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Digital Signage and the Customer Experience
Chou Musings

Digital Signage and the Customer Experience

Trains Core Drives2Development & Accomplishment5Social Influence & Relatedness

4Food digital signage social media wall showing customer engagement in a QSR restaurant

Author Credibility: Yu-kai Chou

Yu-kai Chou — creator of the Octalysis Framework

Yu-kai Chou created the Octalysis Framework after studying gamification since 2003 — years before the term entered mainstream vocabulary. As a Human-Systems Architect & Behavioral Designer, his framework has been applied by LEGO, Microsoft, Porsche, Coca-Cola, Salesforce, and MrBeast, impacting over 1.5 Billion Users.

Chou has taught the Octalysis methodology at Harvard, Stanford, Yale, Tesla, Google, BCG, and IDEO.

His work has been cited by Harvard, Stanford, MIT, Forbes, Wall Street Journal, Wired, US Department of Energy, NIST, NSF, NCBI, US Department of Education, ClinicalTrials.gov, and Google Scholar — with 3,700+ more academic publications. Explore his books here.

The Renovating and Revamping Trend

As old concepts are refreshed in the franchise world, more aspects of the business are moving digital from signage to punch cards. Brands have new and exciting options to explore when updating, renovating, and refreshing their stores.

This trend has picked up recently with various franchise categories from regional chains such as the overhaul of Daphne’s California Greek (formerly Daphne’s Greek Café) to national chains such as Jack in The Box who is currently in the process of updating their logo, store décor, and overall image.

Digital is seen as the future and forward-thinking concepts are looking to lead the way. Digital signage, referring to menu boards, in-store kiosks, and point of purchase advertisement displays, are just a few examples of consumer-facing technology being deployed to drive sales and improve the in-store customer experience.

Staying Competitive in the Face of Change

Despite proof of measurable increases in revenue when properly using new technologies, many franchisors and particularly their franchisees are off-put by anything different and resistant to change. The majority believe what has worked in the past, still works, and will continue to work.

Even before understanding why trends are developing toward a more digital world, many are discounting new technologies, raising unfounded barriers, and doing themselves a disservice by not considering new technology a way to stay competitive and ahead of the curve.

Understandably, new technology has an upfront cost, whether it be hardware, software licensing, or most importantly staff training associated with switching to a new system. On the other hand, with forward-thinking companies adopting store improvements and technology implementations, can you afford to not stay ahead of the competition?

Digital Signage and Customer Engagement

Currently, the most popular uses of digital signage are as in-store menu boards or drive-thru menu boards at QSR locations, but it has also popped up as standalone kiosks and as point of purchase displays.

The digital signage movement offers customers a more interactive and engaging experience while delivering key value to franchises in the form of advertisements, potential up-sells, and cross promotions. These displays attract more of the customer’s attention as they stand out from the rest of the static advertisements.

Businesses also have the advantage to easily change menu items (e.g., from breakfast to lunch) with the switch of a button or create a rotating display of advertisements to retain engagement and interest.

In order to outpace the competition, franchises need to realize the changing behaviors of their customers and connect with them through channels and mediums that are becoming more and more familiar: tactile forms of electronics and media.









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