The development of new digital signage technology and expansion of signage applications have transformed advertising methods in the retail industry. L’Oreal Group China set complete digitalization, including the expansion of online channels, implementation of digital marketing (i.e., advertisements on websites and social media), and introduction of digital signage digitalization strategy, as its development strategy. L’Oreal previously used traditional poster light boxes to promote its brand image.
However, with light boxes, changing the content of advertisements is extremely time-consuming. L’Oreal has hundreds of sales outlets in various cities throughout China. Manually updating every light box at every sales outlet each time an advertisement is updated would incur significant print, distribution, and logistic costs and hinder efficient management. Consequently, digital signage was adopted in an effort to enhance the operational efficiency of multi-channel communication. L’Oreal began its digital signage deployment project in 2015. Currently, 30 to 40 brand counters, one sales outlet, and the company’s headquarters have all been equipped with digital signage.