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Digital Signage ROI: How to Measure It
How to measure digital signage ROI: setting goals, baseline metrics, sales lift and A/B tests, cost savings, proof of play and calculating payback period.
Key takeaways
- Define a clear goal for each screen before measuring anything.
- Compare against a baseline and test one change at a time.
- Include savings, like printing costs, as well as sales gains.
On this page
Digital signage is an investment, so it should earn its keep. Measuring return doesn’t require complex tools, just clear goals and honest comparisons.
Step 1: Set a goal per screen
- Sell more of a promoted item
- Increase average order value
- Reduce perceived waiting time
- Cut printing and design costs
- Improve internal communication
Step 2: Measure a baseline
Record sales, queue times or other metrics for a few weeks before installing or changing content.
Step 3: Test changes
Run one promotion at a time and compare against the baseline or a similar store without screens. Rotate content and see what moves the numbers.
Metrics to track
| Goal | Metric |
|---|---|
| Promotions | Units sold of featured items |
| Upselling | Average order value |
| Queues | Perceived and actual wait time |
| Costs | Printing and labour saved |
| Engagement | Proof of play, interactions on kiosks |
Step 4: Calculate ROI
ROI = (gains + savings − costs) ÷ costs. Include hardware, software, installation, content and maintenance in costs. Payback period is how long gains take to cover the investment.
Worked example
A café spends on two menu screens and software. Promoting a high-margin combo raises its sales, and printing costs disappear. If monthly gains plus savings exceed monthly costs, the setup pays for itself over time.
Improving results
Better content and placement usually improve ROI more than new hardware; see digital menu boards and digital signage software.
Frequently asked questions
Does digital signage really increase sales?
It can, especially for promotions near the point of purchase. Measure your own results.
How long does digital signage take to pay back?
It varies by setup and goals. Clear promotions and cost savings shorten the payback period.
What is proof of play?
Reports showing when and where content played, useful for promotions and advertisers.
Sources
Every article is edited by a human and checked against our editorial policy. Spotted a mistake? Tell us.
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