Businesses intent on galvanizing customers to patronize physical stores are faced with the challenge of how best to understand their customers, strengthen their brand identity, increase efficiency, boost revenue and reduce costs.

One of the tools for overcoming these challenges is digital signage. Today, smart signs and interactive kiosks offer companies the ability to capture customer data in real-time, and to offer personalized recommendations based on individual preferences.

A case in point are quick-service restaurants, which are installing self-ordering kiosks to better serve and understand their customers. Fast-food giant Wendy’s, for example, installed more than 1,000 self-ordering kiosks in the U.S. last year, in a move that underscores the growing popularity of this new breed of smart kiosks.

The adoption of innovative technology is expected to lower costs while increasing sales and customer satisfaction. In the case of the fast food industry, interactive kiosks are boosting total sales per transaction. The ability to collect real-time data facilitates everything from targeted marketing and more informed decision-making to better customer experiences and higher profitability.

The Connection Between Advertising And Outcomes

Digital signage is being used today by advertisers who want to customize messaging to target particular demographic segments. Accurate tracking requires, for example, the ability for a sign to distinguish the difference between a 25-year-old woman and a 55-year-old man.

Using facial detection technology and artificial intelligence (AI), different ads can be displayed based on an analysis of who has just walked into a store or stopped in front of a store window. That can mean higher conversions that ultimately boost bottom line.

Data being collected from digital signage is completely anonymous, with the results aggregated for specific demographic groups, but not individualized. But now, some retailers, such as Lolli & Pops, are testing the ability to identify and target individual loyalty program members — who have opted-in — as they walk into a store. Privacy is, of course, an important consideration. Businesses should ensure that their advertising and marketing meets applicable local laws and are respectful of individual customers.

Ultimately, AI-driven analytics will enable advertisers to track whether a customer made a purchase related to a customized ad they saw. Ad attribution, which connects the promotion with the outcome, is the Holy Grail for both retailers and advertising agencies.

The ability to connect the dots between advertising and outcomes is essential for companies investing in kiosks and digital signage. As advertisers gain a better understanding of how digital signs can deliver ROI, it will enable them to best use this technology to personalize customer experiences and increase bottom line.

Investing In Digital Signage

Whether it is digital signage or interactive kiosks, companies that are investing in this technology should ensure that their systems can scale and grow with their needs. It’s important to make sure the technology being implemented can handle future growth, and easily accommodate new capabilities. It also is essential to be able to add new features with software upgrades, rather than having to invest in new hardware.

The Intel Smart Display Module (SDM), for example, offers a scalable media player solution that is optimized for digital signage, kiosks, and point of sale systems. It accommodates a wide range of processors — from the Atom to Core i7 — and can handle whatever workload is required to run smart signs and interactive kiosks. Intel’s innovative visual technologies are making low-power, high performance platforms available for AI-related computing. This facilitates the kind of processing firepower necessary for workload consolidation when managing compute-intensive AI applications.

Visual solutions, such as digital signage and interactive kiosks, enable companies to deliver dynamic content, increase efficiency, and save time and money. Sensors that facilitate the collection of real-time data can now be paired with machine learning systems and IoT connectivity to facilitate data analysis on-the-fly. The result is better targeted advertising, improved customer experiences and, ultimately, positively affecting the bottom line.

To learn more about Intel’s digital signage solutions, visit www.intel.com/digitalsignage.

Jose Avalos heads the leadership and management of Intel’s world-wide retail and digital signage business. He holds an Executive MBA from Harvard Business School, an MSE in Electrical Engineering from Arizona State University, and a BS in Electrical Engineering from University of Illinois at Urbana-Champaign. Follow him @Intel_Jose on Twitter.