IHS Markit: Global digital signage ecosystem will usher in double-digit growth

The latest digital signage and professional display market analysis provided by market research agency IHS Markit to digital signage alliance members, covers digital signage equipment, software, services, media sales and other global markets.

Among the interesting information are:

“All channels of the digital signage ecosystem achieved double-digit growth in 2016. Among them, the media and software revenue of the network digital signage system increased by 32% and 24.2% year-on-year respectively. Outdoor digital media (DOOH) advertising space will continue to occupy A large part of the annual revenue for the coming years. In 2017, IHS Markit expects to have more displays from static to digital, especially with more affordable outdoor LED displays."

In the first quarter of 2017, Sharp's monitor shipments doubled month-over-month.

Samsung is the market leader, followed by LG and NEC, and then down to Philips and Sharp.

Shipments of 75-inch and 82-inch displays have increased by 31% and 34%, respectively, but 55-inch is still the dominant size for digital signage displays.

The 49-inch display is replacing the 46-inch product.

4K demand is growing, but in 2016 it is still below 2% of the public display market. However, by the end of 2017, its market share is expected to reach 3.5%, almost doubling.

Projected capacitance (PCAP) touch displays have grown significantly. In 2016, PCAP shipments accounted for 4.7% of the touch display market, and it is expected to reach 12.8% in 2017. PCAP technology is also used for smart phones and tablets, rather than the ATM-style experience used in traditional schools. Any interactive digital signage should be PCAP, as consumers expect and are used to.

In the fourth quarter of 2016, shipments of ultra-narrow side display (width ≤ 1.99mm) grew the most, with a growth of 58.1% to 5138 units. The 2.00-3.99mm and 4.00-5.99mm border width types are still the mainstream of the video wall market, with the former decreasing by 7.2% and the latter increasing by 12.5%. LG took the top spot, and shipments of this type of product accounted for almost half of the total.

The bright display of 3,000 nits and above rose sharply during the quarter, an increase of 198.8% from the previous quarter. The transparent display only accounted for 0.03% of the overall LCD digital signage display market. This quarter, it sold 758 units.

The average selling price of public displays is expected to increase from 1923 US dollars in 2016 to 1,952 US dollars in 2017, mainly due to the brightness and narrow borders.

Bright LCD monitors are expected to continue to dominate until at least 2018. Compared with 2015, its shipments grew by 38% year-on-year and it is expected that shipments will continue to grow by 52% next year. Compared with 2015, revenue growth is 72%, and it should increase by 59% this year.

LED video walls (below 4.99mm) bring more revenue than LCDs, and it is expected that as their average selling prices fall, the increase will be even greater. Compared with 2015, the shipment volume increased by 107% year-on-year, and it is expected to increase by 75% this year.