Alternatively known as dynamic signage, electronic signage, multi-media merchandising or narrowcasting, networks of digital signs are an exciting and technologically oriented way for hotels to communicate with guests and employees. The digital signage system provides a number of ways for the hotel industry to provide targeted advertising for guests and in many cases may provide an additional revenue stream for the hotel.

The system has two main uses in hotels. The first use is for the hotel itself. For example, the digital signage could be used to direct meeting attendees to their meeting room location. These directions could include a company welcome screen, directions to the meeting room, and guest room information. Other potential internal hotel uses might include pool hours, special room promotions, incentive/frequent traveler program information, or employee recognition.

The second use of the system is for “value-added” content. Value-added content encompasses many different concepts. These concepts might include: cross-promotion with the hotel’s in-house restaurant, promotion of local businesses, weather, news, and community events.

Promotion of local businesses does positive things for a hotel. First, it serves to entertain and inform hotel guests. For example, a hotel guest unfamiliar with the city might choose a restaurant based on digital signage advertising. The guest then begins to develop a positive opinion of both the hotel and the restaurant. Another guest might find an updated Sunday football schedule valuable.

These same advertisements also offer a potential revenue stream, with tremendous profit potential. A hotel might set up an advertising revenue stream that charges local businesses to advertise on the digital signage. This could be especially valuable to restaurants, as guests staying in hotels have a need to eat somewhere.

Usage

• Larger TV or Plasma Screens behind front desk or in lobby to display information about the hotel, nearby restaurants, weather, movie theaters, meeting room locations, weddings or other information.
• If hotel has cable distribution hardware, it may also be possible to distribute all digital signage content to a cable channel on each guest room TV
• One digital signage channel for each hotel location

Possible Signage Content

• Hotel Information/Policies
• Pool Hours and Location
• Cross-Promotion with in-house restaurant
• Weather
• News
• Frequent traveler Incentive advertising
• Local business advertising and promotions
• Community Events
• Sports schedules

Return on Investment

• Increased sales for hotel by increasing guest awareness of room specials, etc
• Potential revenue stream from signage advertising pages
• Indirect payback:
  • Demonstrate hotel is technology and future oriented
  • Assist guests in locating meeting rooms, pool and hotel facilities
  • Increase guest awareness for local businesses
  • Provide guest service with current weather and travel conditions
  • Increase service level to guests with local restaurant promotions
  • Recognize high performing staff memebers

Installation

• Install one current personal computer with dedicated Internet access for each channel (set of content) provided
• Usually only one signage channel is needed
• Signal transmitted via hardwire connection, cabling is already installed at most hotels.
• Installation of screen behind front desk and/or lobby area
• Using existing hotel hardware, it may be possible to broadcast the digital signage content to every guest room TV via a channel combiner

Estimated Costs

• $55 per month per branch for signage subscription fees for one channel (paid annually)
• $800-5,000 up front installation costs depending on configuration and remodeling requirements