Boost Customer Engagement With Digital Signage in 2025

Digital signage is everywhere, seamlessly blending into our daily lives. Whether you're driving down the road, dining at your favorite restaurant, visiting a bank or school, or navigating an airport, you'll see countless brands using digital displays to grab attention and promote their messages. 

In this article, we will explore what digital signage is, its benefits, and how it can help attract more customers in 2025. 

Understanding Digital Signage: An Overview for Businesses​

Digital signage software companies provide digital signage offer essential tools and insights to simplify and enhance your marketing strategies. 

Digital signage uses digital technologies such as projectors, LCDs, and LED screens to display information, images, videos, and live-streamed media. 

These systems are widely used across various industries, including education, banking, hospitality, transportation, sports, public spaces, and corporate offices. Their primary applications include advertising, marketing, wayfinding, and enhancing experiences at events like fairs and exhibitions.

The global digital signage market is growing rapidly, with projections estimating it will reach $35 billion by 2026. This is driven by increasing demand for dynamic content and enhanced customer engagement. Despite its benefits, choosing the right digital signage solution for your business can take time due to the variety of sizes, types, and features available.

To make the right decision, businesses should focus on understanding their specific needs, establishing a clear budget, and aligning their selection with their content marketing strategy. This includes determining the desired screen size, display type, and capabilities like interactivity or real-time updates to engage their target audience effectively. 

Digital signage hardware

Digital signage systems rely on several key hardware components to function effectively. 

Here's an overview of the essential elements:

• Display Screen - The screen, similar to a TV or smartphone, is the primary medium for showcasing content. Commercial-grade screens are typically used due to their durability and exceptional display quality, making them ideal for prolonged use in professional environments.
• Media Player - The media player serves as the engine behind the content delivery. It connects to the screen and manages playback, often integrating directly into smart TVs. Using specialized software, the player retrieves content from a centralized management system and displays it in various formats, including videos, images, and HTML.
• Mounting Hardware - To ensure secure and practical installation, mounting brackets and cables are employed. These allow screens to be fixed to walls or suspended from ceilings, offering flexibility in placement while maintaining safety and stability.

These components work together seamlessly to deliver engaging and visually appealing digital signage solutions for businesses of all sizes.

Digital signage software

The software acts as the central hub for managing and displaying content seamlessly on digital signage screens. It simplifies the process of organizing, updating, and distributing information, making it an essential component of any digital signage system. Here's a breakdown of its key features:

Content Management System (CMS) - A digital signage CMS is an intuitive platform that enables users to manage display content effortlessly. Its features include:

• Scheduling: Control when and where content appears across screens.
• Remote Management: Update and manage displays from any location.
• Versatile Media Support: Handles various formats such as JPG, MP4, GIF, HTML, and HTTPS.
• Integration Capabilities: Connect with other systems for enhanced functionality.
• Custom Layouts: Design and deploy personalized screen layouts.
• Responsive Design: Ensures content looks sharp on any screen size or device.

Cloud-Based Content Management - The CMS can be hosted either on a private server (on-premise) or in the cloud. Cloud-based CMS solutions offer several advantages:

• Simplified Infrastructure Management: No need for extensive server maintenance.
• Global Access: Manage content and screens from anywhere with an internet connection.
• Scalability: Effortlessly expand your network as your business grows.
• Streamlined Content Distribution: Quickly push updates across locations, regardless of geography.

Example: A cloud-based CMS, such as Pickcel Digital Signage Software, provides a user-friendly dashboard accessible from any device. This enables organizations to design, update, and deploy content efficiently, ensuring consistency across multiple locations.

Choosing a cloud-hosted CMS can significantly enhance flexibility, scalability, and ease of use for businesses looking to implement digital signage solutions.

Examples of Digital Signages Usages

Digital signage offers dynamic ways to engage audiences across various industries and scenarios. 

Below are examples of the most common types of digital signage, highlighting their usage and benefits:

• Public Signs - Digital signage in public spaces provides location-specific information such as news updates, weather forecasts, and traffic conditions. These displays often include interactive maps and wayfinding features, making them invaluable for enhancing navigation in airports, transit hubs, and city centres.
• Corporate Signage -In corporate environments, digital signage facilitates knowledge sharing and improves operational efficiency. Examples include meeting room booking systems, digital dashboards for meeting coordination, and interactive screens for employee training programs. These solutions enhance workplace communication and collaboration.
• Sales Signage - For sales teams, digital signage showcases product and service portfolios through visually compelling content. Features like whiteboarding for collaborative presentations and interactive demonstrations help engage clients and close deals more effectively.
• Tourism & Wayfinding Signs - Tourism-focused digital signage helps visitors explore and navigate destinations. Displays often include city maps, points of interest, local attractions, and real-time information, improving the overall tourist experience while driving foot traffic to key areas.
• Retail Signage - Retailers use digital signage for self-checkout kiosks, endless aisle displays (showcasing products not in-store), and product showcases. Advanced options like smart mirrors enable virtual try-ons, blending convenience with a personalized shopping experience.
• Restaurant Displays & Signs - In the food service industry, digital signage enhances the customer experience with self-service kiosks, dynamic digital menu boards, and self-ordering stations. These tools speed up service, reduce errors, and create visually appealing presentations of menu items.
• Marketing Signs, Motion Graphics & Ads - Marketing-oriented digital signage delivers targeted promotions, enhances ambience, and even gamifies experiences to increase customer engagement. These displays are commonly used in retail, entertainment venues, and experiential marketing campaigns.
• Museum Signage - Museums use digital signage to enrich the visitor experience. Applications include interactive gallery guides, wayfinding assistance, and virtual tours. These digital tools make exhibitions more accessible and engaging for diverse audiences.
• Education-Based Signage - In educational institutions, digital signage supports classroom teaching with interactive screens and displays. It facilitates campus navigation with wayfinding solutions and highlights key events or exhibits in libraries and auditoriums.
• Exhibit & Tradeshow Displays & Signs - Tradeshows and exhibitions leverage digital signage to create interactive product and service catalogues, simplify visitor registration, and enhance networking opportunities. These displays help exhibitors attract attention and deliver impactful presentations.

These examples demonstrate how digital signage can be tailored to specific needs, creating a more engaging and efficient user experience in diverse settings. 

What is digital signage software?

 If you've searched for "digital signage software," you've likely encountered a range of options promising similar solutions. This overlap can make it challenging to pinpoint an overarching definition, as digital signage software varies widely in capabilities and is tailored to different purposes. However, by examining its core functionalities and potential, we can outline what makes for an ideal digital signage software solution.

At its core, digital signage software is designed to create, manage, and deploy digital content across various screens or devices. It allows businesses to display multimedia content such as videos, images, and live updates, often enhanced with interactivity and data analytics. An effective digital signage solution should seamlessly integrate with hardware (like LED displays or touchscreens) and third-party services while enabling real-time updates and collaboration.

For example, retail chains often use digital signage software to manage promotions across hundreds of stores, ensuring consistency while allowing location-specific customization. According to market studies, over 60% of consumers report that digital signage captures their attention more effectively than traditional signage, making it a vital tool for marketing and communication.

Key Features of Digital Signage Software

An ideal digital signage software solution should include the following capabilities:

• Content Creation - The software should offer an intuitive platform for designing content, including drag-and-drop editors, pre-built templates, and support for various multimedia formats. This feature enables businesses to craft visually appealing and engaging messages efficiently. A hotel uses digital signage to display dynamic content such as weather updates, local attractions, and check-in instructions, enhancing the guest experience.
• Content Management and Distribution - Managing multiple screens or locations requires a centralized content management system (CMS). This enables businesses to schedule, update, and distribute content seamlessly across all devices. A quick-service restaurant chain can update its digital menu boards across all locations in minutes to reflect new pricing or limited-time offers. Research shows that digital menu boards increase sales by 5% to 8% due to their dynamic presentation.
• Device/Player Management - Effective software should allow users to monitor and control all connected devices remotely. This includes ensuring all screens are operational, updating software, and managing device settings. A corporate office uses digital signage software to control displays in multiple meeting rooms, ensuring smooth transitions between scheduled presentations and minimizing downtime.
• Performance Measurement - Data analytics is crucial for assessing the effectiveness of digital signage campaigns. This includes tracking metrics such as audience engagement, content views, and sales conversions resulting from displayed promotions. A retail store leverages analytics from its digital signage to determine which promotions resonate most with customers, refining future marketing strategies. Research shows that digital signage can increase customer dwell time by 30%, directly impacting sales.

How can digital signage help your business?​

#1. Allows Businesses to Captivate Customer's Attention with Dynamic Content​

Digital signage is far more engaging than traditional print advertisements, offering a cutting-edge way to connect with audiences through vibrant visuals, videos, and animations. Its dynamic nature captures attention instantly and keeps it for longer durations, making it a powerful tool for businesses in crowded environments. According to a Nielsen report, digital displays in retail environments boost customer recall rates by 83% compared to static signage. This increase in recall can directly translate into higher customer engagement and sales conversions.

Further emphasizing its effectiveness, another study by Intel found that digital signage solutions capture 400% more views than static signs, making it a clear winner for businesses aiming to stand out. Moreover, digital signage with video content has been shown to keep viewers' attention for up to 60% more time than static images, providing ample opportunity to deliver compelling messaging. 

By incorporating motion graphics, high-resolution images, and targeted messaging, businesses can ensure their content is both eye-catching and relevant. The adaptability of digital signage also allows for real-time updates, enabling companies to showcase personalized offers, timely promotions, or engaging storytelling tailored to specific audiences.

Retail Storefronts Example in Action

A clothing retailer can utilize digital signage in its window displays to showcase new arrivals, seasonal promotions, or flash sales. Imagine a screen showcasing high-definition videos of models wearing the latest collection, complemented by a countdown timer for a flash sale. 

These dynamic visuals grab passersby's attention and create a sense of urgency, enticing them to step inside and make a purchase.

• A study by Grand View Research predicts that the global digital signage market will grow at a CAGR of 7.7% from 2022 to 2030, highlighting the increasing demand for dynamic content solutions.
• According to ScreenCloud, businesses that use digital signage increase their sales by an average of 29.5% by creating more engaging customer experiences.
• Approximately 63% of people report that digital signage catches their attention, compared to just 38% for online ads (Digital Signage Today).

By leveraging digital signage, businesses can elevate their marketing strategies, drive foot traffic, and ultimately, achieve higher conversion rates. Dynamic content is not just a trend—it's an essential component of modern advertising that continues to evolve and grow in impact.

#2. Displays Personalized Messages

Advancements in technology have enabled digital signage to go beyond generic content, allowing businesses to deliver personalized and highly relevant messaging. 

By leveraging audience demographics, time of day, or location data, digital signage can adapt its real-time content to resonate with specific audiences. Integrating digital signage with customer data platforms, like CRM systems or loyalty programs, further enhances its ability to create tailored experiences, increasing customer engagement and satisfaction.

Personalization isn't just a buzzword—it's a proven strategy. According to Accenture, 91% of consumers are more likely to shop with brands that provide personalized offers and recommendations. This shift in consumer behaviour highlights the importance of tailored messaging as a driver of customer loyalty and revenue growth.

Café Promotions Can Use Personalized Messaging Example in Action

A café could use digital signage to display morning promotions like discounted coffee and pastries from 7–11 a.m., then seamlessly switch to lunch specials featuring sandwiches and soups from 11 a.m. to 2 p.m. Later in the day, the signage might promote happy hour discounts on beverages and snacks. 

This adaptability keeps messaging fresh, relevant, and enticing, increasing the likelihood of attracting customers throughout the day.

• A study by Infosys found that 74% of customers feel frustrated when content isn't personalized, underscoring the importance of tailored messaging in creating positive customer experiences.
• According to McKinsey, personalization can drive 10–15% revenue growth, with data-driven signage offering a scalable way to achieve this.
• The Digital Signage Federation reports that personalized content can lead to a 30% increase in sales, as it resonates more deeply with the audience.

#3. Improve Customer Engagement

Every business want to improve customer engagement, digital signage enables turning passive viewing into an immersive, hands-on experience. Through touchscreens, gesture-based controls, and QR code integration, businesses can create memorable interactions that captivate audiences and encourage active participation. This interactive approach fosters deeper connections with customers, making them more likely to engage with the brand and make purchasing decisions.

The impact of interactivity is backed by data. A study by Intuiface found that interactive digital signage increases engagement rates by 47% compared to static displays. Also, 88% of marketers believe that interactive content helps differentiate their brand from competitors.

• Touchscreens allow customers to browse products, access additional information, or navigate menus effortlessly.
• Gesture-based controls or face recognition can tailor content to user preferences.
• QR code integration connects physical signage to digital platforms, enabling easy access to promotions, reviews, or e-commerce sites.

Fashion Retailer with a Smart Mirror Example in Action

A fashion retailer could install a "smart mirror" in fitting rooms or the store floor that lets customers virtually try on clothes.

Using augmented reality (AR), customers can see how different outfits look on them without physically changing. The mirror can also suggest complementary items, display product information, and even enable direct purchases.

• Attracts curious customers with cutting-edge technology.
  
• Boosts confidence in purchasing decisions by showcasing multiple options in seconds.
• Reduces fitting room queues and enhances the shopping experience.

#5. Boosting Social Proof

One one to show and boost social proof with digital signage is by showcasing user-generated content (UGC), such as customer reviews, testimonials, and social media posts. 

This approach leverages the psychological principle of social proof, where people are more likely to trust a brand based on the positive experiences of others. By integrating this content into digital displays, businesses can build trust, enhance credibility, and encourage new customers to engage with their offerings.

The impact of social proof is significant. 

Research by BrightLocal shows that 88% of consumers trust online reviews as much as personal recommendations, and products with five or more reviews are 270% more likely to be purchased (Spiegel Research Center). Businesses can create an authentic and persuasive marketing tool by displaying these reviews prominently through digital signage.

• Highlighting 5-star ratings or detailed testimonials.
• Featuring real-time user-generated photos, videos, or comments that showcase customer satisfaction.
• Demonstrating product or service effectiveness to inspire trust.
• Pulling content from platforms like Instagram or Twitter using branded hashtags

Restaurant Menu Boards Example in Action

A restaurant could enhance its credibility and appeal by integrating glowing online reviews or customer photos into its digital menu boards.

• Displaying a rotating carousel of 5-star reviews from Yelp or Google.
• It features high-quality user-submitted pictures of meals captioned with "Loved by our customers!"
• Showcasing live feeds of social media posts tagged with the restaurant's hashtag.

• Prospective customers feel reassured by the positive experiences of others.
• Customers are motivated to share their experiences online to be featured.
• Trust-building content reduces hesitation, and drives purchase decisions.

#6. Saving Huge Amounts of Money 

It can also offer a cost-effective alternative to traditional marketing and communication methods, providing businesses with a flexible and scalable way to promote products and services. 

Unlike static print materials or broadcast advertisements that require constant reprinting or production costs, digital signage allows for quick updates with minimal additional expenses. 

The ability to present diverse content on a single platform over an extended period makes it an attractive option for businesses with tight marketing budgets.

• High-quality indoor and outdoor digital signage has a long lifespan, minimizing replacement and maintenance costs.
• Businesses can easily replace images, videos, or schedules via a content management system (CMS) without incurring additional design or printing fees.
• Eliminates the need for disposable materials like flyers, posters, or banners, contributing to sustainability.
• A single digital signage system can promote multiple campaigns, products, or services, maximizing ROI.

#7. Flexible Content for Retailers Example in Action

A retail store can use digital signage to showcase promotions, seasonal discounts, and product demos all on the same screen. 

The content can be updated instantly via the CMS, saving on costs associated with printing new materials for every campaign. For outdoor displays, such as digital billboards, businesses can focus on long-term goals like brand awareness, ensuring cost-efficiency over time.

• According to research by Intel, digital signage can reduce the cost of traditional campaigns by up to 30% due to its reusability and efficiency.
• A study by Arbitron found that digital signage reaches more than 70% of the population in a given month, increasing the ROI compared to print ads.
• Businesses that adopt digital signage report an average annual energy saving of 10–15%, as modern displays are more energy-efficient than ever (Sign Research Foundation).

#8.Integrating Intranet with Digital Signage - Enhancing Employee Engagement

Digital signage, when integrated with an intranet solution like AgilityPortal, transforms workplace communication into an engaging and impactful experience. This integration bridges the gap between frontline employees and essential updates, fostering a more connected and informed workforce.

With digital signage, businesses can extend the reach of their intranet by broadcasting critical information such as company announcements, goals, KPIs, and event reminders to TVs, monitors, tablets, and kiosks in high-traffic areas like break rooms, lobbies, and manufacturing floors. 

This ensures that hard-to-reach employees—such as deskless workers or those on the move—stay informed and engaged without needing to log into their devices.

• Deliver real-time updates and important announcements to employees directly in their workflow.
• Use dynamic content like videos, countdowns, or recognition spotlights to boost morale and encourage participation.
• Display company goals, performance metrics, and team achievements where employees can see them frequently, fostering a sense of purpose and unity.
• With integration across screens, tablets, and kiosks, employees can access the same cohesive messaging, ensuring no one misses critical updates.
• Tailor messages by department, location, or employee role, making communication more relevant and impactful.

A manufacturing plant integrates AgilityPortal with digital signage to display safety updates, productivity goals, and employee-of-the-month highlights across shared screens in production areas. This keeps workers informed, motivated, and aligned with company priorities without disrupting their workflow.

Future Trends in Digital Signage for 2025

The digital signage landscape is rapidly evolving, driven by technological advancements and shifting consumer expectations. 

As we move toward 2025, businesses must adapt to new trends to stay competitive and deliver exceptional customer experiences. Below are the key trends to transform digital signage in the coming years.

1.AI-Powered Personalization

Artificial Intelligence (AI) is poised to revolutionize digital signage by enabling hyper-targeted, real-time content delivery. With AI, businesses can analyze customer data, including behaviour, preferences, and demographics, to tailor messaging for individual viewers or groups. This creates a more personalized and engaging experience.

For instance, a retail store could use AI-powered digital signage to recommend products based on a customer's purchase history or current shopping behaviour. Sensors or cameras integrated with AI can identify customer demographics, such as age and gender, and adjust content dynamically, ensuring maximum relevance. 

This level of personalization enhances engagement and drives sales by delivering the right message at the right time.

2. Augmented Reality (AR) Integration

Augmented Reality (AR) is increasingly integrated into digital signage to create interactive and immersive brand experiences. AR overlays digital content onto the physical world, allowing customers to interact with brands in exciting new ways.

For example, a clothing retailer might use AR-enabled signage to let customers virtually try on outfits by standing in front of a screen. Similarly, real estate agencies could showcase interactive property tours using AR displays. These experiences captivate audiences and leave lasting impressions, giving businesses a competitive edge in crowded markets.

AR also encourages customer participation, transforming passive viewers into active participants. This shift increases dwell time and strengthens the emotional connection between customers and the brand.

3. Sustainability in Digital Signage

As environmental concerns grow, businesses are under pressure to adopt sustainable practices, including digital signage. The focus is shifting toward energy-efficient displays and eco-friendly materials.
LED and OLED screens are becoming the norm for digital signage, as they consume significantly less energy than traditional LCDs. 

Solar-powered digital signage solutions are also emerging, allowing outdoor displays to operate with minimal environmental impact.

Another aspect of sustainability is reducing e-waste. Manufacturers are designing signage systems with modular components, enabling more straightforward repairs and upgrades instead of full replacements. Businesses that prioritize sustainability not only reduce their carbon footprint but also appeal to environmentally conscious consumers, enhancing their brand image.

4. Advanced Content Management Systems (CMS)

The future of digital signage will see more sophisticated content management systems that allow businesses to manage and optimize their content more effectively. Cloud-based CMS platforms will enable real-time updates across multiple locations, ensuring consistency and agility in messaging.
AI-driven CMS solutions will also automate content creation and scheduling. 

For example, these systems can analyze customer foot traffic patterns to determine the best times to display specific promotions, maximizing their impact. Multi-language support and dynamic localization features will cater to global audiences, further enhancing the versatility of digital signage.

5. Integration with the Internet of Things (IoT)

Digital signage is increasingly integrated with IoT devices to create more intelligent, connected systems. 

IoT-enabled signage can interact with other devices, such as smartphones, wearables, or in-store sensors, to provide seamless and contextually relevant experiences.
For example, a coffee shop could use IoT sensors to detect weather conditions and display appropriate promotions, such as hot beverages on a cold day or iced drinks during a heatwave. 

This level of integration creates a more intuitive and engaging experience for customers.

6. Enhanced Analytics and Reporting

Advanced analytics capabilities will allow businesses to measure the effectiveness of their digital signage campaigns more accurately. 

By tracking metrics such as dwell time, engagement rates, and conversion rates, companies can refine their strategies for better results.

Facial recognition technology and other sensors can provide insights into customer demographics and sentiment, helping businesses fine-tune their messaging. This data-driven approach ensures that digital signage remains a valuable investment with measurable ROI.

Wrapping up