Digital Signage for Supermarkets

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Presentation on benefits of LCD digital signage for independent retailers - even single store owners

transcript

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using digital signageto supplementyour staticstore signage

Presented by:

National Grocers Association / February 15, 2011

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Static signage

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Static signage

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Static signage

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Static signage

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Static signage

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Static signage

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Static signage applications in supermarkets

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Digital signage in national

supermarket chains

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Branding your store with both

applications

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Digital signage applications in supermarkets

What photos go here?

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Digital signage applications for deli

menu boards

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Is digital signage good business for an independent operator?

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Researched various options and vendor partners

Worked with Wakefern to develop “Did You Know” program

Convey value, quality and additional services vs. competitors

Determined that LCD’s should be placed in key locations

Interviewed 7 service providers for content and installation

Launched a 5 screen network in one store – 9 week test

2006

2007

2008

2009

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My goals • Target specific items • Branding messages• Increase sales of incremental items • Loyalty by enhancing the shopping experience • Promoting good public relations in the community • Creating a platform to generate future revenue stream

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Selecting items to be promoted: 1. No items that are already advertised in other media (weekly print ad)

2. Want to sell incremental items vs. just sale items

3. Want to promote signature items available at his store

4. Want to keep products directly tied to seasonality, meal events

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Content • Price and item features (6 per week) • Fresh cake program • Premium, branded deli meat program • Natural chicken program • Home shopping • Culinary classes • Health and nutrition program • Live weather reports

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Testing-measurements: Item movement measurements to like stores

Test sales of promoted items and compare static vs. digital sales results: • Compare digital signage product sales to static signage product sales • Compare total department sales to compare to previous year sales • Compare customer satisfaction levels before and after digital signage

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Disclaimer on test sales results: 1. The rollout began as a test in 2009, the results are from the first 9 weeks of the test only.

2. Wanted to measure the sales results of static signage vs. digital LCD signage in a store compared to two other control stores.

3. Items promoted in the weekly ads are typically using static signage for displays

4. All items promoted on the store network were not promoted in any other media so the sales lift could be measured on “in store promotional items”.

5. Due to the proprietary nature of the project, we can’t publicly provide details on the performance of the network 2 years later for obvious competitive reasons.

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Wakefern/ShopRite Pilot

ShopRite Milford: 5 Screens

• ShopRite Milford, CT - Live on 30th April 2009• 5 Screens locations • Deli, Meats, Bakery and 2 at Live Right Aisle

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ShopRite Milford: Deli Department

Deli Unit Lift: 115% over Control1, 82% over Control2Dollar Lift: 121% over Control1, 69% over Control2

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ShopRite Milford: Bakery Department

BakeryUnit Lift: 140% over Control1, 255% over Control2 Dollar Lift: 120% over Control1, 245% over Control2

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ShopRite Milford: Meat Department

Meat Unit Lift: 97% over Control1, 62% over Control2Dollar Lift: 107% over Control1, 56% over Control2

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ShopRite Milford: Live Right Aisle End-caps

Live Right Aisle End-capsDollar Lift: 42% over Prior Year

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Select your promotional items and email to your

digital content designer

Web proofing

Put into playlist and Go!

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Aside from departmental digital signs, what other applications are ideal for supermarkets?

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Front Lobby “Deal of the Day”

or “Big Board Buys”

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Store bulletin boards

Ability for stores to control their own content if they wish

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Ability to integrate in-store digital signage in multi-channel merchandising

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If you are to replicate what Harry has already done, what are the steps to take?1. Develop a list of your playlist topics for your library

• Differentiation• Information

• Item/Price – what is your philosophy (no ad items?)• Weather updates?

2. Hire a content provider to design and animate your library and handle your playlist. 3. Hire a company to provide the store survey, hardware, software, installation and ongoing maintenance of your network.

4. Provide an easy way to review and approve content for the network

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Content Overview8 suggested topics for supermarkets

1. Special Savings Animations- Each week we featured six specific items – two from each of the following: Deli, Meat and Bakery

2. Competitive Advantage Animations3. Did You Know? Animations4. Beauty Image Animations5. Seasonal/Holiday Reminders6. Healthy Living suggestions7. Special Promotion Animations8. Non-Grocery Information of Local Interest

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What are the costs – one time and ongoing? Content provider:

• Develop a content library for your store - 20 “stories” that need to be told - An item and price template you can reuse each week - Develop a “competitive advantage” library of content – 20

stories- Develop a year’s worth of seasonal reminders

• One time costs? Plan on $2000 to $3000 costs for preparing your library

• Weekly additions to your playlist library (price and item promos) - Develop 6 weekly item/price animations to add to library

• Weekly costs? Plan on $20 to $50 per spot, depending on level of animation

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Hardware, Software, Installation in your store• Store survey to determine placement of LCD screens, computers, mounts• 5 - 32” LCD screens, installed• 5 - Computers so each LCD can have it’s own unique playlist • Standard wall mount brackets for LCD screens • No cabling or electrical work

Grand Total • $17,000 to $20,000 in one time costs to set up system ($65 to $75 wk over 5 years)• $200 per week to keep content library fresh with new content

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DoDo look for synergies with other “share group friends ” stores – other stores in your ad group, non-competing supermarkets in other areas. There may be opportunities to share content .

Do plan for future expansion in your network.

Do focus on helpful information, interesting looking content, seasonal reminders and local happenings that best reflects your brand

Don’tDon’t sell spots to anyone willing to pay for the spots – keep your network focused on promoting your store and items you sell. No: Local realtors, dry cleaners, insurance salesmen, etc.

Don’t buy LCD’s at Costco and hire a company who specializes in home theatre installations to handle your installation. Don’t present content that isn’t worthy of your current branded image Don’t play televised content – your audience only has 6 to 15 seconds to understand what you’re trying to sell them.

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Using digital signageto supplementyour static store signage

Presented by:

National Grocers Association / February 15, 2011

Questions?