Digital Signage Sales 101: No Free Lunch, Only Buy and Sell Quality LED Displays

- Mike Prongue

No Free Lunch!

My blog posts always attempt to discuss the realities of the LED display industry- the good, the bad and the ugly of what you may find on the streets in your city. But there is one thing that continues to irritate me, and worry me late at night, as I count LED displays before I fall to sleep. It’s a false belief that will not die with Sign Companies- There is such a thing as a free lunch when it comes to purchasing LED displays!

What do I mean? The acronym TANSTAAFL (There ain’t no such thing as a free lunch) was introduced many posts ago and it means that even when you think you’re getting something for “FREE”, there are real costs involved that have to be considered- nothing is FREE. These unspoken, undisclosed costs can add up to total more than the most premium LED display product available at full retail.

How often have I heard Sign Company “X” say, “We had to buy an imported LED display from The Cheapest Kid on the Block because the customer could not afford a good one?”

Come on, you’ve heard it. You may have even said it.

When a compromise such as this ensues, a myriad of repercussions may occur which harms the customer, the dealer’s reputation and also results in a monetary loss. Think about it- “We had to buy an imported LED display from The Cheapest Kid on the Block because the customer could not afford a good one?”

That’s a little bit like an automobile consumer saying they could not afford air bags or that they could not afford a clean-technology engine and an old smog producer would have to do. “No, I am adamant! I do not want seat belts in my car- they add $75 to the price and that puts me over my budget!”

So, wow… I can’t wait to ask this question: It’s okay to make a sale, putting a known “cheap” quality product on your customer’s pole? Pick how that LED display got “cheap”. Something had to be shortchanged:

• Inferior software that costs the customer more in lost man hours than the price difference between the “cheap” display and a quality display? 

•  Poor quality LED modules that may be re-manufactured, or will fail far sooner than their stated 100,000 hours of use?

• Extended delivery and installation times?

• LED display cabinets made of pre-rusted steel or worse- cabinets that actually leak?

• Limited-range wireless systems which are intermittent?

• Electrical wiring that looks like it was made from re-constituted and painted dirt?

And the list goes on. How do you explain the weekly service calls? That is not only embarrassing but there is a real cost that someone pays for- you, the sign company, or the customer. We all know that there is no such thing as a free sign repair!

Here are three prior blogs, previously written here, that may help you learn what to look for in a quality LED display and the characteristics of an outstanding manufacturer partner.

Take a look:

Product Consistency and Long Term Success with LED Sign Manufacturers

http://vantageled.blogspot.com/2014/05/digital-signage-need-to-know-product.html

Digital Signage Learning Curve, How to Tell a Good Manufacturer From a Questionable One

http://vantageled.blogspot.com/2014/03/digital-signage-need-to-know-digital.html

Is Anything Really ‘Made’ in the USA?

https://www.blogger.com/blogger.g?blogID=2022916025730742612#editor/target=post;postID=1494135637653442846;onPublishedMenu=allposts;onClosedMenu=allposts;postNum=57;src=postname

Really, we all know what happens when we sell poor quality a-n-y-t-h-i-n-g. We put some money in our pocket today, but by tomorrow, it starts to jump back out of our pocket as a result of poor warranties, defective hardware, excessive training and re-training costs, trip charges and time wasted dealing with unhappy customers and obstinate product manufacturers.

Only buy and sell quality LED displays and keep your profit! While many young wishful girls may believe unicorns are possible, most grownups are wiser and know that there is really no such thing as a free lunch- first rule of economics!

These comments are my personal perspective and do not reflect the opinion of Vantage LED, Inc. or SignVine, Inc. or any other person or organization. If you have constructive feedback please email me at michael@signvine.org.  - Mike Prongue

Digital Signage Need to Know: Product Consistency and Long Term Success with LED Sign Manufacturers.

-Scott Hofheins

The ISA International Sign Expo 2014 finished up this weekend, and by all accounts was a great success. I enjoyed talking face to face to partners, manufacturers and providers in the industry and meeting some great people. The experience brought up a couple of topics I would like to discuss today. Product Consistency and the Long Term Relationship with your manufacturer/supplier.  

Although the Orlando show is slightly scaled down when compared to Las Vegas, it can still be a bit overwhelming for those new to the industry. One of the reasons for this is the ‘wow’ factor. Manufacturers want to put their best foot forward, and the good ones can back it up with a solid consistent product and experience long term. However, we should be careful of those who have a great looking product on the show floor, but supply a less than ideal product in reality.

Sometimes it’s easy to spot; choppy graphics and slow animations look sub-par even on a large 20 ft. LED sign. But it can be difficult to tell in many cases, unless you've been in the industry for a while. Super tight pixel pitches and flashy marketing material can sometimes make a supplier look better than they really are. It’s worth the effort to dig deeper, and really make sure you are able to get the same product quality long term.

While a super tight 6-8mm pixel pitch may get your attention at the show, the vast majority of LED signs are going to be in the 16, 20, or 25mm range.  How does the manufacturer measure up with these more affordable pitches? Are they going to use the same materials and quality in the product you order?

To be perfectly clear, there absolutely nothing wrong with a high resolution LED sign, they look spectacular and a good manufacturer will offer these pitches along with their standard line. Putting the highest resolution out there just happens to be a significant trend at these shows, and can sometimes skew a person's objectivity. They key is providing you a consistent product regardless of the resolution, and supporting that product throughout it’s lifetime. Remember, your signs need to last longer than a 3 day indoor trade show; it’s going to be outdoor, in the elements 24/7.

Unfortunately this is an issue for some manufacturers, often many located overseas. You may initially get a similar product to the one you saw at the show, maybe even the first 2-3 months or longer. However, at some point you may start to see changes to the product that you were unaware of, changes to the components and the quality of the material that affect the stability of your product in the field. When these changes occur, who do call?

You may get general answers or apologies, but do you really have any pull with the production team or product managers in a factory across the pacific ocean? Not very much, and unfortunately you may have to pay the price for their mistakes with your own reputation and money. Fixing these issues can be costly, and not often timely as you wait for parts to ship from limited supply of spare parts overseas.

Consistency is extremely important in our industry. You want a partner who has the ability to provide this too you on a regular basis. And when changes are made, to inform and document those changes for you. One of the important factors that impacts the ability to provide this is location. As I mentioned in an earlier post,  domestic design and engineering are fundamental to producing quality LED signs. Additionally, domestic support is key to providing you the tools you need to maintain happy customers and functional signs.

Being able to contact a US based representative, who reports to leadership in the US, who oversees production and design team face to face, in the US, is a benefit not to be taken lightly. Feedback and communication from the sign providers onsite provides priceless information for manufacturers to better their product and services. It’s difficult to get that level of communication from a factory thousands of miles away.

As I mentioned before, you, the sign provider bear the ultimate burden for your LED signs in the field and their long term operation. Your signs must stand up to the elements 24/7, and must be fixed in a timely manner when issues arise. The sign warranty plays a central role in this, and should be clear, underwritten, and backed up by real action, not just ink on paper. The industry standard is 5 years parts and “factory labor”. This usually includes parts replacement, and the labor for the factory to repair parts at the factory. It should not be confused with a real onsite, or service labor warranty that includes actual onsite service to the sign. A few manufacturers offer the extra onsite labor warranty, and I highly recommend it.

Everyone wins when you choose a quality manufacturer. You get a partner invested in your success. Your customers get a consistent product that will last, and when issues arise you both have a US based factory and support team ready to assist. Remember to keep your objectivity, don’t get distracted by the ‘wow’ factor, and take the time to do your research and dig a bit deeper. Make sure you're doing business with a company who cares as much about your long term success as you do.

-SH

I hope this post has been informative and helpful. As usual, I welcome ALL constructive comments. Please feel free to comment and add anything I’ve missed, or additional tips you may have regarding this topic. Please visit www.vantageled.com for many other resources, white papers, and of course: Great looking LED Signs!

**All posts/thoughts/writings are strictly the viewpoint of me and me alone and do not reflect nor speak for Vantage LED’s beliefs, attitudes, thoughts, etc. unless specifically stated.

Digital Signage 101: Digital Signage doesn't work! Here's why...

-Deacon Wardlow

We've seen success and we've experienced failure, if you haven't experienced failure then just wait around a bit and it'll catch up to you soon enough. We learn from our mistakes (and, when we're lucky, the mistakes of others). As Zig Ziglar said, "If you learn from defeat, you haven't really lost." Try to tell your clients that though...

Digital Signage (DS) can be awesome, amazing, subtle, powerful, pointed, quiet, and a multitude of things, but more often than not, it's a failure. Why? Why would I write this when so many people tout the great leaps and bounds int he market. The huge market share DS is taking up... The gains DS is making within various industries (both profit and non-profit)? Obviously something is working for somebody. Here are the big three.

Content
Feed the beast or it'll eat you alive. Content not only needs to be fresh, interesting, and timely, it needs to be good. It's not enough to slap a picture on a screen with a witty saying or a pricepoint. Where's the call to action? Why put up,"$0.99 hot dogs," when you can say,"First 10 customers - $3 for 2 hot dogs and a 16 ounce soda!" Give people a reason to take advantage of an opportunity (and help them identify an"opportunity when it happens). You can lead a horse to water, but the trick is making him drink when you need him to.

Control
We live in the age of amazing tech where a toddler can pickup a tablet and get to their favorite game or TV show before they can even speak! SIMPLE IS BEST. If the system seems too complex and there's no direct benefit, see if there's a better (simpler) way to do things. The simpler a system is to use, the easier it is for the clients (the organization using the DS solution) to manage and update. The more the DS solution is updated with fresh and interesting content, the better its chances are of achieving that return on investment (ROI) or return on objective (ROO) the organization had in mind when they first envisioned having a DS solution in place.

Too many cooks in the kitchen
I was recently speaking with a DS client who had a great system (a combination of LED displays and LCD interior systems which were synchronized and had a solid, consistent brand and message running throughout the locations). I noticed things were looking splicy (fonts were different, the branding was confusing, and the message outside wasn't consistent with the content inside). Specials advertised on the LED Sign weren't synced up with the LCD displays and the information wasn't correct. I asked the manager what happened. They replied management decided to have one department manage the LED displays (to bring in customers) and another marketing team would handle the interior LCD displays. The teams weren't talking and there was nobody in charge of the complete package to ensure the message was constant and consistent across platforms. The regional manager eventually got everyone to go to a site and they agreed to have one person be responsible for the overall program. When too many people are given control, nobody really has control. Make sure the DS system in place has a definitive person and/or place where, "The buck stops" when it comes to management and content choices.

DS is awesome to work with. After attending the CES (Commercial Electronics Show) in Las Vegas this month, my brain is flooded with the amazing possibilities to integrate new technology to make DS more interactive, more dynamic, and not just about the LCD screen, but the overall experience. The failure of a technology isn't in what it can deliver, it's in how the technology is managed and used.

Make sure whatever DS solution is recommended, the client is comfortable with the system and confident in how to use it to get the most out of their displays. The reason Digital Signage doesn't work isn't because of the displays, or the content, or the systems. At the end of the day, the reason is as simple as someone not taking the time to speak with a client and make sure they get what they need. There's an urge to sell everyone a sports car when they really need a pickup truck. Listen to the client and deliver the right system for their situation and you'll come out with a much better solution at the end of the day.

Please comment here or send questions or requests for information to deacon@vantageled.com. Vantage LED has white paper resources and more educational material on the website (http://www.vantageled.com), please check it out when you have a moment. Note all posts/thoughts/writings are strictly the viewpoint of me and me alone and do not reflect nor speak for Vantage LED’s beliefs, attitudes, thoughts, etc. unless specifically noted.attitudes, thoughts, etc. unless specifically noted.

Digital Signage Need to Know: Boiling Down the 7 Key Elements of Digital Signage

There are a million lists that define "Must Haves", "Absolute Requirements", "Sage Industry Advice" and "Never Dispute These Points" in our LED sign world today. Promises are made and assurances are given and specifications are sworn to and sealed with a few drops of the CEO's blood before the project is shipped.

So many claims, so little time. How does a Sign Company wade through all the hyperbole and overstatements and make the correct choice when selecting an LED display manufacturer?

It's hard to trust anyone or their claims made . Even Holiday Season claims are in doubt 'He's making a list, checking it twice, going to find out who's naughty or nice!" How did he do this? A phone tap or CCTV installed in a kid's room? No, more than likely just a way to try and control the behavior of an unruly child for 364 days per year.

But, borrowing from the spooky 1990's, American TV show the X-Files- "The truth is out there!"

In the LED Sign Industry, the holy grail of reasonableness regarding LED sign selection is called "The 7 Key Elements of Digital Signage".  This list is embraced by the Digital Signage Federation and the list makes a lot of obvious sense:

1. Hardware
2. Software
3. Connectivity
4. Content
5. Operations
6. Design
7. Business

During a recent MSSA (Mid-South Sign Association) seminar mentored by Brian Gorg, Director of the Digital Sign Federation, he suggested focusing on just 2 of these elements rather than all 7. The assumption is made that top manufacturers all execute at a high level with respect to hardware having had many years to refine their product. What then to focus on?

Brian suggested that Software and Content were perhaps the top 2 of the 7 Key Elements. Adding to these 2 elements he further suggested that "Partnering" was an additional component to consider.  The following is my review of these elements:

Software: Cloudware, Cloud-based software is the future. No need to store, edit, constantly update software and waste time with antiquated systems. What about simplicity? Plug and play is not quite a reality yet, but it's a lot closer than just a couple years ago. Speed? Reliability? Yes, and more yes!

There are superior choices available in the marketplace- do your research but state-of-the-art software is now a reality.

Content: Many end-users buy an expensive LED sign and then run poorly produced content. In the early days, when LED signs first hit the streets, their uniqueness and rarity brought a lot of attention to any business running any message. Even a gray-scale (monochrome) LED display used to attract a lot of attention even without animation or graphics. This is not so true today. Great content is must to deliver on the economic promise of the LED sign. What manufacturer provides content as part of standard offering?

Much debate also exists as to "great" content. If you are an end-user, skilled in making world-classs pizzas, and your 9-year old gifted son, a master of Photoshop provides you with and example of "great" content, it may or may not be all "that great"! Professionally produced content, using USA designers and digital artists, is the way to produce consistent and high impact content!


Partnering: Trust is the key word. Is your manufacturer committed to making your Sign Company an outrageous success by doing end-user demos and not selling their LED sign directly to your customer and "allowing" you to install it? What about listening to your issues, responding quickly to changing business conditions and having engineering talent available to support you?

The 7 Key Elements of the Digital Sign Industry are comprehensive and are a good source of reference. The assumption that only 2 (or so) of the  Key Elements are vital is based on the assumption (again) that you are working with a top supplier. First you have to identify and select a top supplier. If you are still importing or trying to find some miracle LED sign product that gives you world-class quality at a deeply discounted price then then you need to study all 7 Key Elements and perhaps another dozen or so before buying anything. There is a difference in suppliers.

The truth is still out there and is easy to find. The "Googler" awaits! But don't stop there. Call manufacturers and speak to real people. Ask to speak to and engineer and find someone to verify and validate how they support the 7 Key Elements.

Execute due diligence or discover the phrase "Caveat Emptor", let the buyer beware, the hard way.

Check it out!

These comments belong to me, Mike Prongue, and do not reflect the views, opinions, hopes or dreams of anyone else, anywhere else and this includes Vantage LED. I appreciate your constructive opinion which may be sent to me at michael@vantageled.com. 

 

Digital Signage Need to Know: Isn't "The Cloud" the Same as Wireless Connectivity?

Isn't "The Cloud" the same as "Wireless" connectivity?

Let's lay this interesting misconception out and discuss how the two concepts are related (or not). A definition fresh from the Mirriam-Webster dictionary, of the World Wide Web opens the topic:

Definition of WORLD WIDE WEB-

: a part of the Internet accessed through a graphical user interface and containing documents often connected by hyperlinks, also called the Web

And the definition of INTERNET-

:  an electronic communications network that connects computer networks and organizational computer facilities around the world

The Web is a part of the Internet.  There are other parts of the Internet and the most well known are:

FTP and Gopher Sites

Communication Programs

Newsgroups

Chat Rooms

Social Networking

Definition of THE CLOUD-

: anything that involves delivering hosted services over the Internet

So, The Cloud, as it were, is really a process, or a service.

Think of it in terms of the early days of personal computing (which extended up until a few years ago). You are a wheat farmer in Kansas and you use a service that predicts the weather, estimates the cost of the wheat at market, provides technical assistance and allows you to talk to other wheat farmers on-line. You pay $50 per month for this service and they send your CDs out whenever they update the software- let's call this service Wheat-Max.

The nice people at Wheat-Max just upgraded their software so the introduction screen is prettier and the cost per bushel estimator for International shipments is running real time. They sent out the new update to your farm last week and your wife dropped the CD on your desk this afternoon.

Now, you have your desktop fired up and insert the upgrade disc into the DVD/CD reader on your computer hoping everything runs smoothly from a technical perspective, while keeping an eye on that approaching thunderstorm (would hate to lose power 1/2 way through the upgrade) and not wanting to miss your dinner. Twenty minutes later an error code is displayed to your screen that says "insufficient RAM: process aborted". 

Hasn't this happened to you? Well maybe not the Wheat-Max upgrade, but my point is why do we manage our software this way? Why didn't Wheat-Max just upgrade their software on-line, then after dinner you could sign on and just use the software?

The same concept holds true for LED sign software. How many LED sign companies open up their newly arrived LED sign project, remove the LED cabinets, set it up in their shop and look for the CD to make it all work!  Whoopsie- they did not ship the CDs with the LED display!

Let's not play that game. Let the LED manufacturer do the work. You, the LED sign company, have enough to worry about finding new customers and sealing the deal. You don't need the headaches of trying to run a data processing center too.

So, the Internet is the network of computers, the World Wide Web is part of the Internet, and The Cloud is just a cool name for accessing and using the software on some other company's computer so you don't have to have your dinner missed updating the program with yet another revision.

But the question was: Isn't "The Cloud" the Same as Wireless Connectivity? Clearly it is not the same. Wireless connectivity allows a user to communicate to an LED display (for example) remotely but the controlling software may be on their PC. With Cloud control the software is resident on the computer of the LED manufacturer. To make it even less clear- when using the cloud software to control your LED display it communicates remotely (wireless). You just don't have to fool around maintaining the software because it's on a remote computer online.

It works... its great... get into THE CLOUD!

These comments belong to me, Mike Prongue, and do not reflect the views, opinions, hopes or dreams of anyone else, anywhere else and this includes Vantage LED. I appreciate your constructive opinion which may be sent to me at michael@vantageled.com.