ST. LOUIS - Just because you’ve installed flat-screens in your branches doesn’t mean you still won’t end up with flat sales results.
That’s the caution being offered by one electronic signage expert, who outlines a formula to boost digital signage ROI. Jim Kueneke, senior vice president of retail for NewGround, says that digital signage generates business results if the credit union makes it an extension of its brand, trains frontline staff on how to cross sell with it, and measures success.
“Digital signage has proven to be a powerful sales tool,” said Kueneke, pointing to a Strategy Institute of New York’s study that concluded digital signage receives 10 times the eye contact of print signage. “The financial marketplace is getting crowded and credit unions have to look for ways to differentiate themselves. Digital signage can be one differentiator, but it must communicate an effective message, provide some level of entertainment, and be supported by a properly trained staff.”
Training staff is the most critical step, according to Kueneke, who says that electronic messages can’t be lengthy–most only 30 seconds. The technology simply serves as a conversation starter. Kueneke says NewGround, a design and implementation firm working with CUs nationally on digital signage systems, partners with its clients to conduct member service rep training, and that includes leveraging the digital signage.
The goal is to make sure the front-line team takes advantage of cross-selling opportunities when digital signage “opens the door.” Staff are trained to understand the messages running on the video screens, be aware when members are paying attention to TV monitors, and know the right products to cross sell to the appropriate demographic.
“We did a digital signage pilot with a financial and added a training element,” Kueneke said. “We explained how to work with the signage and engage customers in effective conversations. At the end of the pilot, the financial captured $1.6 million in deposits with another million in the pipeline. They invested $100,000 in the digital network.”
Kueneke stressed the importance of measuring the impact of the signage because it’s “not an insignificant investment.” Costs for installing digital signage in one branch average between $10,000-$15,000. Kueneke suggests running special promotions designed just for the electronic system, and track when members respond. “You can also compare in-branch sales results with branches that have digital signage and those that do not.”
As Kueneke explained, just installing digital signage isn’t the answer. Credit unions should make sure messages are well thought out, play well in a short time frame, are more visual than text-based, and tie directly to the credit union’s marketing and collateral materials.
“You want to make sure your digital messages convey the same look and feel of your other marketing materials because that prevents sending conflicting messages, which can cause more harm than good,” Kueneke said, sharing that digital networks should clearly communicate the CU’s brand.
“The person creating content for digital signage has to understand the thinking and direction of the credit union, as well as the style and design sense of all the CU’s communications.”
Adapting messages to meet the needs of different demographics is another consideration. For example, if seniors are the primary demographic a branch serves, Kueneke recommends not having “super-active screens” and making sure messages are “more straightforward.”
Adding general news or local weather information to add some entertainment value isn’t a bad strategy either. “It doesn’t hurt to have non-branded content on your system,” Kueneke said. “If members are looking at the system, they’re getting your messages.”
Kueneke believes the value of digital signage is growing–especially with RFID and even Bluetooth technology adding the ability to tailor onscreen messages to the demographic of the member watching.
“It’s interesting to watch what is happening in broader retail,” he said. “More promotional messages are being delivered outside of people’s homes, and this market is growing. Today, if I want to reach you with my messages, I have to reach out to you...When members are in a branch they are in the right frame of mind and receptive to messages about the financial institution.” (c) 2008 The Credit Union Journal and SourceMedia, Inc. All Rights Reserved. http://www.cujournal.com http://www.sourcemedia.com
