“What are effective cost-reduction strategies that can be employed with digital signage to keep your capital investment and maintenance low?”
One of the best cost-reduction strategies I’ve implemented in the past was offering a revenue split on advertising in exchange for 24 commercial-grade monitors and a digital billboard installed at no cost. For a strategy like this to work, you truly need a win-win situation where the numbers make sense to both parties. In some cases, this can also work if you permit the potential partner to sell the advertising. If you or your organization believe this is a viable option, you need to cover all bases and make sure to dictate exactly what type/brand of signage you want, roles and responsibilities, maintenance agreement, and type of permitted advertising that can be displayed. Additionally, make sure your business terms don’t have loopholes. Your agreement needs to, at a minimum, cover the number of years the agreement will be in place, payment schedule, advertising rate card, maximum number of ads to run in a loop, maximum length of ad loop, include space for your messaging at no charge, and percentage of revenue share. These types of agreements work if there is constant communication and everyone feels as if they are getting a fair deal. If all works out, there is a good opportunity to expand your inventory and extend the agreement for additional years. It can’t get any more cost effective than free.