The digital signage industry will see moderate growth, according to the fourth quarter North American Digital Signage Index by the Platt Retail Institute at The Chicago School of Professional Psychology. Measuring business activity in the digital signage industry based on business leader sentiment, the quarterly Index is a leading industry guide largely developed by doctoral student interns at The Chicago School of Professional Psychology (TCSPP) under the supervision and mentorship of the Platt Retail Institute (PRI) director and fellow Steven Keith Platt. Some key findings of the current Index include:
The Current DS Index increased from 122.87 in the second quarter of 2010 to 125.85 in the third quarter of 2010, a 2.43 percent increase. This is up from the 1.86 percent increase in the Current DS Index last quarter.
The Near-Term DS Index was 138.02, a 9.67 percent increase in sentiment. This is up from the 6.70 percent increase in the Near-Term DS Index last quarter.
The Current DS Index in the third quarter of 2010 closely tracked the U.S. economy (+2.43 percent versus +2.50 percent GDP). The Near-Term DS Index, an indicator of future business/industry activity, increased versus last quarter (9.67 percent versus 6.70 percent the prior quarter). During the third quarter, advertising spending on DOOH networks rose a robust 21.8 percent, reversing the prior quarter's 14.90 percent drop.
"While these are positive indicators, the slowdown in capital expenditures (-12.98 percent) and hiring (-2.24 percent) during the third quarter indicates that firms are being more cautious, taking a wait-and-see approach," said Platt. "The general slowing in the rate of growth in the Near-Term DS Index would buttress this generally cautious but optimistic business attitude."
In addition to providing a leading resource for the digital signage industry, the Index is now helping to raise money for worthwhile causes, an initiative of doctoral students in the Business Psychology program at The Chicago School who intern at PRI and assist in producing many of its publications and resources. Beginning with last quarter's Index, PRI has been making a small donation to a chosen charity on behalf of each industry representative who fills out the survey. In Q3 PRI donated to the National Wildlife Federation to assist in the clean up of oil in the Gulf, while this quarter its donation went to Paws Chicago, the city's largest no-kill animal adoption organization.
Read the Q4 2010 North American Digital Signage Index at