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Digital Signage Market to Reach $4.5 Billion in 2016

According to the latest market study by ABI Research, the global market for digital signage -- including displays, media players, software, and installation or maintenance costs -- will grow from nearly $1.3 billion in 2010 to almost $4.5 billion in 2016.

Larry Fisher, Practice Director at ABI, says "Digital signs have a more compelling impact than some forms of traditional media."

Today's digital signage offerings have redefined the model for out-of-home advertising through the deployment of signs at malls, airports, and banks, among others -- signs that deliver content in real time, or content that has already been stored and scheduled for delivery at the most appropriate time.

The majority of digital signage installations today are IP-based, underscoring the evolution of digital signage away from static advertising -- each media player requires connection to a remote content management server.

This connection can be wired or wireless, and in some cases, is made via a cellular wireless service provider's network.

Why Digital Signage Content Quality Matters

According to Fisher, "A continual stream of fresh and relevant content is what separates a successful digital signage project from one that is boring and stale. Relevant could mean timely or localized, customized to the time of day or the demographics of the audience watching the screen, but deployers must consider content from the outset of a project."

With millions of digital signs now in operation worldwide, it's difficult to think of a public venue type where digital signs can't be found. That's why the market is accelerating in terms of number of installed units and total revenues.

Meanwhile the cost of deployment is steadily declining, which gives companies considering digital signage good reason to view this marketing channel as an excellent opportunity to expand messaging to customers and potential customers.

The new ABI study, "Digital Signage Market and Business Case Analysis" examines the market for digital signage and its components and networks, globally and by major geographic region, from 2010 through 2016.

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