The future of digital signage is exciting and rapidly evolving, driven by advancements in technology, changing consumer behaviors, and the increasing demand for personalized, immersive experiences.
Digital signage continues to experience strong growth, transforming how organizations communicate with both employees and customers. According to MarketsandMarkets, the global digital signage market size is expected to reach $27.3 billion by 2029, at a compound annual growth rate (CAGR) of 6.3% from 2024 to 2029.
At Hughes, we are seeing several industries adopting digital signage as an effective strategy for streamlining operations, enhancing customer experiences, and driving revenue growth.
Rising competition among retailers has heightened the demand for digital signage as a powerful tool to market products and engage target consumers effectively. The restaurant industry is leveraging digital signage on interactive self-service kiosks and drive-thru systems to improve convenience and wait times for customers. Grocery chains are leveraging digital signage in retail media to enhance product awareness and drive cross-selling opportunities. For instance, promoting charcoal in the meat section or featuring chocolates near the floral counter.
Digital signage is also transforming the healthcare industry by ensuring that vital information reaches the right audience at the right time, making healthcare settings more modern, efficient, and patient-focused.
Last year, we explored how cloud technology, artificial intelligence (AI), automation, integrations, personalization, and mobility are transforming digital signage. Now, as we continue into 2025, we’ll dive into some of the newest trends driving the industry forward.
Artificial Intelligence Delivers Automation at Scale
As AI continues to advance, its influence on digital signage in 2025 will be transformative, enabling greater personalization, real-time content adjustments, voice interactions, and seamless integration with augmented reality (AR).
“AI will begin to transform digital signage by adding personalization that was previously unimaginable. Through machine learning (ML) algorithms and real-time data analysis, AI-powered digital signs will adapt content dynamically based on audience demographics, behavior patterns, and environmental factors. The integration of AI into digital signage not only maximizes the relevance and effectiveness of displayed content but also creates a more engaging and customized user experience,” according to Mike Tippets, VP of Marketing, PR and Communications at Hughes.
The rapid rise of generative AI (GenAI) and the widespread adoption of conversational AI are redefining how digital signage is used to enhance efficiency and elevate customer experiences. For instance, quick service restaurants (QSRs) can offer faster, more convenient dining experiences while streamlining operations and reducing reliance on staff. Imagine pulling up to a drive-thru and placing your order with AI instead of a person.
AI can analyze customer order patterns, identify upselling opportunities, and make real-time adjustments to optimize when and how products are offered. For example, AI can adapt content instantly based on factors like weather or time of day and promote coffee in the morning and iced drinks or ice cream on a hot day. This degree of automation and personalization keeps content relevant, impactful, and effective in driving business results.
Analytics are Key to Maximizing ROI
Analytics are becoming even more critical for unlocking the success of digital signage. Gaining the data-driven insights on key metrics such as audience engagement, content performance, and impressions and views, will be crucial to delivering measurable results and maximizing return on investment (ROI).
Digital signage can provide valuable information on user interactions, such as which products customers explore or how they engage with the content. This data helps businesses understand the impact of the content and refine their strategies to improve targeting for future campaigns.
Analytics powered by GenAI and ML can forecast audience preferences and behaviors, enabling businesses to anticipate customer needs and deliver personalized digital signage content proactively.
Analytics are becoming increasingly important in helping companies identify new business opportunities and increase revenue. For example, data-driven insights help retailers determine which promotions are resulting in the most sales, which content is performing the best, and which campaigns should be replicated or expanded.
Demographic Data for Enhanced Personalization
Demographic data for digital signage has surged in recent years, creating personalized, engaging, and highly effective customer experiences. By collecting and analyzing demographic data, businesses can better understand who is viewing their content and create messages that are appealing to a specific audience segment.
Facial recognition can identify demographic traits like age, gender, ethnicity, or even emotional responses in real-time. It can measure audience engagement by analyzing behavioral patterns and time spent viewing a display. This helps businesses understand what content resonates most with viewers, so they can refine their marketing strategies accordingly.
For example, retail stores can use this data to boost sales by adjusting in-store promotions and advertisements, and optimizing product placement with content tailored to the audience profile.
Augmented Reality is Revolutionizing Experiences
In 2025, digital signage will step beyond traditional screen displays and enter the world of AR, creating immersive and interactive experiences for users. “Imagine walking through a shopping mall where digital signage overlays product information, promotions, and virtual assistants directly onto your AR glasses,” said Tippets.
AR is revolutionizing digital signage, capturing attention and engaging audiences in ways traditional displays cannot. AR-powered digital signage enables brands to create interactive experiences, such as virtual games or quizzes that promote products or services, while building stronger emotional connections with the audience. AR also enables content to adapt based on factors like location or user preferences. For example, it can display tailored offerings or local content making it more relevant and increasing the likelihood of conversions.
There are numerous industries benefiting, Mike explains. “In healthcare, AR-integrated digital signage could guide patients through complex hospital layouts with real-time, holographic directions and personalized health information. In the public sector, government buildings could utilize AR signage to provide dynamic, on-the-spot translations and information during international events, enhancing accessibility and communication.”
This combination of digital signage with AR technology will enhance the way information is presented and consumed, with a greater focus on the user experience.
Demand for Low Maintenance and Cutting-Edge Service Delivery
As digital signage increasingly plays a central role in a business's communication strategy and brand identity, 24/7 prompt and responsive support becomes essential. With lean IT teams and constrained resources, there’s a growing demand for digital signage solutions that are easy to deploy, low-maintenance, user-friendly, and can be accessed and managed from remote locations. This enables smaller organizations to take advantage of self-installation features, while distributed enterprises benefit from centralized cloud-based management systems.
AI is playing a role in making service delivery tools more powerful and effective by identifying potential failures at the edge of the network and proactively mitigating them. ML modeling can automatically predict and preempt undesirable network behavior, preventing service disrupting symptoms and resolving issues without the need for human intervention.
Last but not least, as cybercrime continues to rise, the emphasis on security, data privacy, and reliability has never been greater. Digital signage systems often connect to networks that handle customer data, sales information, or internal communications. Without proper security measures, these systems could become vulnerable to cyberattacks, exposing sensitive information and damaging a company’s reputation.
A dependable network for content delivery and a secure platform to prevent unauthorized access have become essential requirements for digital signage now more than ever.
The Future of Digital Signage is Bright
The future of digital signage lies in its ability to adapt to technological advancements, deliver highly personalized content, and create immersive, engaging experiences for audiences. Businesses that leverage these innovations will not only meet but exceed customer expectations, staying competitive in an ever-changing landscape. We’re especially excited to see new use cases for digital signage in retail media, so stay tuned for future insights covering this topic.
Learn more about Hughes cloud-based digital signage solutions and contact us to explore a tailored solution for your business.