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Home » Research » ‘Global LED signage & display consumption scales estimated $56.5bn’
‘Global LED signage & display consumption scales estimated $56.5bn’

By M4G Bureau - January 05, 2018

Market research conducted by an international LED firm My Choice LED shows that among the LED applications in signage and display systems, outdoor and indoor signage is at the forefront of growth with its global value forecast from $30.9 billion in 2017 to $49.0 billion in 2022

Market research conducted by an international LED firm called My Choice LED shows that the global consumption value of complete signage and display systems based on LED had reached new heights in 2017 at an estimated cost of $56.5 billion. However, this overall number does not convey many different ways that LED displays are applied in professional displays.

It is estimated that LED display marketing will be classified based on specific applications, including indoor and outdoor LED displays (such as, road digital signage) and indoor screen buildings at airports, bus and train terminals etc. Considering the classification of these segments, one of the most significant trends is the migration of large-scale LED arrays from the traditional outdoor venues to the interior space.

Classification based on purpose

In LED cluster displays, multiple LED displays are mounted on a circuit board to form a tile module for digital signage applications. This category includes not only video walls and digital billboards, but also flexible LED-based displays that make even dynamic curtains. LED displays are commonly used to illuminate or serve media promotions, including static billboards, paper or canvas-based graphics, channel letters, and logo boxes. In this case, their functions are equivalent to the previous neon, fluorescent and electroluminescent lighting.

In addition, even the latest high-brightness LED (HB-LED) is featured with lower voltage and lower operating costs to guarantee the bright and energy-saving. As a durable product, LEDs have a longer life than other traditional forms of sign lighting with lower frequency and cost of maintenance.

OOH growth

One area where LED-based digital signage is undergoing significant growth is the Out-of-home advertising, which reaches consumers as the name suggests. There are a series of OOH formats, including billboards, street posters, and transport advertisements. Revenue from these ads continues to grow, mainly due to the Digital Outdoor (DOOH) media.

‘Digital continues to lead OOH growth across all categories and is particularly strong in the transit and street furniture categories,’ says Stephen Freitas, chief marketing officer (CMO) for the Outdoor Advertising Association of America (OAAA). ‘These DOOH formats have a particularly high propensity for driving consumer engagement on mobile devices, too, and that is part of the reason for the significant investments being made by some of the world’s most innovative technology companies.’

DOOH content is also distributed throughout the location-based digital signage network and operators can switch between facility-specific information, local event listings, social media sources, and third-party ads.

Digital signage usually displays a series of static ads, updated every four to ten seconds, according to applicable municipal regulations. The industry practices of OAAA require that they comply with brightness standards rather than animations, flashing lights, scrolling or full motion video. Depending on the local zoning requirements of each market, the rules may vary depending on the field and off-site LED indicators.

The Future Marketing

The global consumer value of LED signage and display systems is expected to grow from $56.5 billion in 2017 to $85.5 billion in 2022 at an annual rate of 8.6%. This data refers to the consumption of each year, not cumulative. In terms of regional market share, APAC is the leader in all product, system and application categories. Although the average selling prices in the region are lower than those in Europe, the Middle East and Africa (EMEA) and North America, the number of systems purchased in the Asia Pacific ranks first in terms of value.

Among the LED applications in signage and display systems, outdoor and indoor signage is at the forefront of increasing. Its global value forecast from $30.9 billion in 2017 to $49.0 billion in 2022. Most indoor applications are entertainment, sports, restaurants, hotels and retail establishments, followed by transportation facilities, office buildings, and schools.

The new technology will also determine how and where to buy and use LEDs. For example, in June 2017, LG Electronics released a flexible, transparent 0.8 mm (0.03 inch) LED display that can be mounted on any existing glass surface and has a self-adhesive film that allows Integrated dynamic content and the surrounding environment more seamless.

With the continuous development of LED technology, almost all of the physical space can now be transformed into large-scale, state-of-the-art displays. Therefore, with the expansion of the scale of implementation in the future, the value of the overall market will further increase.

 

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