where is the roi of digital signage

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Post on 23-Jul-2016

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Easy to understand Digital Signage ROI calculation we made to one of our customers

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Page 1: Where is the ROI of Digital Signage

New campaign every week (promotion, product launch, etc)Print posters needed per campaign 100pcs x 4 times a month -5600€/monthPrice of one quality 47” (110x70cm) poster 14€/pcs x 400 per month -67200€/yearincl. graphic design, print and material costs, logistics and distribution, installation, recycling of old prints

REPLACE 25 POSTERS WITH DIGITAL DISPLAYSPrice of a professional 47” screen, one time cost 1000€/pcs x 25 -25000€Initial investment (1st year) 25000€ -650€/monthSaaS service for distribution 26€/pcs/month -7800€/yearincl. content management and distribution via Internet, graphic templates

SAVE by replacing old prints

Price of 46” digital pylon, ALL-IN-ONE solution+delivery (initial investment) -1830€Price of an ad spot sold to vendors/partners (10 seconds) OR growth in sales revenues +870,50€

One sold ad spot per week, one screen = investment -1830€ / revenue +870,50€

One sold ad spot per week, 10 screens = investment -18300€ / revenue +870,5€

CASE EXAMPLEInitial investment -18300€ (10 screens)Marketing and management costs (employee time used to sell ad spots and manage content) -235€/week5 ad spots (50 seconds) sold to vendors per week, altogether 16 weeks of a year (summer season) 16 x 5 x +870,5€OR growth in sales due to target marketing with digital screens +1339,2€/week

= investment and costs -29260€ (1st year) / revenue per year +69640€ = ROI +138%

EARN by selling MORE

www.firstview.fi

1st year 67200€ (print) - 32800€ (screens) SAVE +34 400€After 1st year 67200€ (print) - 7800€ (screens) SAVE +59 400€

ROIof digital signage?

Whereis the

Investment payback time

7,5 months

Investment payback time

2,9 weeks