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November 25, 2008

40 Percent of Network Digital Displays to Leverage SMS for Interactivity by 2012

By Anuradha Shukla, TMCnet Contributing Editor

According to MultiMedia Intelligence’s research report, “Network Digital Signage: Infrastructure, Displays, Technology,” a good amount of interactivity is in store between potential customers and display technology, but advertisers want a higher level of engagement with digital signage by enabling a backchannel.



 
The report indicates that by 2012, 40 percent of new network digital display platform installations will leverage SMS for interactivity thanks to the simplicity of SMS messaging and the ubiquity of wireless handsets. This growth, according to MultiMedia Intelligence, is up from approximately five percent in 2007.
 
Other wireless methods such as RFID, Bluetooth and Wi-Fi are also expected to significantly penetrate interactive digital signage platforms. This year, 169,000 newly installed digital displays featured Bluetooth, RFID, Wi-Fi or SMS capabilities or some combination of these four protocols, the report said.
 
MultiMedia Intelligence specializes on the markets and technologies for delivering and monetizing digital content and services across multiple platforms. Rick Sizemore, chief strategist for MultiMedia Intelligence, pointed out that SMS interactivity will open new revenue streams and will bring back 1-to-1 marketing. He emphasized that no other alternative will be as successful as SMS.
 
MultiMedia Intelligence’s latest report that examines and forecasts key market verticals in the network digital signage market also shows that the majority (ninety percent) of all networking connections from the servers to the set top boxes or digital media adapters in digital signage networks were Ethernet in 2008.
 
The report says that HDMI, a cabling option to the display promises to comprise 70 percent of connections to newly installed digital displays by 2012. The firm predicts $170 million in 2008 revenue for cabling and related electronics for companies like Gefen and Belkin in digital signage.
 
Europe is strengthening its lead in the digital signage market and the research firm expects 5,000 new digital signage display screens to be installed in 2008 in Germany. 
 
Don't forget to check out TMCnet’s White Paper Library, which provides a selection of in-depth information on relevant topics affecting the IP Communications industry. The library offers white papers, case studies and other documents which are free to registered users.

Anuradha Shukla is a contributing editor for TMCnet. To read more of Anuradha’s article, please visit her columnist page.

Edited by Michelle Robart


 







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