Screen communication in retail... Is it really necessary?

Introduction

The integration of screen communication into physical retail spaces is often heralded as an innovative step forward, yet this technological advancement brings both advantages and challenges. On the one hand, digital displays promise a new realm of interactive customer engagement, offering retailers the ability to communicate in real time and present dynamic content. However, concerns are growing that the proliferation of screens in stores may not always align with consumer needs or behaviors.

Digital displays, when used wisely, can be powerful tools for boosting sales and informing customers about products and promotions. Yet, their overuse or lack of clear strategy can lead to visual noise that irritates rather than attracts customers, risking an alienating effect where the value of product offerings is lost amidst digital distractions. Retailers face the challenge of using technology as an extension of their sales strategy, not as a hindrance.

The misplaced pixel pitch

The potential of screens as a sales enhancer depends on the content they display — an aspect often overshadowed by the dazzle of digital adoption. In their rush to modernize, many retailers hastily join the screen bandwagon without much strategy or content to back their pixelated pitches, resulting in a cacophony of sometimes irrelevant content that could annoy rather than entice potential buyers. Screens, if not used judiciously, risk becoming digital wallpaper: present but inconspicuous, ignored by the very customers they were meant to captivate.

Often, these displays recycle promotions without considering consumer relevance or timing, turning potentially impactful marketing into mere background noise.

The screen or the story?

In theory, screens can enhance the appeal of an offering by providing useful information or even entertainment. However, the reality is that many digital displays in stores recycle generic content that adds little to the shopping experience, a form of recycling that falls short of sustainability and flouts the laws of media.

Marshall McLuhan's iconic statement, "the medium is the message," first introduced by the Canadian philosopher and communication theorist in his 1964 book "Understanding Media: The Extensions of Man," seems more relevant today than ever. As technological developments continue to redefine consumer behavior and the ways businesses communicate with their customers, understanding the dynamic interaction between medium and message is critical for retail success.

The digital revolution has fundamentally changed how people shop and interact with retail brands. The rise of e-commerce platforms, social media, mobile apps, and screens has opened new avenues for consumers to engage with retailers' offerings and services. In this context, the medium through which retail messages are conveyed significantly influences customer experiences and perceptions.

By "the medium is the message," it is meant that each medium communicates with its audience in its own unique way. The unadapted recycling of content across various media is more than just a bad idea. In practice, usually for financial considerations, it is nevertheless commonly practiced.

Content is queen!

If the customer is king, then perhaps we should approach them as the queen would, with intelligence and strategy. When screens are used strategically, as they always should be, integrating them coherently into a brand's commercial narrative is undeniably important, a task for brand, communication, and/or marketing specialists.

However, the problem may lie in the fact that retailers often engage with companies specializing in selling screens, which employ more technical and functional experts than communication specialists. Strategy is expected to come from the retailer, who may mistakenly think the screen supplier is the specialist. Yes, they are specialists in screens and providing "nice or attractive" but primarily functional content. Whether these suppliers can strategically add commercial value varies greatly.

A tip?

When choosing your screen supplier, consider not only price, functionality and service but also how they can translate your strategic approach through the medium into profitable results, ensuring screens are an investment that pays off, not just a cost.

Few examples serve as inspiring illustrations for my argument, but there is still

"SO MUCH POTENTIAL."

However!

I recently paid a visit to IKEA in Wilrijk near Antwerp after a long time. If you really want to see how screens can add value and activate your offerings… then quickly take a look at IKEA. I assume that this is not only visible in Wilrijk.

Honestly?

I currently know of no other strong example on the Belgian market, unless someone can prove me wrong, within the mid-range segment that incorporates screens as part of a coherent sales-activating in-store communication in a similar manner. As I used to tell colleagues: "if you're stuck, go for a round at IKEA... and inspiration will come". In my opinion, IKEA hadn't been doing so well for a number of years but is now completely back.

A screen too far?

While it's undeniable that we live in a digital age, retailers would do well to consider whether their rush to incorporate screen communication is driven by consumer demand or a misguided desire to appear progressive. The urge to integrate technology into every aspect of store space is a good mindset. However, engaging with it critically and aiming for the greatest possible impact with the least investment seems like a path worth taking.

Conclusion: reconsidering screen communication in retail

Screens undoubtedly have an impact.

Whether and how they are used is always worth considering.

I believe ROI can be a good, if not the best, arbiter here. The recurring problem is how that ROI can be calculated? Calculating the return on investment (ROI) of screens in a retail environment usually requires an analysis of both direct and indirect costs and benefits. If interested, I have a checklist of points to consider when calculating ROI. Just send me an email and I'll send this checklist back by return.

A second decisive factor is undoubtedly the content, its objectives, and the coherence within the brand story. Personally, I think that the main objectives should be to activate sales and assist sales staff. Screens that serve as a 'silent salesman'. The salesperson who always tells the story accurately, is never in a bad mood, and is almost never sick, and especially… can tell what we really want to be told and what customers can pass on!

But dear retailers; "take a critical step back today and try to assess the actual impact of your digital displays." (if screens are indeed being used)

Screen communication that is not goal-oriented, does not enrich the customer journey with relevant and timely information, contributes nothing to the business, and leaves the customer indifferent to that umpteenth advertisement should be questioned or at least adjusted.

In an era where the ruthless pursuit of consumer attention, authenticity, and personalization are king, screen communication should be deployed with a discerning eye. If not, it may as well be left out without making a difference in revenue.

The question remains:

Will the digital darlings of the retail industry evolve into meaningful touchpoints, or will they be reduced to the role of expensive, energy-consuming ornaments?

I personally don't think so and am convinced of the added value they can provide but only time, strategy, and consumer response will teach us.

Because the "queen" will ultimately decide for the "king"!

Luc Campo – The Retail Engine

luc@theretailengine.be

November 13, 2023