Digital Signage Solutions Market Size, Share & Trends Analysis Report By Solution (Software, Services), By Deployment Mode (On-Premise, Cloud-Based), By Industry (Retail, Hospitality, Transportation, Healthcare, Education, Media and Entertainment, BFSI, Others) and By Region(North America, Europe, APAC, Middle East and Africa, LATAM) Forecasts, 2022-2030

Market Overview

The Global Digital Signage Solutions Market Size was valued at USD 18,375 million in 2021 and is estimated to reach an expected value of USD 44,849.93 million by 2030 at a CAGR of 11.5% during the forecast period (2022-2030). 

A digital signage solution is a system that allows the dynamic display of ads and other information on a network of digital displays. A digital signage solution is a technique of displaying dynamic messages on a digital device for different advertising content. Apart from that, it can also display announcements, messages, and even videos to a consumer. Video & data streaming is one of the essential features of digital signage solution software that helps users broadcast video on any digital device. The digital signage solution software can be used in many places such as airports, restaurants, offices, schools, and other places. Moreover, increasing advertising demand in public and commercial sectors propels the growth of the global digital signage solutions market.

Market Dynamics

Market drivers

• Increasing advertising demand in public and commercial sectors

Digital signage solution is becoming a popular tool in the public and commercial sectors for many reasons. From advertising to providing information, organizations can use digital signage solutions as a cost-effective way to reach their clients and community members. Digital signage solution is used in government agencies to provide ease of advertising, awareness, and information. Many commercial establishments are installing digital signage solutions to advertise their businesses. The global growth in its scope has been reported owing to the growing number of diverse places that it can be installed in, for instance, retail stores, retails, shopping centers, and other public places for advertising, as well as displaying product information, instructions, directions, entertaining content, and much more. Digital signage solution in the commercial realm is a great way to display content and interact with your audience while driving operational results and attracting foot traffic by acting as a visual billboard, containing ads for current or upcoming sales, or broadcasting messages to prospective customers. Therefore, increasing advertising demand in public and commercial sectors propels the market growth.

• Pocket-friendly cloud-based digital signage solution increasing tam

A successful digital signage solution software solution is a crucial investment for businesses of all sizes as it is an essential tool for marketing, advertising, and communicating with customers. Cloud-based Digital Signage Solution software provides reliability and ease of use. It benefits both companies by allowing them to save up on space and money compared to a locally based system. A powerful and affordable cloud-based solution is now available to help businesses better leverage their digital signage solution assets. The cloud-based digital signage solution is a cost-effective option that increases customer acquisition and revenue by creating a digital signage solution network that can be updated in real-time and optimizing marketing. This allows businesses to connect with new customers and generate more revenue by attracting a larger audience. It's easy to implement and can be deployed in retail locations, public areas, and more. This is a great way to stay on top of the latest trends in technology. Thus, the factors mentioned above fuel the market expansion. 

Market restraints

• Data security concerns

The rapid growth of digital signage solutions has led to a surge in the use of technology in businesses. As more companies rely on digital signage solutions to bring their marketing message to life, the risk of data breaches and security concerns has increased. In the process, this technology has become vulnerable to cyberattacks that allow hackers to steal valuable data. Despite these efforts, there are still concerns about data security among businesses. For several reasons, people are concerned with the data being transmitted in digital signage solutions. Firstly, people are not sure how secure this data will be. Data transmission is a big concern because there is no way to ensure the data will be secure. Data can be hacked and can be stopped before reaching the destination. Even if data is transmitted, there is no way to tell if the data is private or public, making people uncomfortable. In addition, people might feel too uncomfortable seeing their personal information on the big screens and are worried about being spammed by advertisers. 

Market opportunities

• Rapid urbanization in developing countries to increase infrastructure and advertising demand

Rapid urbanization is a term that refers to the rapid expansion of suburbs and cities. Developing countries are rapidly urbanizing, and this rapid change creates new opportunities to increase the infrastructure and advertising demand. As the number of people living in cities increases, so does their purchasing power and desire for luxury goods. Big companies are now looking to invest in these countries alongside the governments to increase their share of ad revenue. Some of the largest companies, such as Google and Facebook, invest in developing markets and report a huge increase in ad revenue. Moreover, the growing initiatives for developing smart cities across the globe are also bringing in enormous opportunities for the digital signage solutions market.

Regional Analysis

By region, the global digital signage solutions market is categorized into North America, Europe, Asia-Pacific, Latin America, the Middle East, and Africa.

North America accounted for the largest market share and is estimated to grow at a CAGR of 11.2% during the forecast period. The digital signage solutions market size estimates in North America exhibit a notable growth rate due to the meaningful use of digital billboards to promote products and services and the growing retail industry. The technological advancements made within the display, connectivity, and monitoring have opened up brand new doors to what used to be relatively expensive technology. The U.S is the major contributor to the digital signage advertising market due to the empowered research techniques and improved technology used by digital signage providers. The high adoption rate of digital signs also created a sales surge that helped considerably lower prices.

Furthermore, some local governments are also working to adopt the smart cities initiative. For instance, Las Vegas is testing out three pilot projects with the city government allocating $500 million to find ways to connect the entire city by 2025 effectively. In addition, Intersection Media and Technology Company announced that it signed a 5-year contract with Chicago Transit Authority (CTA) to deploy over 700 new displays at CTA's rail station bus stops and other bus advertising outlets to aid the innovative city initiatives being taken.

Europe is the second largest region. It is estimated to reach an expected USD 12965 million by 2030 at a CAGR of 10.6% during the forecast period. The growth in transport networks, public infrastructure, and new commercial buildings creates more opportunities in the European market. Digital signage is being used in and on all modes of public transportation to attract the attention of travelers. It can provide real-time location and context awareness related to traveler information and advertising. Moreover, digital signage systems have become a standard in many educational facilities, including schools and corporate campuses that facilitate them. JCDecaux has also launched the UK kiosks with automated external defibrillators, which will help improve accessibility and the community. The collaboration was made possible by the Community Heartbeat Trust. Each bench features an 86-inch digital advertising display and a 36-inch interactive touchscreen to enhance a wayfinding experience and provide information on nearby council facilities and local emergency services for everyone's safety across the neighborhoods of London. Besides, football is the favorite sport of UK citizens, and several stadiums and clubs opt for digital signage displays. Additionally, people prefer to watch matches in stadiums or arenas, influencing many broadcasters, venues, and teams to use screens to broadcast advertisements, information, or content about their upcoming events.

Asia-Pacific is the fastest growing. Many developing nations such as India, Singapore, and Japan are expected to help push the growth of the Asia-Pacific market for digital signage for brand marketing purposes. Many developed countries have transitioned mainly from traditional methods of getting information to 'more modern methods. This explains why this market is one of the most promising because it's understood by consumers there who are used to regularly being marketed to through technology. India is expected to hold the highest market share among all countries in the region due to the presence of the largest gems and jewelry sector. Jewelry has always been a prized possession and has played an inherent part in India's culture and tradition. Personalization ensures creating high-quality, custom-made products that cater to individual needs and preferences. During the pandemic, many jewelers in North India offered a 'physical' approach, capitalizing on technology to reach more people, keep their revenues high, and maintain a safe and seamless shopping experience for their customers.

Segmental Analysis

The global digital signage solutions market is segmented by software, service, verticals, and regions.

Based on software type, the global digital signage solutions market is segmented into edge server software, content management system, and others. Content management software accounted for the largest market share and is estimated to grow at a CAGR of 11.4% during the forecast period. A content management system is designed to make it easier to manage content on websites and within intranets. It is the core of digital signage solutions. It provides the foundation for managing content. The higher level of flexibility and scalability provided by the content management system can help to build a successful digital signage network across the organization or in a different geographical location. The factors mentioned above boost the market growth.

The edge server software segment is the fastest growing segment. Edge server software can be operated with a touch panel or remotely. The software can be seen in the digital signage software. The software can be accessed with web browsers and helps manage the content in the digital signage solution. The software comprises content visualization, reservation, access to reserved content, and content scheduling. Such features boost the market growth.

By service software type, the global digital signage solutions market is segmented into installation services, maintenance and support services, and others. The installation services segment accounted for the largest market share and is estimated to grow at a CAGR of 10.9% during the forecast period. Installation services are essential for ensuring that digital signage works appropriately for business. Any firm can benefit from digital signage as a marketing tool. It is vital to have the installation done by professionals to ensure that the screens are set up in the best possible way. Installation services also include setting up internet access and storage for content, securing the connection, and configuring security features. Such features boost the market growth.

The maintenance and support services segment is the fastest growing segment. Digital signage solution has rendered its support and maintenance services through a dedicated and experienced team of support engineers. The company's experienced engineers provide a wide range of services to ensure total customer satisfaction, thereby driving the segment growth.

By verticals, the global digital signage solutions market is segmented into retail, corporate, BFSI, and others. The retail segment accounted for the largest market share and is estimated to grow at a CAGR of 11.2% during the forecast period. The retail industry uses digital signage solutions to display public information or commercial advertising on an LCD monitor that is usually located in high-traffic areas. Digital signage solutions allow businesses to advertise to consumers in real-time and provide consumers with up-to-date information on new products and sales. With various screen sizes, shapes, and configurations, digital signage can be placed in some places to reach a targeted audience. Such applications in the retail industry contribute to the growth of the market.

Corporate is the fastest growing segment. As the internet has become more prevalent, digital screens have become a quick and easy way to coordinate different types of work. This can be done through in-office announcements, emails, or live-tweeting while at work. Moreover, Digital Signage (DS) is one of the most effective mediums for a company to communicate with its customers. It provides a platform for marketing, sales, and branding. DS helps companies reach out to their target audience at any time of day, no matter where they are. Such factors contribute to market growth.

Recent Developments

• March 2022 - STRATACACHE announced a partnership with NCR Corporation to deliver engaging menus, compelling offers, and best-in-class service.
• February 2022 - Broadsign International announced a partnership with Clear Channel Europe to enable media buyers to tap into Clear Channel's 3000+ digital Out of Home screens in the UK via Clear Channel LaunchPAD.
• March 2022 - Navori Labs announced an introduction of QL 2.7, a Digital Signage Solution software with an expansive suite of new features that cross all core software elements.