Page 1: Executive Summary Introduction Page 2: Advertisement – Market Share (2010) & OOH Market: Segmentation (2011) Overview Page 3: Market Overview – Digital Signage: Market Size and Growth (2010-2012e); PLC: Digital Signage Page 4: Operational Model Page 5: Technology Page 6: Recent uses of Digital Signage Page 7: Porter’s Analysis Market Characteristics Page 8: Summary Page 9: High Recall & Productivity; Higher Flexibility Page10: Uncertain RoI and Lack of Understanding; Need for Protection & Adjustment Proprietary Properties and Issues with Sales Trends Page 11: Summary Page 12: Innovations; Importance on Content Page 13: Experience, Engagement and Interaction Competition Page 14-16: Profile of Key Players (Public) Page 17: Bubble Chart (Based on revenue, net income and asset value) Page 18-26: Profile of Key Players (Private) Recommendations Page 27: Future Outlook Page 28: Recommendations Appendix Page 29: Appendix: Financial Ratio Calculations

1. By Sonal DesaiSonal DesaiSonal DesaiSonal Desai, CRN, Apr 16, 2013
Growing Acceptance Of Digital Signage
The digital signage market has reached a critical size and provides partners
with abundant opportunities
The digital signage (DS) market has evolved over the last two years. According
to research firm Netscribes, the DS market in India totaled Rs 560 crore in 2012
against Rs 450 crore in 2011, and is growing at 25 percent CAGR.
Today’s DS solutions offer wireless and touch interactivity, live feedback, video
and demographic analytics, and integration with CRM and BI—all of which is
making the CMO sit up and take notice.
Says Kalyan Banga, Manager, Product Development, Netscribes, “DS has
demonstrated the ability to reach large audiences in a targeted way, and allows
marketers the flexibility to deliver messages to specific audiences.”
According to Manish Gupta, Zonal Manager, Neoteric, “Organizations are
adopting DS due to the growing sophistication in how brands want to manage
consumer experience. “Brands want to deliver interactive, personalized and
enjoyable experiences to end-customers on any device. DS can make this
happen.”
“DS has demonstrated the ability to reach large audiences in a targeted
way, and allows marketers the flexibility to deliver messages to specific audiences”
Kalyan Banga
Manager, Product Development, Netscribes

2. “Over the last two years we have signed 100 customers for DS solutions,”
informs ER Ashok Kumar, VP, Sales, Cisco Services, Cisco India & Saarc. “We see
this business doubling for us over the next few years. The demand for DS is
coming from retail, BFSI, healthcare, education and hospitality. The government
is also a large prospect.”
Panasonic is another company that is bullish about the DS opportunity in India.
“We are seeing a steady monthly sell-out of 100 units of 55-inch video-wall
solutions for signage applications,” reveals Vineet Mahajan, Head, Display
Products, Panasonic India.
Partner opportunitiesPartner opportunitiesPartner opportunitiesPartner opportunities
Although there are opportunities for DS solutions for both external and internal
communication, the opportunities for partners largely stem from in-store or in-
premise installations meant for internal communication.
Hyderabad-based Shell Networks has deployed 100 point solutions at the Pune
unit of telecom giant Vodafone. Says AL Srinath, CEO, Shell, “It was Vodafone’s
HR department that wanted to display congratulatory messages for employees’
birthdays, anniversaries, etc. The demand for onsite deployments is huge
across all industry verticals.”
BFSI is another big segment for DS. Today, banks are using DS at all their
branches to display new offerings, schemes, forex conversion rates and
customer benefits.
Mumbai-based Niche Softek is upbeat about the demand in the BFSI segment.
The company recently installed DS solutions for 65 retail branches of SBI for a
project worth Rs 1 crore. “We are expecting a bigger order from SBI on the back
of the successful implementation, and also from other banks,” says Deven
Limayae, CEO, Niche. “Share broking houses, financial services companies and
hospitality are deploying DS in a big way.”
Vardhaman Technology is another Mumbai-based company that is bullish

3. about DS. With its own brand of DS solutions, Vardhaman has done several
projects for information kiosks. “We have been in this segment for the past five
years. We have our own portfolio of solutions and have experienced strong
growth. Having been successful in India we have now ventured into the
American market to target SMB customers there,” says Amit Rambhia, Director,
International Sales, Vardhaman.
“Over the last two years we have signed 100 customers for DS solutions.
The demand is coming from retail, BFSI, healthcare, education and hospitality”
ER Ashok Kumar
VP, Sales, Cisco Services, Cisco India & Saarc
One of the recent projects Vardhaman did was for Kalyan Janata Sahakari Bank,
where it installed DS solutions across the bank’s 33 branches in Maharashtra
for Rs 15 lakh. The company also has several projects in the pipeline from the
government sector. Informs Rambhia, “We are piloting projects for the city bus
service in Mumbai to set up information and ticketing kiosks at bus stops;
these will display information such as the arrival time of a bus and the bus
routes.”
Ahmedabad-based Innova Systems has deployed DS solutions for a large
fashion house. “We have deployed the entire solution stack including point
solutions, media players, networking and content solutions for three stores of
the fashion house in Gujarat, and have bagged a repeat order for more
installations,” says Apurva Dave, CEO.

4. The digital signage market has reached a critical size and provides partners
with abundant opportunities
Retail has seen increased spending on DS. “Retail stores are branching, and the
CEOs are taking close interest in the performance of each store. Retailers are
therefore investing in interactive screens for live feedback, and are constantly
changing the messages to meet the expectations of their target audience,” says
Siril M, Sales Manager, Foxconn, Middle East, India & Africa.
Education is another promising vertical. “Private institutes are opening
branches, and are looking at solutions to display uniform mission and vision
statements across all the branches. Schools are therefore looking at large
display screens to be installed at the reception areas, essentially for internal
communication,” notes Abhilesh Guleria, Country Head, Multimedia Product
Group & IT Platforms Group, NEC India.
“Android-based signage is entering the market, and customers are
converting tablets into signage, which are placed on retail shelves”
Amit Rambhia
Director, Vardhaman Technology
Further, vendors and partners are tying up with content providers to tap
opportunities in this segment. Foxconn, for instance, has partnered with
Educomp Solutions for content in the education segment. “We realize that
partners cannot provide content on their own, and need to be enabled. We are
tying up with more content providers so that our partners do not have to go
scouting for content and lose projects to the competition along the way,”
explains Siril.
A new area of focus is mobility and Android-based signage solutions.
“Android-based signage is entering the market, and customers are converting
tablets into signage, which are placed on retail shelves,” says Rambhia.
Vardhaman is working on a pilot with a large FMCG company. “We will deploy
tablets on retail shelves. The tablets will constantly play product ads of the

5. brand and also the offers available,” Rambhia informs.
Not to be left behind, resellers and solution providers are also looking at
opportunities in the government which they say are huge and mostly untapped.
For example, Niche has integrated live TVs with the token management and
queue management for Passport Seva Kendras in 10 locations in north India for
a project worth Rs 1.5 crore.
Similarly, the government has opened up spaces at railway stations, metros,
bus stops and public venues for displaying popular information on DS boards.
Southern Railway has installed a DS system at Egmore Railway Station in
Chennai to provide passengers with clearer and quicker updated information.
“This is a huge opportunity if you count the number of key stations across the
length and breadth of India—and there will be multiple signages deployed at
each station,” points out Limayae.
Vendor strategiesVendor strategiesVendor strategiesVendor strategies
To aid the sales growth, DS vendors are launching new products in smaller
form-factors, and are investing in partner training and certifications.
Foxconn has launched Nano PCs based on Intel technology, priced under $200.
These are 40 times smaller than micro-ATX PCs, are equipped with USB 3.0,
HDMI ports, n-series Wi-Fi, gigabit LAN, digital audio, an internal speaker and a
card reader. “A display with a CPU is today available from Rs 25,000 to Rs 1
lakh. Because of the low price, SMBs are also looking at DS solutions which were
earlier out of range for them,” says Siril.
“A display with a CPU is available for as low as Rs 25,000. The low price
has made it affordable for SMBs and thus increased the market for digital signage”
Siril M
Sales Manager, Foxconn India
Intel is promoting the Next Unit of Computing, its new platform which provides
ultrabook-level performance in an Atom-powered box for less than Rs 20,000.

6. “It can work as a primary PC and also be used extensively in embedded systems
such as smart interactive outdoor signage,” says S Natarajan, Country Business
Manager, Embedded Market, Intel, South Asia.
Intel has also launched the Audience Impression Metrics (AIM) Suite, a software
solution which provides video analytics based on responses to visual
messaging. “AIM profiles viewers based on gender, age, viewing time and
duration. It uses anonymous sensors and sophisticated computer algorithms to
accurately count the potential and actual audience for visual messages and
merchandising,” Natarajan informs.
Cisco is encouraging its partners to obtain certification in its Authorized Digital
Media System Partner Program to enable them to sell and support Digital Media
Systems and focus on digital media and video solutions. “We have enabled more
than 100 partners for DS, and are helping them with lead management and
pre-sales,” Kumar says.
Meanwhile, NEC has developed a dedicated solution for the education vertical.
The company is positioning its comprehensive DS solution comprising point
solutions, projectors, media players, storage, servers, networking and content
for educational institutes in the country.