Category: LG Commercial Display

LYLE BUNN

Digital Media Strategy Architect, BUNN
Lyle@LyleBunn.com
Lyle Bunn is an independent analyst, advisor and educator providing digital place-based signage expertise to end users in the planning, design, sourcing and optimization of their initiatives. He has published more than 300 articles, whitepapers and “how to” guides and helped to train over 10,000 end user and supply professionals. See www.LyleBunn.com.

 

Awards commend innovation and best-practices. They recognize intelligent investment and allow everyone to celebrate in advancements. They make us wonder who contributed and who benefited. But what is in the DNA of an award-winning application of digital signage.

While the medium serves a rapidly growing number of firms across every sector of the economy for patron, shopper, traveller, staff and student communications, it is most fully embraced by the “needy and the greedy,” those whose survival is most dependent on cost-effective communications, and those at the other end of the scale that have a veracious appetite for greater productivity of place, processes and people.

Most nominees in digital media award programs such as DIGI, APEX, Customer Experience, POPAI or Infocomm follow a similar script. A problem or opportunity is addressed by the use of digital media. Since this describes virtually all digital signage initiatives, the real merit-worthy differentiation lies in the “how” of planning, investment and the application of the right tools to achieve results.

Award winners live in a digital signage “moneyball” world in which data drives decisions.

• The magnitude of the problem or opportunity is articulated.
• Possible outcome scenarios are described as benefits are to be realized.
• The costs of the sourcing and operating options are quantified.
• The merit of investment is validated and considered against other priorities.
• The right people are engaged and actions are taken. (See a previous blog concerning the right digital signage team).

The data and information elements of the options are typically described as a comparison of the costs and benefits of different options. This is itself a challenge given the range of options available and the skills that vendors exhibit in presenting their “solution”.

The sourcing options are then viewed through various “lenses” that allow the end user to define the approach that best suits their culture, overall priorities and capabilities.

The DNA of award-wining signage initiatives clearly demonstrates how the problem was overcome or the opportunity was realized.

Digital signage is knowledge-based industry and projects cause an overlap of the priorities and expertise of different departments.

The best of the best digital media projects are a demonstration of consensus-building and collaboration under strong leadership. The initiative are exciting to the enterprise and express the will to be different and be better.

The solution solves the current need while enabling new approaches to experience, engagement and viewer targeting to be applied. In focusing on “the now,” immediate return on investment is realized, and the future-proofing concern assures that incremental improvements can be sustained, and will not fall prey to debilitating operating costs and “work-around”.

Award winners deliver quantifiable benefits that validate and far out-weigh the costs.

Every digital signage deployment should be undertaken to distinguish itself in the benefits that it will deliver. Plan that your project can be numbered among those that provide “wow” in terms of quantified benefits, extraordinary presence and efficiency in undertaking.

Past award-winners offer the shoulders that every new initiative should stand on and new award-winners define each new level at which the bar is set.

Awards offer recognition to a job well done, and they make it easier to gain funding and resources in future. When you undertake a new initiative or take a current one to new levels – go for the gold!

DAVID HAYNES

Editor/Founder at Sixteen:Nine
Dave Haynes is the founder and editor of the Sixteen:Nine blog. He is a well-known figure in the digital signage and Digital Out Of Home sectors and runs a pair of companies, The Preset Group and pressDOOH.

 

“Before we fabricate anything,” says Bill Dunn, as we’re walking into LG MRI’s 120,000 manufacturing plant, “we know that display is going to thrive, not just survive.”

His company, based in the sprawling, heavily-wooded suburbs north of Atlanta, makes large-format outdoor displays for the out of home advertising business and, more recently, emerging markets like fast food drive-thru lanes. LG MRI has about 30,000 units in the field, and based on a plant tour I did last week, there are a lot of new orders getting filled.

The company has about 200 employees, and another 100 at a nearby facility that’s focused on military and commercial aircraft displays. It’s that work, putting screens in the cockpits of everything from big passenger jets to fighter aircraft, that pretty much defines what LG MRI now does. With 100% market share in the North American market, CEO, founder and sole owner Dunn was looking for new markets for specialty displays, and found digital signage.

It’s a very different business.

While the aerospace industry is driven by engineers who, by necessity and DNA, are focused on precision and uptime (screens just can’t dim or die), the out of home industry is run by media people who tend to be focused more on the unit price of displays, and their base look and feel – not their underlying specs.

It makes Dunn crazy. An engineer to the core, he sees complicated, mission-critical jobs being judged and decided on the wrong factors.

LG MRI’s unit prices tend to be significantly higher than the offshore and North American companies it competes against, but Dunn argues the total cost of ownership on outdoor display jobs is almost always wildly higher in going with less engineered product. Where competing displays aren’t meeting advertised specs the moment they’re turned on outside, and will fall below acceptable viewing standards in about three years, Dunn says his company’s displays will last at least 10 years and look as bright and crisp as the day they got powered up.

That lifespan happens, he says, because almost half of the people on staff at LG MRI are engineers. Dunn has 90 kindred spirits who are just as fixated as him on uptime, viewing quality, and process.

Among the many things Dunn showed me through the better part of a full day at the facility was a demo – dumbed-down for dumb me – on something called computational fluid dynamics. It’s a modeling process, involving very complex, pricey software, that uses data analysis and algorithms to model and resolve designs that, in the case of outdoor displays, examines the generation and movement of heat.

By using what’s abbreviated as CFD, Dunn’s engineers can model and figure out how displays designs will handle and exhaust all the heat that gets generated by the LED lights that drive super-bright outdoor displays, but also the additional, at times crushing heat load of the sun.

“Heat is the enemy,” he says, ” and our job is to figure out how to get rid of all that heat.”

The conventional way to get a screen bright enough to cut through mid-afternoon sun, on a Phoenix sidewalk, in July, is to crank up the backlighting and overpower the sun’s rays, and then power a bank of fans and filters in the enclosure to keep the display within acceptable operating temperature ranges.

Dunn says that design leads to heat building up and staying trapped inside the core enclosure that houses the critical electronic components, like the display controllers and media players. His team has learned through experience, and validated through computer modeling, progressive generations of designs that move heat through the enclosure and exhaust it, while keeping the electronics isolated and relatively cool in their own sealed air pockets. Between LG MRI and the sister company, American Panel Corporation, there are some 300 patents.

Part of the work and knowledge is based on having sorted out ways to optimize display performance.

Dunn and his guys set up a demo out back of the Alpharetta plant, in the direct morning sun, to show how an LG MRI display performed against a competing product. Both, Dunn says, look great in a showroom or on a trade show floor. But real world conditions are a different matter.

LG MRI’s display is rated at 3,500 lumens, and at 10 am on a bright, warm morning, the external measuring tool read 3,490 nits. The screen beside it, from a major manufacturer, is rated at 2,500, but was actually pushing out 1,540 nits – because of a filter that’s part of the screen design to fight reflection, and because the display was already fighting the sun, heating up and taxing the fans and available power.

What was kind of amazing was measuring the brightness from a 45 degree angle, which is how a lot of people are going to see screens when they are walking past an ad display built into a bus shelter or sitting ahead of them in a drive-thru lane.

Brightness on the LG MRI screen went down to 2,320 nits. It went down to 381 nits on the brand X display, and the display’s visuals were barely visible.

Dunn says that brightness difference, as compelling as it may be, isn’t even the real issue. While the display industry sells on brightness levels, the real measure to care about is contrast. Contrast readings have to clear a certain bar, or viewers aren’t going to be able to distinguish much of what they see on a sunlight-bathed screen.

The pix I took didn’t do a great job of showing differences. But my own take was the LG MRI screens were definitely brighter, had a much wider viewing cone and the one in the middle from the pic above, from another manufacturer, had a purple haze to it, brought on by the filter in the glass.

I’ve been at other facilities where specialty displays are put together, but can’t fairly comment on whether what LG MRI has and does is wildly different. I can say it was impressive. My unschooled idea of the outdoor specialty display business is buying open-frame high bright displays and building them out back of the offices into environmentally protected, mechanically cooled enclosures.

The LG MRI guys, however, pretty much start from scratch.

The first thing I saw was a robotics line that builds the integrated circuit boards from the raw, green wafers, and then seals and bakes them. The same line produces the boards for, among many things, F-35 fighters and M1 Abrams tanks.

In the main plant, which is about the size of a Costco, LG MRI builds displays up from the raw LCD cell (think a sheet of film) through the LED backlighting layer, circuitry, custom wiring harnesses, metalwork and glass. The facility has giant laser and water jet cutting machines, a series of Italian machines that do semi-automated precision metal bending, and a crazy vacuum sealer bag thingie that pulls sealed layers together without putting weight on them.

The optical glass that is used to front displays was previously outsourced, but a whole assembly line is now being built that will bring all that in-house within a month – going from raw mother glass sheets through cutting, polishing, painting and curing.

The company even has a wood shop making its own custom shipping crates for the giant displays. But before they get packed, every unit goes through a quality control process that includes time in a shower to verify its water tightness. Funnily, on a floor packed with robotics and precision tools, the best way to dry off a wet display was a guy, a ladder and a leaf blower.

In the digital signage business, sticker price is the irrational driver behind everything from hardware and software to installation deals. There’s always a healthy chunk of end-user/buyers who don’t really know what they’re looking at and buying. So they revert to comparing base specs or appealing visuals in making decisions.

Sales guys with “premium” products make the Total Cost of Ownership argument, but a percentage of the buying market thinks they can get what looks to be pretty much the same thing – whatever that thing is – for less.

I’ve had may conversations with the heads of software companies who say a big part of trade for them is replacing the first system that went in, and went badly. Dunn says the same thing happens, as they get calls from media companies that opted for lower initial costs and learned the hard way that the cost ended being far higher – between installation complications, rolling trucks and techs for servicing and repairs, and the screens dimming out by the third year.

Smart and/or seasoned buyers do things like shootouts. Dunn was up in the Toronto area last week watching a drive-thru install at an outlet of a major QSR chain – pitting his pre-sell and menu displays against three other vendors. I was able to get down to Atlanta because I hitchhiked back with him on his company’s six-seater plane, which Dunn personally flies.

I’ve also had conversations with digital hardware companies who say their best sales tool is a site visit. I visited a custom PC maker last fall, and their folks said if they got prospects to come out for a tour, the close rate on deals was just about 100%.

Dunn confirmed that the same thing happens when his sales team get prospects to brave Atlanta traffic and make their way up to the plant.

I can see that. What you have is a military-grade supplier applying that military spec and mindset. It’s the difference between “it should work” and “it has to work.”

I can remember, years ago in my dark and mercifully brief sales past, staring dumbstruck at a software developer who told me a critical feature was ready, faster than expected, for a monster client that I was trying to close.

“You’ve tested it?” I asked.

“It should work,” he replied.

He didn’t even know he was having a near-death experience.

In this case, if you are a media company putting a 75-inch display on the end of a sidewalk transit shelter, that cost $20K-plus, it’s just got to work. And work well, And look great. For years.

And with 70% of sales at many QSRs being based on drive-thru lanes, a screen that gets dim or dark is a screen that’s losing sales.

The thrive and not just survive thing Dunn mentioned as we walked into his plant definitely makes sense.

The LG in LG MRI, by the way, is THAT LG. The two companies have a joint venture, and LG’s display technology is central to the product line. The electronics giant has some staff on site in Georgia, but the company is owned and run by Dunn. There are also some products that are marketed as MRI, that are not part of the LG partnership.

This article has been reposted with permission from the Sixteen:Nine blog.

LYLE BUNN

Digital Media Strategy Architect, BUNN
Lyle@LyleBunn.com
Lyle Bunn is an independent analyst, advisor and educator providing digital place-based signage expertise to end users in the planning, design, sourcing and optimization of their initiatives. He has published more than 300 articles, whitepapers and “how to” guides and helped to train over 10,000 end user and supply professionals. See www.LyleBunn.com.

 

The collective strengths of the people involved in a digital signage initiative generally define the project success.

Team leadership usually lies with the department that will gain the greatest benefit toward achieving their goals. Departments bring their expertise and things get done, hopefully.

Digital signage is one of those multi-department projects with touch points across the organization because of its impact on the organization.

Operationally, digital signage contributes to the productivity of places, processes and people. At the tactical level it impacts the success of the engagement of customers, patrons and staff. At the strategic level it impacts brand positioning and equity, along with the creation and leverage of assets.

When digital signage becomes the focus of discussion, each department has its own interests.

• Everybody wants improved customer experience based on what they do as a contribution to it.
• Executives want better corporate performance.
• Procurement wants to minimize capital outlay, and if they are team players, the total cost of ownership.
• Facilities seek digital signage that will deliver improved performance of the location and a better visitor experience
• Marketing wants better branding and merchandising at lower ongoing communications cost.
• Human Resources want to inspire productivity and minimize staff related costs such as absence, hiring and accident claims.
• Information Technologies want a solution that works and is RAS-able (Reliable, Available, Scalable)
• The Chief Information Officer wants to leverage data assets to improve productivity and enable new ways of operating.
• The security department want loss prevention.

When the medium is applied, everyone has something at stake.

The task of aligning those interests, marshaling resources, consensus building and “herding the cats” often calls on subject matter expertise as well as project management skills.

The project sponsor should be the highest-placed executive of the department that realizes that they have the most to gain toward digital signage helping to achieve their goals.

The team leader should be a direct report to that executive with the proven ability to get things done. They will understand the organization and its priorities, and marshal the resources to move the project forward.

The core elements of the team should include the key stakeholders such as marketing, information technologies, procurement, facilities and human resources. Specific groups such as security, merchant/supplier liaison, public affairs or investor relations can be engaged as suitable.

The digital signage team will oversee the design, funding, sourcing, deployment of the project, and it is common that responsibilities for ongoing elements such as network operations and content administration are met by the suitable business division. Optimization of the investment typically resides with the primary beneficiary.

Since “content” will be a primary consideration if the benefits of digital signage are to be fully realized, business units such as marketing, human resources, patron/facility personnel, line of business managers and agencies responsible for “content” on other marketing/communications devises such as TV, cable, billboard, print, internet and mobile should be involved.

Given the ability of digital signage to drive “audience of one” engagement, those involved with internet, mobile and kiosk strategy and operations will be particularly interested in the digital signage initiative from the standpoint of “trans-media” leverage.

Suppliers can be very useful in providing technology and service element expertise. External resources, such as a consultant or suppliers, able to provide objective guidance can also help to assure involvement by applicable business units while minimizing staff time and resources while minimizing time, risk and investment on the project.

“Templates” can be a strong foundation for project advancement. Designs, plans and budgets from similar projects can minimize the effort and time requirement while helping to assure that elements are adequately addressed and risk is minimized.

Digital signage has broad organizational impact, and as such there are many with interest in how the project will go forward and the medium used. The key role is that of project leader, who requires the support of management and input from other stakeholders.

LYLE BUNN

Digital Media Strategy Architect, BUNN
Lyle@LyleBunn.com
Lyle Bunn is an independent analyst, advisor and educator providing digital place-based signage expertise to end users in the planning, design, sourcing and optimization of their initiatives. He has published more than 300 articles, whitepapers and “how to” guides and helped to train over 10,000 end user and supply professionals. See www.LyleBunn.com.

 

Retail has not known its crisis of current proportion since the introduction of department stores, big box or discount retailing. While these brought big changes to the retail landscape, the perfect storm of online, mobile and the Millennials demographic are placing physical retail in a daily fight for survival.

Retailers have reacted to the onslaught of online with multi-channel strategies that quickly morphed into omni channel in order to harmonize the various consumer touch points. Most are now struggling to advance quickly into opti-channel and unified communications.

These macro-strategies are all in the name of flexibility of the consumer’s path to purchase while serving brand interests. The access options available to consumers are the melting pot of commerce that cause a neatly linear path to purchase map into what looks more like a plate of spaghetti. The marketers’ arsenal of inventory visibility, product comparisons, cross-selling, ship to home or store, purchase fulfillment and loyalty achievement and being tested, while technology investment by North American retailers has surpassed $125 billion annually.

“Customer experience” (CX) is the battle cry of retail on the shifting sands of consumer preference as empowered consumers led by Millennials not only vote with their wallet, but amplify or denounce brands based on their perception of value. Boomers, zoomers and savvy seniors are echoing Millennials’ attitudes.

Retail foot traffic has declining sharply. The Wall Street Journal reported ShopperTrak data that the 33 billion store visits in November and December 2010 declined to just over 17 billion for the same 2 months in 2013. A 50% decline in store traffic in just 3 years.

Meanwhile, Statista reports that in August 2015 the top 10 online shopping sites had 667 million monthly visits including 188 million for Amazon and 98 million for second-ranked eBay. Amazon accounted for 24% of all retail revenue growth in 2015.

Retail stores must succeed. They offer discovery and the tactile experiences of product look, feel and fit. Stores offer a social experience and for some, even exercise as patrons fulfill their needs and aspire to a bettered life.

Proven in-store strategies are neutralizing “show-rooming”, born of online options, and can reduce product returns. “Returns” has become the largest “supplier” for many retailers, imposing extraordinary costs on the business and challenging customer satisfaction.

Digital signage is part of the solution. It offers the simultaneously achieved benefits of branding and merchandising while bringing improved ambiance and vitality and reducing perceived dwell times at a location. Digital signage can inspire, focus and support sales associate success and express the business partnership of the retailer and its merchants.

So what is a retailer to do? This 5-point plan will be useful.

1. Look around. See the digital signage applications in retail, food services, hospitality, transportation, entertainment and other locations that your target customers see and your competitors use.
2. Ask for input. Often a short telephone call can get you heading in the right direction and focused on elements of high return on time and investment.
3. Designate a project leader to coordinate actions while creating consensus among departments.
4. Go for the quick wins while planning for broader benefits.
5. Allocate resources to your priorities in making store locations a more attractive destination, that attracts, holds and converts consumers to maximize your margin per visit and business value overall.

During the National Retail Federation conference in January 2016, it was declared that “bricks are the new black”. As the bricks welcome the clicks to the customer experience family, the bricks are called to mature yet again in serving consumer needs and wants.