How to Measure Digital Signage ROI Effectively

Digital signage has become a popular way for businesses to increase their visibility and reach potential customers. It is an effective method of advertising that can be used in many different settings, such as retail stores, restaurants, corporate offices, airports, schools, and more. Digital signage is now a hard, essential part of the modern, tech-driven business environment, providing organizations with a competitive edge.

But how do you measure the return on investment (ROI) of your digital signage software when targeting your audience through the right digital signage advertising networks? We explore that and more in this article.

Introduction to Digital Signage

You know, digital signage is honestly changing the game when it comes to how organizations get their message out there, it's kind of like having a super-powered bulletin board that actually grabs attention and gets people to pay attention to what you're trying to say. The whole digital signage market is really taking off too, and we're talking serious numbers here, they're saying it could hit around USD 45.94 billion by 2030, which is pretty wild if you think about it. More and more companies are jumping on this digital bandwagon because, honestly, it just makes sense for boosting brand awareness while cutting down on all those printing costs that really add up over time. These digital displays are kind of like eye candy that helps brands pop out from all the noise in crowded markets, and they're also making communication way smoother while keeping operational costs in check. When organizations weave digital signage into their game plan, they can get timely messages out there, keep their brand front and center in people's minds, and basically stay one step ahead of the competition, which, let's be real, is pretty crucial these days.

Benefits of Digital Signage

You know, investing in digital signage, honestly, it's kind of a game-changer for companies and organizations when you really think about it. One of the biggest wins? Well, it's how these eye-catching, flexible displays can boost your brand awareness and get customers actually engaged, imagine having a helper that never sleeps, constantly working to grab attention in just the right way. Digital signage lets businesses switch up content on the fly, which is perfect for restaurants, banks, and other places that need to update info all the time (no more scrambling with printed menus or rate sheets, right?). This flexibility doesn't just make things run smoother; it actually cuts down on those annoying print costs and streamlines your whole marketing approach. Plus, digital signage can really pump up employee engagement and keep customers happy by delivering the right messages at exactly the right moment. When you're able to stand out from competitors and actually drive sales, companies tend to see a pretty solid return on their digital signage investment, honestly, it's a smart move for anyone looking to improve their bottom line without breaking the bank.

Strategic Display Placement

You know, when it comes to digital signage, placement really is everything, kind of like putting up a billboard, but way smarter. Think about it: what's the point of having amazing content if nobody's actually going to see it where they need to, right? Strategic display placement is honestly like catching people at exactly the right spot and the right moment with your message. Take restaurants, for example, you've probably noticed how they'll position those sleek digital menu boards right at entrances or ordering counters, and there's a reason for that. It speeds things up big time and makes those daily specials practically jump out at you. Schools and colleges are getting pretty smart about this too, dropping digital signage in classrooms and those busy common areas where students are always hanging out. It's a brilliant way to share important updates and cut down on all that paper waste. And religious organizations? They're using these displays in those high-traffic spots where people naturally gather, delivering timely info and really connecting with their communities in a modern way. Here's the thing, when you carefully pick the best spots for your digital signage, you're basically maximizing visibility, making information flow so much better, and ensuring that investment actually pays off in a big way.

Content Preferences

You know, creating effective digital signage content really starts with getting to know your audience, and honestly, that's where a lot of companies miss the mark. Think about it: different groups of people respond to completely different types of messaging, right? Younger crowds might get excited about interactive, dynamic displays that move and change, while others just want clear, straightforward info they can grab quickly. Companies can use digital signage to push out real-time updates, notifications, and engaging content that actually connects with their target market instead of just throwing random stuff on screens. When you tailor digital signage content to what your audience actually needs and cares about, organizations can boost engagement, drive more sales, and honestly make the whole customer experience feel better. The ability to quickly update and deliver relevant information, well, that's what makes digital signage such an essential tool for staying competitive and keeping your brand top-of-mind.

Digital Signage Costs

Look, when you're thinking about getting digital signage for your company, sure, the upfront costs, you know, hardware, software, getting it all installed, can feel pretty hefty, but honestly? The long-term payoff usually makes it totally worth it. Think about it this way: digital signage actually helps companies cut down on all those printing costs (and we all know how that adds up), makes everything run smoother day-to-day, and creates a work environment that people actually want to be in. When you invest in this kind of tech, you're basically setting yourself up to boost brand awareness, get employees more engaged, and keep customers happier, which is kind of a win-win-win situation, right? Plus, here's something interesting: it can actually help keep illness rates down by getting health and safety info out there when people need it most, and it can drive real revenue growth by pulling in customers and making them want to stick around. At the end of the day, what you spend on digital signage pays for itself through all the improvements it brings to how you communicate, how people see your brand, and how your whole organization performs, making it a smart investment for any company that wants to really thrive in today's digital world.

Simplifying ROI Tracking with Purpose-Built Platforms

Here's something that honestly makes measuring ROI way easier: using a platform that's actually built for simplicity from the start. Rise Vision is one of those solutions that kind of gets it, you know? They've been around since 1992, so they've had plenty of time to figure out what actually matters when organizations are trying to justify their digital signage spend.

The whole cloud-based setup means you're not wrestling with servers or dealing with IT headaches that eat into your ROI before you even get started. Over 3,000 schools currently use the platform (they're shooting for 10,000 by 2027), which tells you something about how the economics work out for budget-conscious organizations.

Where the Cost Savings Actually Show Up

The template library, honestly, is where a lot of the ROI story lives. They've got 600+ professionally designed templates and they add new ones weekly. Think about it: if your team is spending hours every week designing content from scratch, that's labor cost you're burning. These templates cut that time down to minutes, which means your people can focus on strategy instead of fighting with design software.

Free training and support matter more than you'd think for ROI calculations. Most platforms charge for training sessions or make you figure things out through documentation. Rise Vision throws in free weekly training sessions and support with a 99% satisfaction rating. That's fewer hours spent troubleshooting, fewer frustrated employees, and less money spent on outside consultants when things break.

Blake Cretens from a full-service resort puts it simply: "Rise Vision makes sharing information quick and easy. It has saved us a lot of time and allows for easy last-minute updates."

That time-saving element translates directly to ROI. When you're running a resort with constantly changing event schedules, guest information, and promotions, being able to update displays quickly without technical barriers means staff can focus on guests instead of fighting with signage software.

Hardware Flexibility Protects Your Investment

One of the sneakier ROI killers in digital signage is proprietary hardware lock-in. You buy screens that only work with one vendor's players, then you're stuck with their pricing forever. Rise Vision works with basically any hardware, Android, Windows, Chrome OS, even Raspberry Pi if you're trying to keep costs down. That flexibility means you can shop around for the best hardware prices and aren't throwing away perfectly good equipment when you want to switch things up.

The 99%+ uptime rate matters for ROI too. Every minute your screens are dark is a minute you're not getting value from your investment. When you're calculating ROI, factor in that reliability, screens that actually stay running mean you're getting the full benefit of what you paid for.

Built-In Analytics for Measuring Performance

You can't improve ROI if you can't track what's working. The platform includes activity logs showing what content runs where and when. Through Google integrations and Power BI connections, you can pull external analytics data to track performance instead of just guessing whether your digital signage is doing anything.

The pricing model is transparent, no contracts, cancel anytime, which makes it easier to calculate true costs and potential returns. You're not locked into multi-year agreements that mess up your ROI math if things don't work out.

For organizations trying to justify digital signage spend to management, having a platform that's designed around simplicity and predictable costs makes the ROI conversation a lot less painful. You can actually show concrete time savings, reduced printing costs, and lower labor hours instead of vague promises about "brand awareness."

How to Measure Digital Signage ROI or ROO?

By understanding the basics of measuring ROI, you can make better decisions about where to invest your marketing budget, especially as managers and other key decision-makers evaluate the ROI of digital signage for their organization, and ensure you’re getting the most out of your digital signage. Here are some practical strategies for measuring digital signage ROI effectively.

Determine Your Objectives Clearly

Defining clear objectives will provide the foundation for determining how you want to reach your audience and measure success. 

Think about what you want to accomplish with digital signage: do you want to increase sales, attract customers, promote products or services, or deliver messages? You can also use digital signage to engage customers by showcasing your brand or announcing special offers. Additionally, digital signage can help your business differentiate itself from competitors by creating unique customer experiences that set you apart in a crowded market.

Whatever your purpose for investing is, make sure that you are able to define your goals in a clear and tangible way. Your objectives will shape your entire strategy for measuring ROI, so it’s important to get this right from the get-go. 

Formulate KPIs

Once you have established your objectives, the next step is to track key performance indicators (KPIs) such as engagement, visits, conversions, and impressions, and recall rates. Tracking recall rates helps measure how well viewers remember and retain your digital signage content, providing insight into the effectiveness of your messaging. KPIs need to be tailored to each individual objective in order for them to gauge success accurately. 

For example, if your goal is increasing customer loyalty, then tracking customer retention rates would be a good indicator. If your goal is to increase sales, then tracking the average purchase value or the number of transactions would be more appropriate.

Choose the Measurement Methodology

Next, it is important to decide how your digital signage campaign goals should be measured. The most effective way to measure ROI from a digital signage campaign is by choosing the appropriate measurement methodology. 

The main types of measurement methods include qualitative research (e.g. surveys and interviews), quantitative analysis (e.g. analytics), and observational studies (e.g. focus groups). 

Qualitative research can provide insights into how customers are engaging with your digital signage, while quantitative analysis can track which content elements are performing best or not. Observational studies will offer you an in-depth understanding of customer behavior in the environment where your digital signage screen is located.

No matter which measurement methodology you choose, the key is to make sure that it’s aligned with your digital signage campaign goals. You should also consider what data points will provide the most meaningful insights into the effectiveness of your digital signage campaign. During the measurement process, be prepared to identify and address any issue that may arise, such as data accuracy or selecting the right methodology.

By setting up metrics that are specific and relevant, you can ensure that you obtain accurate results.

Calculate Your Digital Signage Investment ROI

To calculate your ROI from a digital signage system, you first need to determine the costs associated with the project. This includes hardware such as displays and media players, software licenses, maintenance fees, and any other associated installation or setup costs. 

Once these expenses have been determined, you can create a rough estimate of how much money the system will save (or earn) for your business. Digital signage can also lead to an increase in sales by promoting products or services more effectively and encouraging customer engagement.

For example, if you are using digital signage to display promotional offers or advertisements in a retail setting, you can estimate how much additional revenue will be generated by each advertisement displayed. By dividing this expected ROI by the total cost of the project, you can determine your approximate ROI.

However, to get a more accurate assessment of your digital signage ROI, you should also consider any long-term savings or efficiencies that the system may generate. 

For example, if you are using digital signage to reduce printing costs or streamline customer service processes, then those cost savings should be taken into account. In many cases, digital signage can reduce these costs by as much as half, providing significant savings. Additionally, if the system allows you to reduce employee labor costs or enable better customer service, you should also take those savings into consideration, as well as the potential to improve your profit margin by reducing errors and highlighting high-margin items.

ROI vs. ROO

When creating a business strategy, two of the most important metrics to understand are ROI and return on objectives (ROO). ROI measures how much money is generated from an investment, while ROO measures how well objectives are met through that investment. 

ROI evaluates financial success and is typically used to measure one-time investments, such as advertising campaigns or capital investments. It’s usually expressed as a percentage and calculated by dividing the net gain from an investment by its total cost. 

ROI helps companies decide if they should invest in new projects or not, or how much they should invest in any given project.

ROO is a more holistic metric that evaluates a project’s success by measuring how well it meets its objectives. It takes into consideration not only the financial returns but also qualitative factors, such as customer satisfaction and brand perception. 

ROO is used to measure the overall effectiveness of projects, programs, or strategies over time, rather than one-time investments like ROI.

Know What to Measure

Understanding the ROI of your digital signage is key to proving its value and getting the most out of it for your business. To do this, you’ll need to know what metrics to measure. There are a few common metrics that can be used for effective measurement:

• Number of Views: Measuring how many people view your digital signage can help you determine how many people have been exposed to it. This is particularly useful if you are trying to promote products or services, as knowing the number of viewers can give you an indication of potential success.
• Engagement Rate: Measuring engagement rate is another important metric to consider. The engagement rate measures how much viewers interact with your signage, such as clicking on links or watching videos embedded in the content. You can also track actions like when viewers pick up a coupon or offer promoted through your digital signage, which helps gauge how effective your calls to action are. This can give you an indication of how effective your digital signage is at communicating with viewers and whether it’s likely to lead to any purchases.
• Conversion Rate: Measuring conversion rate can be particularly beneficial for businesses that are using digital signage for promotional purposes. Conversion rate measures how many viewers take the desired action after interacting with the digital signage; this could be making a purchase, signing up for an email list, or following a link. This metric can give you an indication of how successful your promotions are.

By tracking these metrics, you can gain valuable insight into the effectiveness of your digital signage and start to measure its ROI. Having a good understanding of the metrics can also help you optimize your content for maximum engagement and conversions. With this knowledge, you’ll be able to get the most out of your digital signage investments.

Assess by Asking

Measuring ROI can also involve collecting feedback from customers, such as surveys and interviews. Survey results can reveal that a majority of respondents agree on the benefits of digital signage, highlighting its positive impact. This can help you better understand the impact of digital signage on consumer behavior and perceptions. Additionally, it can provide valuable insights into how to further optimize your digital signage strategy and improve ROI.

It’s important to remember that measuring ROI isn’t just about tracking tangible numbers; it’s also about understanding the overall impact of digital signage on customer experience and satisfaction. 

By assessing the effectiveness of your digital signage implementation against customer feedback, you can ensure that your digital signage is creating the desired customer experience and driving ROI.

Perform A/B Testing With Your Content

A/B testing is a powerful tool for any digital signage content campaign. It allows you to test different variations of content so that you can identify which one performs better and increase engagement with your audience. By comparing two or more versions of the same content, you can determine which elements are most effective in capturing viewer attention and driving customer action.

A/B testing is simple and easy to set up. First, you'll need to create two versions of the content you want to test. Once these are ready, you can deploy them on your screen or display. Then, monitor the analytics data for each version over time. This will allow you to compare performance metrics such as dwell time, views, and interactions.

To get the most out of your A/B testing, you should be sure to test different elements such as images, fonts, colors, layout, and design. Additionally, track changes in performance over time to make sure that your results are reliable.

Use the Power of Digital Signage

Digital signage is a powerful tool for businesses to increase their visibility and reach. It offers an effective way to communicate with customers, prospects, employees, or any other target audiences quickly and easily. 

For businesses in the manufacturing sector, integrating manufacturing digital signage can streamline operations, enhance safety metrics, and drive measurable ROI. Digital signage supports frontline workers by improving safety, training, and real-time communication on the production floor. In healthcare, digital signage is widely used in clinics to improve communication, reduce wait times, and boost patient satisfaction. It can also help reduce stress in hospitals and clinics by providing clear information and making wait times feel shorter. In the banking sector, digital signage is used for marketing, information sharing, and customer engagement, modernizing branches and building trust. In education, digital signage enhances communication, wayfinding, and engagement across campuses, with classroom integration supporting learning and information delivery for students and staff. With digital signage, you can create visually appealing displays that draw attention, engage viewers, and get your message out more clearly, making it easier to keep track of what's happening and drive more sales.

But before investing in a digital signage solution, make sure you have a strategy in place to measure ROI to ensure that you’re harnessing the benefits of digital signage for your business. By measuring the ROI of your digital signage investments, you can determine how well your messaging is performing, and make necessary adjustments to ensure maximum effectiveness.

Frequently Asked Questions About Digital Signage ROI

How long does it take to see ROI from digital signage?

Honestly? It depends on what you're measuring and how you're using the screens. Some organizations see immediate returns, like restaurants that update digital menu boards and notice faster ordering times within days. Others are playing the long game with brand awareness and employee engagement, which might take months to show up in measurable ways.

For cost savings like reduced printing expenses, you'll see results pretty much immediately once you stop ordering posters and flyers. Labor time savings from easier content updates usually become obvious within the first month or two. Sales increases or customer engagement improvements typically take 3-6 months to establish clear patterns.

The key is setting realistic expectations based on your specific goals. If you're tracking something concrete like reduced printing costs or faster customer throughput, you'll know quickly. If you're measuring brand perception or employee morale, give it time.

What's considered a "good" ROI for digital signage?

There's no magic number here, which is probably frustrating to hear. A lot depends on your industry, how you're using the displays, and what you're comparing against.

Generally speaking, if your digital signage pays for itself within 12-18 months, that's solid. Some retail environments see payback in under 12 months through increased sales and reduced printing costs. Corporate offices might take longer because they're measuring softer metrics like internal communication effectiveness.

Here's a practical benchmark: if you're saving more in printing costs and labor time than you're spending on the system, you're already in positive territory. Anything beyond that, customer engagement, sales increases, improved safety compliance, is gravy.

Do I need expensive analytics software to measure ROI?

Not necessarily. Start with what you can track easily without adding complexity. Basic metrics like printing cost reduction, content update time savings, and labor hour comparisons don't require specialized software, just some spreadsheet work and honest tracking.

If you're trying to measure viewer engagement, dwell time, or conversion rates, then yes, analytics tools help. But plenty of organizations justify their digital signage investment using simple before-and-after comparisons of operational costs and staff time spent on communication tasks.

If you're trying to measure viewer engagement, dwell time, or conversion rates, then yes, analytics tools help. But plenty of organizations justify their digital signage investment using simple before-and-after comparisons of operational costs and staff time spent on communication tasks.

How do I calculate ROI if I can't put a dollar value on everything?

This is where ROI (return on investment) and ROO (return on objectives) come in handy. Not everything translates neatly into dollars, and that's okay.

For things like employee engagement, safety compliance, or brand perception, track your objectives instead of pure financial returns. Did safety incident reports decrease after installing digital signage with safety reminders? Did employee survey scores improve? Are customers asking fewer directional questions because wayfinding got better?

For things like employee engagement, safety compliance, or brand perception, track your objectives instead of pure financial returns. Did safety incident reports decrease after installing digital signage with safety reminders? Did employee survey scores improve? Are customers asking fewer directional questions because wayfinding got better?

Is digital signage worth it for small businesses with limited budgets?

It can be, but you need to be realistic about scale and expectations. A single screen in a small retail shop or restaurant can absolutely pay for itself through reduced printing costs and the ability to promote specials without reprinting materials constantly.

The math gets easier if you're already spending money on printed signage, promotional materials, or menu boards that need frequent updates. Digital signage that costs $15-40 per month might replace $100+ monthly in printing and design costs while giving you more flexibility.

The math gets easier if you're already spending money on printed signage, promotional materials, or menu boards that need frequent updates. Digital signage that costs $15-40 per month might replace $100+ monthly in printing and design costs while giving you more flexibility.

Cloud-based platforms with transparent pricing and no contracts make this easier to test without huge upfront commitments. You're looking for solutions where the monthly cost is less than what you're currently spending on the problem the signage is supposed to solve.

What if my digital signage ROI is negative? When should I cut my losses?

First, figure out why it's not working. Is the problem the technology, the content, the placement, or your measurement methods?

Common fixable issues: screens in low-traffic areas nobody sees, content that's boring or never gets updated, hardware that's unreliable and causes more headaches than value, or tracking metrics that don't actually reflect your goals.

If your screens are in good locations with decent content but still aren't moving the needle after 6-9 months, you've got a real problem. At that point, either pivot how you're using them or acknowledge it's not the right solution for your organization.

Red flags that suggest cutting losses: spending more staff time managing the system than you're saving, technical problems that never get resolved, or management treating the screens as "set it and forget it" when they actually need active content management to provide value.

The sunk cost fallacy is real. If it's not working and you can't identify fixable problems, canceling might be the right ROI decision.

How do I present digital signage ROI to leadership who are skeptical?

Lead with their language. If leadership cares about costs, start with concrete savings. For example, you might say: "We're spending $2,400 annually on printed materials that digital signage would eliminate." If they care about efficiency, focus on time savings: "Content updates currently take 4 hours weekly; digital signage could reduce that to 30 minutes."

Bring specific examples from similar organizations in your industry. Skeptical executives trust peer data more than vendor promises. You might reference organizations like yours: "School districts similar to ours have reported 50% reduction in communication costs after implementing digital signage." Real-world examples land better than theoretical benefits.

Propose a pilot program instead of asking for full deployment. "Let's test two screens in the main lobby for 90 days and track actual results" feels less risky than "Let's put screens in every building." Show them a clear measurement plan with specific metrics you'll track, then actually track them.

If possible, tie digital signage to problems leadership is already complaining about. Are they frustrated that employees miss important announcements? Do they wish customer service could handle routine questions faster? Position digital signage as a solution to their existing pain points, not a shiny new toy.

Can I measure ROI if we're using digital signage for internal communication only?

Absolutely, though your metrics look different than retail or customer-facing applications. Track things like:

• Email volume reduction (fewer all-staff emails needed)
• Meeting time savings (announcements on screens instead of taking up meeting agenda time)
• Employee survey responses about feeling informed
• HR onboarding time reduction (new hires get information from screens instead of requiring staff walkthrough)
• Safety incident rates if you're using screens for safety reminders
• IT support ticket reduction if you're using screens for tech tips or FAQ content

These might feel harder to quantify than sales increases, but they're real operational improvements with real cost implications. An employee who feels informed and connected is more productive. Fewer accidents mean lower workers' comp costs. Faster onboarding means new hires contribute sooner.

Document the time your team currently spends on internal communication tasks, implement digital signage, then measure again after 2-3 months. The time savings alone often justify the investment, even before you factor in improved employee satisfaction or safety metrics.