Many enterprises are finding digital signage extremely effective for the creation and distribution of content. Digital signage enables these enterprises to reach out to a much larger audience. The appeal of digital signage is expected to lead to the adoption of this technology in more sectors, such as corporate and hospitality.
Experts also predict that greater screen sizes will grow in popularity from now until 2025. For reference, 52-inch displays and above are considered to be large in the digital signage industry.
According to a study conducted by Grand View Research, Inc., the size of the global digital signage market is expected to reach USD 31.71 billion by 2025. From now until 2025, the expected compound annual growth rate is eight percent.
Based on the study, the growth will be attributed to an increase in demand from end-use industries, which include healthcare and retail. In 2018, there were 3,500 thousand units in the digital signage industry. It is expected that there will be 6,451 thousand units attributed to this industry by 2025.
There will be a large growth in demand for sharp images in the digital signage market. Experts believe that the demand for digital displays with 4K technology will increase as a result.
Some software providers are designing digital displays that are compatible with iOS and Android OS. The emergence of cloud computing and IoT is also expected to have an impact by making the collection of marketing and operational data possible. Digital signage will reduce costs for companies for the long-term by decreasing or even eliminating the need to use paper for marketing. More and more companies will incorporate the use of digital signs with LED-backlit panels in order to save energy.
Other Key Findings:
- The segment for transparent LED screens is expected to experience a significant amount of growth. Many LED screens are emerging with touchscreen displays as well as multi-touch technology. LED screens are very energy-efficient yet able to perform at a high level, enabling brand-new technology.
- Kiosks with interactive apps are expected to lead to the growth of the software segment in relation to the digital signage industry.
- The component segment of the digital signage industry will be dominated by hardware, which includes 4K and 8K-UHD displays.
- There will be a growth in demand for out-store applications from now until 2025 for the digital signage industry.
- Retail will see the use of interactive product recognition technology. This technology will give customers the ability to scan products.
- The digital signage market in Asia Pacific will witness a large CAGR from now until 2025. This is due to a variety of factors, such as a reduction in the prices of display panels, a growing transportation sector, and the need for a higher-quality viewing experience.
- In 2018, North America was responsible for the largest share of the market. This is due to the growing demand for digital signage in a number of application sectors. Other reasons include the modern customer base as well as the many technology advancements fueling the demand.
- The global display market in 2018 was dominated by LCD digital signage and accounted for a large market share. This is due to a decline in prices offered by LCD technology.
- Transportation and retail dominated the market with over 18 percent of total revenue in the year 2018 are projected to remain the segments that generate the largest amount of revenue for the next eight years.
- There is a lot of potential for digital signage demand growth in the healthcare sector. The reason for this is that hospitals have incorporated a significant amount of digital signage for many reasons, such as display notifications, registration information, and conveying tips to help ensure the health of patients.
On a global level, the digital signage industry is expected to grow significantly in the next decade or so. In many industries and sectors, the demand for digital signage is growing due to various technological advancements and an increasingly modern customer base.