It’s more than halfway through 2012, and digital signage is increasingly becoming the preferred method for retail and service establishments to communicate with their clients. However, their networks usually fail to yield significant return on investment due to a lack of knowledge, research and effort. These shortcomings result in subpar networks that do not meet a network operator’s goals and expectations.

Research shows that more than half of the viewing audience of KidCARE TV is heading to the grocery store immediately after viewing the network’s content, with another third heading to the drug store.

When deployed the “right” way, digital signage networks are the best way to extract a desired response from customers. Compared to broadcast television, costs are very affordable. Not only can custom networks yield more than a 30-second commercial, but the content can be targeted with more precision and displayed directly to those most likely to buy products and services from a vendor. CARE Media’s three networks, PetCARE TV, KidCARE TV and Women’s HealthCARE TV, are viewed more than 90 million times each year, and are displayed in more than 6,000 medical offices.

Just to give a brief history, PetCARE TV was launched in 1992 as a place-based network. Initially, due to technology — or the lack thereof — videocassettes were mailed on a monthly basis to the veterinary offices and were manually inserted and played in the waiting room. The network transitioned to mailed DVDs and then to a centralized digital signage network, with content delivered via the Internet, in 2002. And although the network has been moderately successful since the early years, it wasn’t until the digital age that results could be quantified accurately, and the content could be fine-tuned to maximize return on investment.

Beginning in 2006, CARE Media began investing in third-party research. Arbitron has been invaluable in differentiating content that is very effective and some that needed some slight tweaking. It is important to keep in mind that advertising dollars fund CARE Media’s networks, so it is an absolute necessity that the digital signage be proven effective and effectively measured. The better the results, the more inclined advertisers will be to utilize the network. Additionally, customers will be more motivated to act on the intended message.

Because CARE Media networks are advertiser-supported, the effectiveness can be measured by the ability of the viewer to recall advertisements. The ability of the content to engage and educate the consumer is what allows advertisements and other intended messages to be impressed into their minds. In the PetCARE TV network alone, which is displayed in more than 5,000 veterinary offices and receives 2.2 million views each month, pet owners recall 29 percent of the advertisements, with 37 percent of viewers recalling at least one specific commercial shown during the viewing time. These numbers are from an October 2011 study.

As of October 2011, KidCARE TV network played to an audience of more than 3.5 million each month, up 12 percent compared to 2010 and up nearly 60 percent compared to 2009.

The research from Women’s HealthCARE TV yielded some expected results and some impressive results. Being a network with screens in offices of OB/GYNs, 91 percent of the viewing audience is comprised of females, most of whom are ages 18-44. Though not surprising, it is a very useful statistic when approaching advertisers that are aiming to reach this target market. Another stat that is of great interest to advertisers is the amount of viewer impressions on a monthly basis. In the Women’s HealthCARE TV network, more than 80 percent of the audience reported to Arbitron that they actually paid attention to the content that was displayed in front of them and planned to watch it again. Women’s HealthCARE TV network is exposed to a monthly audience of more than 1.4 million patients, with nearly 1.2 million actually viewing the programming.

As of October 2011, KidCARE TV network played to an audience of more than 3.5 million each month, up 12 percent compared to 2010 and up nearly 60 percent compared to 2009. We also know that more than half of the viewing audience is heading to the grocery store immediately after viewing the network’s content, with another third heading to the drug store.

Across the CARE Media networks, we see excellent results in the numbers as well as the opinions of the viewers. Eighty percent like that the network is available in the waiting room and plan to watch it; 60 percent believe the information to be a more credible source for health education than viewing at home; and one out of five reported that the content reminded them to have a specific conversation with their doctor or staff about a health topic. The formulation for success has been an ongoing process over the past two and half decades, and has now been proven effective over the past half decade. For advertisers, knowing that their target demographic will not only be paying attention, but also remembering their commercial is of upmost importance. Couple that with the fact that 60 percent will be going shopping that same day, and you have a recipe for success.

Advertiser-supported networks exist in a competitive media space. It is up to the network operator to prove the worth of the digital signage to the advertisers. Third-party data research companies are helping digital out of home networks secure those advertising dollars. It is the investment by the network into this research that will continue to drive the digital out-of-home industry.

This article was reprinted with permission from the Digital Signage Connection and originally appeared here.

Copyright © Platt Retail Institute 2012 and reprinted with permission. All rights reserved. See the entire PRI Resource Library at www.plattretailinstitute.org/library.