The point in question

It has been said that brands live or die at the point-of-sale (POS), because the sale of a product often comes down to a snap decision made in the retail outlet. In fact, up to 80 percent of purchase decisions are made in this way, with 16 percent of UK shoppers changing their minds from the brand they intended to buy when in-store.

On average we are exposed to over 170 marketing messages on a typical journey to work. So retailers are increasingly placing more importance on attracting the customer’s attention once they are in-store, and making POS media as eye-catching, appealing and unique as possible. There are also numerous distractions, even once the customer is actually in-store, like using mobile phones, reading e-mails, sending texts, and browsing the web. POS must, therefore, work even harder to gain their attention.

It must also be simple and easy to digest, as, on average, it takes the shopper just ten seconds to make a decision. Customers who focus on a product for more than three seconds are 63 percent more likely to buy it, and 73 percent of those who actually pick up a product will buy it—it is all about customer experience.

On trend

Epson’s recent 20/20 Vision survey showed that, despite the current economic climate, over half of retailers questioned planned to increase invest-ment in POS advertising, with highly targeted in-store campaigns using a mix of print and digital signage. So what are the current trends in POS?

Martin Downing, marketing manager at Signwaves [Click Here],  comments: “The UK may be officially out of recession, but these are difficult and uncertain times for the retail sector and the industries that support it.”

He adds: “Unsurprisingly then, price is increasingly important, sometimes the most important factor in the POS purchasing decision. So having a range of options with different features and price points is really important.”

Fairfield Displays’ marketing director, Janice Fairfield concurs: “Every-one is looking for something slightly different, but at the same time they want to keep the price extremely competitive. This is where being creative with standard systems like the cables or rods, or the sign supports can make all the difference.”

A related trend is a rising demand for ‘stripped-down’ products, which Downing describes as, ‘simple POS that delivers maximum bang for minimal buck’.

He continues: “This has changed Signwaves’ approach to product improvement and new product development, the most recent example being our Ecoflexlite pavement sign—a lightweight, light-priced version of Ecoflex, ideal for those who want to minimise their POS outlay but not their retail presence [Click Here].”

Quality design is often the key to success in creating high impact presentations, combined with the ability to truly understand the customer's requirements. Fairfield Displays has seen a steady increase in demand for illuminated graphics using LEDs, with Fairfield pointing out a further trend:
  On the graphics front there is also still a trend for ever larger poster and graphic POS systems.

“As a result of this demand we are bringing to the market a range of new ideas,” adds Fairfield. A significant growth in digital POS is already being seen, as Fairfield observes: “An area of business that is growing fast is the use of digital signage as part of a POS unit. This has the advantage for the sign-maker of constantly supplying new content via a cloud-based system or with the use of a USB stick.”

Recognising the increasing require-ment for digital signage as part of the POS media mix, HL Display, one of the UK’s leading suppliers of products and solutions for merchandising and in-store communications, has launched the Ad’Pulse Poster, a large-format version of its Ad’-Pulse Local, Connected, and Touch products.

“Today’s retailers are facing tougher challenges than ever before and are also required to constantly adapt their offering in line with the changing demands of consumers,” argues Mandy Webb, marketing manager at HL Display.

Ad’Pulse Poster has been developed with leading retailers in direct response to their desire to replace or enhance printed point-of-sale communications.

Based on the latest technology, it features an integrated media player and bright, high visibility screen encased in a tough metal housing. The media player runs on an Android operating system to facilitate fast content upload and to support cross channel cam-paigns using a web browser via a smartphone, laptop or tablet.

“Brands and retailers need to provide targeted, up-to-date and relevant messages in order to truly engage with customers in-store and drive both sales and loyalty,” stresses Webb.
Giving an overview from the hardware side of the industry, Dominic Fahy, Canon’s business group director of display graphics and imaging supplies, is seeing a general trend towards increased volumes of signage being produced on digital printers, where previously litho or screen print had been used. This trend started with the large chains and is now permeating smaller retail groups.

“The advantage of digital is that it is easy to produce both single signs and multiple runs with faster turnaround times to meet the needs of short-term consumer offers, as well as those with a longer life-span,” explains Fahy, adding: “End-users that are running short-term campaigns are looking for quick change options combined with more dynamic signage, while those at the luxury end of the market that are running longer-term campaigns are looking for uniqueness and ‘person-alisation’.”

He concludes: “People buying POS all want quality of print, and turn-around time is becoming increasingly important, particularly where designers are involved in a retail re-fit.”

Setting out your stall

For sign-makers looking to set up a profitable POS signage service, there are two options open, dependent on existing capabilities, expertise and available budget for investment. These are to either partner with a reliable and experienced POS supplier, or purchase the appropriate printers and equipment to enable you to produce POS in-house.

Signwaves’ Downing believes there are many companies for which POS could be a very natural and easy add-on; for example embroiderers, engravers, and vehicle wrappers: “And doing so needn’t be difficult or expensive,” he says, adding: “For example, we keep high levels of stock and offer a full print service, so there’s no need to stockhold or purchase expensive print machinery. We can also deliver ‘plain label’ direct to the end user, or supply blank units off-the-shelf.”

In addition, Signwaves has an online library of marketing material and product information, all available to download completely free of charge.

Downing adds: “We’re also developing a new unbranded website that will plug-in to your own website, saving you the time and hassle of creating and maintaining an online POS catalogue.”

Fairfield also stresses the importance of developing close relationships with suppliers who can give quick advice and help the sign-maker pull together a project: “Speed of turnaround is important and sign-makers are cert-ainly finding it easier to use a supplier that can co-ordinate everything together and send it out packaged in kits with full instructions.”

Fairfield Displays has 35 years of experience in the field and works closely with sign-makers, from design and graphics production through to installation. A further service offered by the company is the production of 3D design to help sign-makers secure prospective projects.

Canon’s Fahy agrees: “Retailers need sign-makers to be able to demonstrate everything they can do and demonstrate the uniqueness of their offering. Sign-makers, printers, and designers alike must be able to show examples and back these up with testimonials.”

“Be aware of what customers are looking for in order to access the market. Sign-makers need a system they can work with. It all depends where the sign-maker is in their current offering, as they will need to make a change if they are not already working with vinyls.

"For those who already have a vinyl printing solution, the next step would be an entry level UV flatbed printer. If they already have an entry level flatbed printer, they might want to consider upgrading to a machine that can print with white ink and varnish, to provide flexibility of production and create different finishes.”

He continues: “I can’t stress enough the cost savings that can be achieved with UV flatbed printers. UV inks are cheaper, faster turnaround can be achieved and, together with labour and material savings, it makes the initial investment outlay seem less significant.”

Canon’s new Océ Arizona 600 Series of UV flatbed printers was launched at FESPA London. The four new models —640 GT, 640 XT, Océ 660 GT and 660 XT—are all suitable for print-service-providers who require high-production throughput of standard graphics and for those who focus more on speciality projects and require additional ink channels to expand their range of applications.

The opportunities

Commenting on the overall market, Downing says: “Despite the insatiable growth of e-commerce, there is great demand for POS products and services. All brands and retailers are vying for consumer's attention and their finite disposable income, and few can afford not to invest in POS.”

And, with an eye on the bottom line, Fairfield advises: “It is far more profitable to sell a total package complete with the display stand or poster support structure and include in the price a number of graphic changes during the year. Some of our clients actually visit the sites and change the signs and graphics for their customers.”

It is clear that POS is a crucial part of the overall marketing campaign for retailers and brands and a fast growing and potentially highly profitable area of business, worthy of investigation when sign-makers are reviewing their total offering. For those tempted to dip a toe in the water, it is evident that there are options out there that will allow you to test the market without significant outlay.
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