Multi-Tenant Retail Properties Stand Out with Digital Signage

Multi-tenant retail locations have long been an intrinsic part of the retail landscape. With increasing competition from online retailers, many worry about the longevity of brick and mortar stores. Recent industry studies, however, point to a strong continuation of in-store shopping, and further validates the importance of responsive, flexible and high-impact signage for bringing brick and mortar stores in line with digital advertising.

Despite the prevalence of advertising mediums such as social media and search engines, traditional out-of-home (OOH) ads are still king. According to the Out of Home Advertising Association of America (OAAA), 88% of people notice OOH ads, and 78% of those people have recently taken action based on those ads. LED signage has become an effective and common way to reach potential customers outside the home, frequently outperforming static signage.

The benefits of on-premise digital signs are well-known for businesses and other organizations. And they’re not just for single-tenant real estate. Multi-tenant retail properties use LED signage to attract new customers and new tenants. Watchfire can help you determine whether your mall, shopping center or other multi-tenant location might see increased traffic from a digital sign and the ways property owners can use them.

Use On-Premise Multi-Tenant Signs to Fill Open Units

Some multi-tenant retail locations hesitate when they consider the initial cost of a digital sign for their locations. However, many factors make digital the least expensive option out there. Most noticeable is a digital sign’s responsiveness in filling occupancies. Empty square footage costs time and limits revenue, so having an on-site advertising tool bolsters tenancy in two ways. First, details on available units can be promoted to prospective tenants. More importantly, tenants will see that the promotional impact of an LED sign is available to them as a part of their tenancy.

Savvy businesses know that on premise advertising is effective. The National Signage Research and Education Conference reports that 59% of small business owners report increased sales after installing an on premise sign. Multi-tenant retail locations have seen how a sign becomes a draw for tenants. Given a choice between two properties in proximity, smart retail businesses know the importance of a location served by digital signage and its positive effect on their store traffic.

Once a digital sign has attracted tenants, the next step is incorporating the business into the signage schedule. Multi-tenant retail properties can use on-premise digital signage in their lease agreements or set a rate schedule for tenants to purchase desired messages on the sign. Drawing in new tenants with free initial sign exposure can show them the possibilities available. Encouraging tenants to use a trackable promotion that is only promoted on the property’s sign will demonstrate digital proficiency.

Attracting Customers with Multi-Tenant Digital Signs

Traditional tenant panels are important, but a digital sign can complement simple identification with promotions, location information, seasonal specials and inventory-adjusting sales. The digital medium itself attracts a tech-savvy and highly desirable consumer group – millennial buyers. According to Accenture research, over 77% of consumers born after the mid-1990s say that brick and mortar stores are their preferred shopping channel. But these consumers require a “personal” shopping experience that they achieve through the use of social media and other technologies.

Maher Masri, an associate principal with management consultants McKinsey & Company, said it this way, “I don’t think we’ll ever see stores go away, but retailers understand that they need to be multichannel or they’re not going to be around for long.” A recent publication on the three biggest challenges facing brick and mortar store by digital brand marketers, Migo IQ, affirms this. Their report states that when technology serves as a catalyst for a customized, real-world experience, the future is hopeful for brick and mortar businesses.

For multi-tenant retail properties that wisely choose digital signage, some practical matters need to be addressed. For starters, who will manage content? This is a fundamental question that carries the loudest objections from property managers who worry about staffing.

Many administrative people see the addition of digital signage as an extra task for them. Certainly, easy-to-use software such as Watchfire Ignite OP is essential to building quality content that isn’t complicated or takes a lot of time. But as a potential source of revenue, property managers can think outside the box on content creation and management.

Today several firms specialize in content creation and management for digital signage. It’s even possible that the sign dealer who designed and installed your sign may have the means to assist with content. The estimated cost for these services can vary from $500 to $1,000 a month depending on the size of your property, content requirements and tenant coordination. The dividends this can pay to your property in stable tenant occupancy and thriving retailers make it worth considering.

The addition of wireless sign management, which uses nationwide celluar service to connect to displays, along with cloud-based content software like Watchfire Ignite OPx, has been a big plus for remote sign management. With different levels of access, you can allow tenants to update their schedules and make changes responsive to the market they serve.

Digital Sign Permits and Regulations

Property managers will also need to consider local regulations regarding on-premise signs. Although regulations are typically more lenient than digital billboards, there may be requirements in terms of size, location and what type of content can be displayed.

However, multi-tenant properties often have advantages that single-tenant locations cannot. In some cases, larger dimensions are allowed, and the signs can be positioned differently to account for the added locations. By working with Watchfire and our experienced partners, you will have a fully compliant sign installation while making the most of any allowances to generate better brand exposure.

Use On-Premise Signs for Multi-Tenant Businesses

Traditional forms of advertising show little results and can become more costly over time. Digital signage, on the other hand, can attract customers easily and effectively. Multi-tenant retail locations can use this powerful advertising tool to create a premier destination for their tenants and customers.