, with built in camera,
Example Nokia N92. Works as a Media Player and compatible with LCD.
DISPLAY(S): Players are compatible with a variety of display
technologies. This includes but is not limited to:
Plasma Televisions
LCD Televisions
LCD/DPL Projectors (Front and Rear)
LCD Monitors
Multi-Screen Video Walls
CRT Televisions
LED Boards with video inputs
We also have the option of using small LCD screen and use LCD Tile
technology to cover entire wall space. The benefit is we can buy LCD
in larger quantity at reduced rates and increase the flexibility for display
size.
3.1 Network options:
9. 9
Figure 2: Wi-Fi point to multi point
Point-to-multipoint communication is a term that is used in the
telecommunications field which refers to communication which is accomplished
via a specific and distinct type of multipoint connection, providing multiple paths
from a single location to multiple locations. Point-to-multipoint is often
abbreviated as P2MP, PTMP, or PMP. A central antenna or antenna array
broadcasts to several receiving antennas and the system uses a form of Time-
division Multiplexing to allow for the back-channel traffic.
10. 10
Figure 3: Wi-Fi mesh
A wireless mesh network is a communications network made up of radio nodes
in which there are at least two pathways of communication to each node. The
coverage area of the radio nodes working as a single network becomes a mesh
cloud. Access to this mesh cloud is dependent on the radio nodes working in
harmony with each other to create a radio network. A mesh network is reliable
and offers redundancy. If one node can no longer operate, all the rest can still
communicate with each other, directly or through one or more intermediate
nodes.
3.1.1 Advantages of Wi-Fi
Wi-Fi allows LANs to be deployed without cabling for client devices, typically
reducing the costs of network deployment and expansion. Spaces where cables
cannot be run, such as outdoor areas and historical buildings, can host wireless
LANs.
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3.1.2 Disadvantages of Wi-Fi
Many 2.4 GHz 802.11b and 802.11g Access points default to the same channel
on initial startup, contributing to congestion on certain channels. To change the
channel of operation for an access point requires the user to configure the
device.
Wi-Fi networks have limited range. A typical Wi-Fi home router using 802.11b or
802.11g with a stock antenna might have a range of 32 m (120 ft) indoors and 95
m (300 ft) outdoors. Range also varies with frequency band. Wi-Fi in the 2.4 GHz
frequency block has slightly better range than Wi-Fi in the 5 GHz frequency
block. Outdoor range with improved (directional) antennas can be several
kilometers or more with line-of-sight.
Wi-Fi performance also decreases exponentially as the range increases.
Wi-Fi pollution, or an excessive number of access points in the area, especially
on the same or neighboring channel, can prevent access and interfere with the
use of other access points by others, caused by overlapping channels in the
802.11g/b spectrum, as well as with decreased signal-to-noise ratio (SNR)
between access points. This can be a problem in high-density areas, such as
large apartment complexes or office buildings with many Wi-Fi access points.
Additionally, other devices use the 2.4 GHz band: microwave ovens, security
cameras, Bluetooth devices and (in some countries) Amateur radio, video
senders, cordless phones and baby monitors can cause significant additional
interference. General guidance to those who suffer these forms of interference or
network crowding is to migrate to a WiFi 5 GHz product, (802.11a or the newer
802.11n IF it has 5GHz/11a support) as the 5 GHz band is relatively unused and
there are many more channels available. This also requires users to set up the 5
GHz band to be the preferred network in the client and to configure each network
band to a different name (SSID).
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Interoperability issues between non WiFi brands or proprietary deviations from
the standard can disrupt connections or lower throughput speeds on all users’
devices that are within range, to include the non-WiFi or proprietary product.
802.11n (MIMO)(New Technology)
802.11n is a feature that now comes standard in many routers, this technology
works by using multiple antennas to target one or more sources to increase
speed. But in tests, the speed increase was said to only occur over short
distances rather than the long range needed for most point to point setups.
3.1.3 WiMAX Option:
The cost per user/point of WiMAX in a remote application will be higher, it is not
limited to such applications, and may be an answer to reducing the cost of T1/E1
backhaul as well. Given the limited wired infrastructure in some developing
countries, the costs to install a WiMAX station in conjunction with an existing
cellular tower or even as a solitary hub are likely to be small in comparison to
developing a wired solution. Areas of low population density and flat terrain are
particularly suited to WiMAX and its range. For countries that have skipped wired
infrastructure as a result of prohibitive costs and unsympathetic geography,
WiMAX can enhance wireless infrastructure in an inexpensive, decentralized,
deployment-friendly and effective manner.
3.1.4 Comparison between Wi-Fi and WiMAX:
Possibly due to the fact both WiMAX and Wi-Fi begin with the same two letters,
are based upon IEEE standards beginning with quot;802.quot;, and both have a
connection to wireless connectivity and the Internet, comparisons and confusion
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between the two are frequent. Despite this, the two standards are aimed at
different applications.
WiMAX is a long-range system, covering many kilometers that typically uses
licensed spectrum (although it is also possible to use unlicensed spectrum) to
deliver a point-to-point connection to the Internet from an ISP to an end user.
Different 802.16 standards provide different types of access, from mobile
(analogous to access via a cell phone) to fixed (an alternative to wired access,
where the end user's wireless termination point is fixed in location.)
Wi-Fi is a shorter range system, typically hundreds of meters that uses
unlicensed spectrum to provide access to a network typically covering only the
network operator's own property. Typically Wi-Fi is used by an end user to
access their own network, which may or may not be connected to the Internet. If
WiMAX provides services analogous to a cell phone, Wi-Fi is more analogous to
a cordless phone.
WiMAX and Wi-Fi have quite different Quality of Service (QoS) mechanisms.
WiMAX uses a mechanism based on setting up connections between the Base
Station and the user device. Each connection is based on specific scheduling
algorithms, which means that QoS parameters can be guaranteed for each flow.
Wi-Fi has introduced a QoS mechanism similar to fixed Ethernet, where packets
can receive different priorities based on their tags. This means that QoS is
relative between packets/flows, as opposed to guarantee. WIMAX hence is more
useful in streaming video used in video on demand or in dynamic advertisements
of digital signage.
Due to the ease and low cost with which Wi-Fi can be deployed, it is sometimes
used to provide Internet access/ LAN to third parties within a single room or
building available to the provider.
14. 14
Figure 4: Satellite multicasting network
3.1.5 Alternatives:
Satellites have been very successful for digital broadcast, and it is a natural step
to develop IP multicast over satellite to explore the potential of the satellite
systems. The success of satellite digital broadcast services and the asymmetric
nature of IP traffic have made satellites a potential candidate to deliver IP
multicast services.
Use of FM radio as a means to send data:
FM Sub-carrier services are secondary signals transmitted quot;piggybackquot; along
with the main program. Special receivers are required to utilize these services.
Analog channels may contain alternative programming, such as reading services
for the blind, background music or stereo sound signals. In some extremely
crowded metropolitan areas, the sub-channel program might be an alternate
foreign language radio program for various ethnic groups. Sub-carriers can also
transmit digital data, such as station identification, the current song's
15. 15
name, web addresses, or stock quotes. In some countries, FM radios
automatically re-tune themselves to the same channel in a different district by
using sub-bands. These bands can be used in digital signage for ticking news or
give special offers.
Best option for Maldives: Since there are more than 1000 islands and Digital
Signage can be put in remote private resorts, hybrid network by combining
WIMAX, Wi-Fi and Satellite based IP networking is recommended
4.0 Hardware:
Thin/Fat Client
Server Specification
Mounting
SMS/MMS modem for survey and contest on mobile network
4.1 Client: In client-server networks, a thin client is a network computer
without a hard drive that works off a centrally located and managed
application server that processes the data. Compared with a ―fat‖ client, this
handles considerably more processing and storage capabilities, a thin client
typically has little or no software and provides only the most basic boot and
data recovery operations. It also usually has only basic user-interface
functions (such as a PC workstation with keyboard and a basic display
device) at the user interaction point. A thin client computing architecture not
only enables organizations to save in management, IT, and hardware costs, it
also offers greater data security because important information is kept on the
central or back-office LAN side, usually in a secured room. What’s more,
running thin devices consumes a lot less network bandwidth than transferring
files on an application heavy terminal server does. Zero clients computing
takes thin client computing a step further. Like thin clients, zero clients
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connect to applications running on a PC or server elsewhere on a network.
But, with zero client architecture, there’s no need for a dedicated PC at the
user interaction point. The dedicated PC is the application server located in
the back room or data center. It communicates with peripheral devices over a
standard TCP/IP network connection. This architecture not only enables
organization to save additional equipment room—space that organization can
better use to connect organization latest peripherals—it also greatly lessens
maintenance and equipment management costs (because there are no thin
client workstations to keep running throughout organization’s application).
Figure 5: Server
4.1 Benefits of server based system
Multi-concurrent administrators
Access leveled platform
Windows and web manager clients working on the system
simultaneously
Supports thousands of players
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4.2 Mounting
Quality
Ease of use
Reusability
These factors should be prime factors while choosing mounting for the signage.
In order to successfully implement a DS system every aspect of the system has
to work perfectly. Some systems have failed merely for the reason that the
hardware that mounts a screen to the ceiling or wall was not installed correctly or
something as simple as the mounting brackets were not part of the estimate for
the system.
5.0 Software
Software for digital signage system
SMS/ MMS gateway software
18. 18
Network Monitoring software
ERP and CRM for Organization’s Administration and Customer
satisfaction
5.1 Digital signage:
Client software: Two operating systems most widely used for digital signage
networks are Windows and Linux. The purpose of this article is to help
organization get an idea of the advantages and the total cost of ownership of
both in order to make an informed decision about choosing an OS for
organization’s digital signage network. Many startup network operators, trying to
minimize their upfront investment burden, choose Linux because they don’t have
to pay for the license. Some of them discover later that the resulting cost of
running Linux is not necessarily lower than that of using Windows.
When is Linux the right choice for organization network?
What are the real strengths and weaknesses of each OS?
In terms of functionality, the two operating systems are essentially equal. The
common perception, however, is that Linux is quot;freequot;, or cheaper to operate than
Windows. Windows versus Linux has been one of the longest-standing debates
among IT specialists. The stability, security and efficiency of a system really
depend on which environment IT team is more proficient in: Linux or Windows.
One of the grave mistakes is to select a hardware platform and an operating
system separately. Another one is not to test the selected hardware/OS
combination for performance and endurance. Most device drivers have been
tuned and tested for standard desktop uses, not for usage in an appliance-style
configuration. It is therefore important to test many configurations before
standardizing on a playback PC.
Majority of digital signage software packages use Windows Media Player as their
playback engine. This has the benefit of leveraging any Windows Media-specific
hardware acceleration, and being able to play all the media types that are
19. 19
supported by Window Media Player. There are downsides to Windows Media
Player as well. The most obvious one is it only runs on Windows. One that is less
noticeable is that it does not come standard with MPEG-2 and MPEG-4, which
means that organization must acquire licenses for these codec (media formats)
from an independent vendor, unless organization plan on only using WMV and
MPEG-1.
One of the biggest advantages of the Windows operating system is that it
supports all the newest hardware. Because of market pressures, hardware
manufacturers always develop device drivers for Windows. While some provide
them for Linux, not all of many different distributions of Linux are covered. Driver
support in Linux is not really a problem for PC components that are in
widespread usage, or that are a little older. The shortcoming here is wait to get
the required driver.
Another issue for hardware on Linux is that some hardware components are
developed exclusively for Windows. This trend seems to be spreading into the
video card market, as market leaders like Nvidia and ATI are developing
extensions specifically for Windows Media.
From a digital signage operations perspective, there are more things in common
between Linux and Windows than there are differences. Importance here is the
need to select the hardware in conjunction with the operating system and digital
signage software. While Windows has an upfront licensing cost, its costs are
fixed and predictable. Linux has the potential of a lower total cost of ownership,
but much investment must go into the expertise for selecting the hardware
platform, otherwise costs can spiral out of control. In the end, regardless of the
operating system selected, the most important determinant of the total cost of
ownership is the competence of the team behind selecting and configuring the
playback platform, as well as that of the support team. A lack of Linux-savvy IT
department, any cost saving on the license fee will backfire with the increased
cost of training or hiring qualified people.
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5.2 SMS/MMS marketing system:
It allows corporate users to reach their potential customers in a convenient, fast,
and cheap way. It enables the companies to do SMS contest, SMS survey,
release new product information using bulk sending SMS/MMS and so on. In
digital signage industry it helps interaction with customer and feedback.
.
Figure 6: SMS Feedback System
5.3 ERP & CRM:
Open source ERP and CRM is recommended will reduce capital expenditure
and in the meantime the organization will be process driven. (Example: Tiny
ERP, Sugar CRM)
5.4 Internet connection:
T1/E1 (2 MBPS) line is recommended for graphic work to be downloaded from
remote sites. The average size of files is large.
6.0 Staff Training:
Use of screencasts3, it is a tool used to demonstrate technical tasks, or to
illustrate technical concepts that are hard to explain in words. The video and
3
screencast is a movie that captures the display from a computer screen along with someone
talking about what’s being shown
21. 21
audio components can make a topic more engaging than written instructions
or static images, while also appealing to different learning styles.
Screencasts can be an excellent addition to organization's knowledge-
capture process. For instance, consider documenting procedures that users
frequently ask about, how a server is structured, or the knowledge of an
expert about a particular application. While these screencasts may only have
an internal audience, and thus may have somewhat lower production values,
this kind of ―rich media documentation‖ can help preserve organizational
memory.
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Section II
Return on Investment
Costs in Digital Signage
New Costs to be taken into account in the establishment of a dynamic digital
signage network:
Initial purchase of screens and electronic infrastructure
Upkeep and devaluation of screens and infrastructure (completing
TCO)
Content creation (generally outsourced)
Content management (may be outsourced)
As with all emerging technologies, the Return on investment (ROI) is a key
guideline when considering an investment in digital signage. Measuring ROI
enables companies to balance the benefits of an investment against the costs
associated with that investment. In the case of digital signage this calculation will
depend largely on the main goal of the company’s marketing strategy, which may
range from encouraging impulse-buying at the checkout counters, to informing
customers about new product arrivals or sales promotions, to obtaining additional
revenues from advertising on the in-store networks.
To find out the ROI of the digital signage project we first need to understand the
business model followed by our discussed deployment. There are essentially two
digital signage business models, and both have to do with the approach taken
when dealing with the content value chain, shown in the figure 7.
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Figure 7: Value Chain
The content value chain essentially refers to the different steps covering from
content creation to content publication: some companies control the whole
process, whereas others prefer to outsource certain functions, focusing their
energies in the relationship with business agents and on business opportunities.
In both situations content management plays a major role by acting as transition
between the creative development of content and the technical aspects of
content publication. Content management and the way it is handled also define
to a large extent the ROI model behind the digital signage system.
Business model: customer implements a digital signage system with the intention
of exploiting the advertising space it represents. Digital signage displays,
especially in the case of large-scale deployments with heavy traffic such as
stadiums, shopping centers, stations or airports are very attractive for
advertisers. In such cases, revenues from advertising obtained through media
buying agencies are the main business driver.
24. 24
Figure 8: Network Business Model
The present case, which is a clear example of the Network digital signage
business model, concerns a large airport with an average yearly traffic of more
than 40 million passengers, over 100 airlines and a retail area exceeding 10000
square meters. The project of the airport management company concerns the
implementation of a digital signage system initially feeding 100 plasma screens in
the departure lounges, to increase to more than a thousand in less than a year.
Supposing that the screens are on 20 hours a day (from 6am to 2am the
following day) and that half of the airing time is devoted to news and other
programs of interest to travelers, the potential advertising space per screen
amounts to 10 hours a day. Divided into the standard 20 seconds per
advertisement, this yields a total of 90 advertising spaces per hour, or what is the
same, 1.800 advertising spaces a day per screen, seven days a week.
If the airport management company offers that time to 15 exclusive advertisers
ensuring each one of them that their adverts will be shown 6 times per screen
25. 25
per hour and decides to charge a flat fee to every advertiser per screen used, it is
estimated that the investment would be recovered in as little as 8 months.
4
Figure 9: Passenger traffic at Male International Airport
Figure 10: Flight Movement in Male International Airport
4
http://www.airports.com.mv/travel_statistics.htm -29-Jan-08
26. 26
7.0 Break up of Cost
It is anticipated that the screen-media industry will settle at a Cost per Thousand
(CPT) mechanic, similar to regular media like television, the solution lies in
creating the benchmark protocols to establish what key criteria is making up this
figure, across each network.
The basic costs were divided into four categories: hardware (screens, mounting
hardware, and media players), player software, and remote management
software and installation/project management services.
The cost is broken down to one screen for a period of 3 years in Indian Rupees.
Table 2: Cost for 3 years
Particulars Cost in Rs.
40 quot;LCD screen 55000.00
Player Hardware (AMD Pic) 7500.00
Ceiling Mount 8000.00
Player Software 16000.00
Management Software and Support 50000.00
Installation 10000.00
Project Management 7000.00
Total 153500.00
Creating a Network for this project is a separate entity hence the cost has to be
considered separately.
27. 27
Internet connectivity: Rs.6500 per/month for a business DSL (source: Dhiraagu)
or cable connection per location, to Rs.3000 per/month per player for a cellular
connection; Hardware replacement: between 30-45% of the original hardware
costs.
28. 28
3 metrics that matter
Metric 1: CPM:
It’s oldest of marketing statistics. A three-letter acronym for Cost Per Thousand
viewers, CPM .While many people debate the value of CPM metrics in today's
era of Tivo 5ad-skipping and Internet click through, CPM is useful simply because
there is such a vast quantity of CPM data available that one can use to establish
baselines and normalize data. The way to calculate CPM is to get the average
weekly traffic numbers from the venue. For example, let's say that the sample
retailer has 5,000 customers each week, based on register sales and quarterly
audits. To keep the example simple, we'll also assume that the average customer
spends 10 minutes in the store, and the digital signage content loop is 10
minutes long, consisting of 100% advertising. Thus, on average, every customer
in the store would see each ad in the loop about once. Finally, assume that a
single spot in the loop costs $150 per week. We can thus calculate that each
impression costs about $0.03 ($150/5,000), so the cost per thousand is about
$30.00.
Metric 2: Impressions:
Very similar to CPM is the notion of impressions. Instead of tracking only the
number of unique people that see an ad, impressions is a way of measuring the
number of times that any given person sees the same ad (even if they've seen it
more than once). For example, let's use our scenario above. Once again, our
sample retailer has 5,000 customers each week, and the average customer
spends 10 minutes in the store. Our digital signage content loop is 10 minutes
long, consisting of 100% advertising. Once again, each impression costs about
$0.03 and our cost per thousand visitors is about $30.00. However, what if the
5
It is a consumer video device that captures television programming to hard disk storage for later
viewing.
29. 29
average visit length was really 20 minutes instead of ten? In that case, each
viewer would see each ad an average of twice. Now, even though our CPM is
exactly the same (since it's the same number of visitors as before), our cost per
impression has been halved, to only $0.015 per impression.
How do we tell whether it's better to use CPM or impressions? Well, like
everything else, it depends. In this case, as a digital signage network, In case of
airport, CPM pricing is the key and in case of resorts we have to use impressions
as metric.
Metric 3: Immediate feedback response:
There's no generally accepted term for what is called immediate feedback
response, or IFR, even though it's an extremely common method of measuring
different kinds of out-of-home marketing and advertising campaigns. In an IFR
system, the marketer uses some kind of simple but measurable feedback system
to record the presence of a user, and then uses that conversion number (e.g. the
number of viewers who were converted from passive viewers to active
participants) as the basis for other measurements, like sales conversions, brand
recall, and so on. For example, a digital POP display that instructed the viewer to
send a SMS. By recording the number of SMS sent out, a retailer can gauge
(with reasonable accuracy) how many people are paying attention to the signage.
This technique can yield more accurate results than just using baseline traffic
data, and more importantly, it helps demonstrate who's looking at the signage,
instead of who's just walking through.
30. 30
Content Creation
We need to look at the interest of the customer to identify the content required.
With reference to a research conducted in year 1999 (Ahmed Salih (2000)
DIVERS’ PERCEPTION MALDIVES, Centre for Tourism at University of Otago
Dunedin, New Zealand.)
Figure 11: Reason for Visit to Maldives
Figure 12: Visitor’s Nationality
For example, in Maldives the major chunk of tourist is from Germany and Italy.
31. 31
They go to Maldives for diving vacation. Content from IPTV players like
http://www.underwatertv.com/ can be used to attract the tourists to the signage.
Conclusion:
The major drivers of Digital signage is not the technology, but the understanding
of the content and the market
The value we offer to the customer (Major Brands)
Increased brand awareness and customer loyalty.
Effective target of specific market segments.
Dynamic, high-impact communication with existing and potential
customers.
Optimization of advertising and information space.
Simple, flexible and effective content management and publication.
If the screens are not playing at all or not playing the right content then the
audience will not be seeing the ads. So a key adjunct to audience measurement
is a discount factor for screens that are not going to play the appropriate content
when expected.
Some of the functionality that is likely to be required from effective DS network
systems might include:
Systems to report players and locations
Systems to report actual playout logs, note these must be from the players
not from planning documents.
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To maximize the return on investment, the key is to focus on message
every action taken, every decision made, should be seen through a prism:
Does this help me communicate my message to the public? The message
should determine what kind of display to purchase. Case in point: If the
message is going to run continuously throughout the day — and expect
revenue maximization, it needs a commercial-grade display. Replacing a
consumer grade display every few months will add to cost.
Digital signage is the advertising medium of the future. Consumers are
abandoning television in droves. Newspapers and magazines are rapidly
going bankrupt and closing their doors. But at the same time, the Internet and
the video-game industry are both skyrocketing. It’s clear that traditional media
outlets are being forsaken for more progressive ones. As today’s
demographic becomes increasingly tech-savvy, their eyes are drawn toward
the colorful presentations that digital signage has to offer.
Further study needs to be on type of content and its duration. A business
model can be build by working backwards with consumer and budget in mind.
33. 33
References
1. http://www.wirespring.com/dynamic_digital_signage_and_interactiv
e_kiosks_journal/trackback/309 (18 Jan 2008)
2. http://www.ipsigns.com/news.html (28-Jan-08)
3. http://www.economist.com/research/articlesbysubject/displaystory.c
fm?subjectid=1780456... (29-Jan-08)
4. http://press.namct.com/content/view/7010/139/ (17-Jan-08)
5. http://www.cisco.com/cdc_content_elements/acquisitions/tivella/ne
ws/tivella_news.php (17-Jan-08)
6. http://www.airports.com.mv/travel_statistics.htm (29-Jan-08)
7. http://www.amrresearch.com/Content/View.asp?pmillid=21097 (26-
Jan-08)
8. http://money.cnn.com/news/newsfeeds/articles/primenewswire/134
193.htm (17-Jan-08)
9. http://www.dhiraagu.com.mv/dhivehinet/wireless_zone/ (28-Jan-08)
10. http://site.securities.com.ezproxy.library.wales.ac.uk:2048/doc.html
?pc=IN&doc_id=1621... (28-Jan-08)
11. The Italian Tourist Market Report European Union CRTSP, NO. 7
ACP RCP 443
12. http://www.maldiveisle.com/economy.htm (19-Jan-08)
13. Ahmed Salih (2000) DIVERS’ PERCEPTION ,Centre for Tourism at
University of Otago Dunedin, New Zealand
14. Maldives country report (Govt. of Maldives)
15. Markets, Monopoly, Mobile& Morals: Small Island Developing
States Case Studies: Presented by: Michael Minges, International
Telecommunication Union.
16. http://www.everyculture.com/Ja-Ma/Maldives.html (28-Jan-08)
17. http://www.godfreygroup.com/video-and-audio-displays.php (26-
Jan-08)
