The global signage industry has experienced significant growth over the past decade.
According to research from MarketsandMarkets, the digital signage market alone is expected to reach $26.1 billion by 2028, growing at a CAGR of 6.9% from 2023-2028.
The entire global signage industry, encompassing both digital and traditional signage, is estimated to be worth $75.4 billion by 2034, up from $39.6 billion in 2024, representing a CAGR of 6.6% according to Future Market Insights.
This growth is being driven by the rise of digital signage, demand for visual communications and branding, and the need for signage across various industries and sectors.
Market Size
The global signage market was valued at around $26 billion in 2023 and is projected to grow at a CAGR of 8.1% to reach nearly $36 billion by 2030.
Digital signage is a key growth driver and accounts for over 50% of total signage revenue.
The digital signage market alone was estimated at $18.7 billion in 2023 and is expected to grow at a CAGR of 6.9% from 2023-2028. Factors like increasing demand for digital advertising and rising focus on business analytics are fueling rapid growth.
Key Growth Drivers
The signage industry is experiencing healthy growth from key drivers like the increasing demand for visual communications and branding, the rise of digital signage, and the growth of e-commerce requiring more signage.
Companies are leveraging branded signage and visual displays to promote brand awareness and connect with consumers. Visual communications through signage help businesses stand out in crowded markets and convey key messages to target audiences. This demand for enhanced branding is fueling growth in the signage industry.
Digital signage has emerged as a major growth driver, with the global digital signage market projected to grow at a CAGR of 8.1% from 2023-2030, reaching $49.34 billion by 2030. The shift to digital signage provides businesses more flexibility, interactivity, and data analytics capabilities. Retrofitting existing signs with digital upgrades is further propelling market growth.
The rapid expansion of e-commerce is also fueling demand for branded signage and displays at warehouses, distribution centers, and last mile delivery points. As online sales continue rising, businesses need more exterior and interior signage to aid operations. This results in considerable opportunities for sign makers.
Digital Signage Trends
One of the biggest digital signage trends is the continued shift from traditional static signage to LED and digital signage. According to Grand View Research, the global digital signage market is expected to reach $45.94 billion by 2030, growing at a CAGR of 8% from 2023 to 2030. This growth is being driven by the flexibility, interactivity, and data capabilities that digital signage provides over traditional signage.
Interactive and “smart” signage is emerging as another key trend. Digital displays are incorporating sensors, cameras, touch screens and other technologies to detect and respond to viewers, creating engaging and personalized experiences. There is also a rise in connected signage with integrated IoT capabilities that allows for remote updates and data collection.
3D signage without the need for specialized glasses is also gaining traction. From 3D holographic displays to lenticular 3D signs, these technologies provide greater visual impact and immersion. 3D signs can be particularly effective for branding, wayfinding, and promotions in retail spaces.
Customization Trends
One major trend shaping the signage industry is a focus on increased customization and personalization of signage. Consumers today expect a more tailored, branded experience from businesses. According to research, 77% of customers are more likely to recommend a brand that provides personalized experiences.
To meet these expectations, signage companies are providing more options for custom-designed signage using the client’s brand colors, fonts, and graphics. Businesses want signage that aligns with their brand identity and appeals to their target audience. Digital printing and production methods make it faster and more affordable to produce customized signage in small batches or single orders.
Signage companies highlight custom fonts, dimensional lettering, and branded environments as key trends. Custom signage allows businesses to showcase their unique personality and stand out from competitors. The global custom signage market is projected to grow at a CAGR of 3.8% from 2022 to 2030 as demand increases.
To capitalize on this trend, signage companies should invest in digital printing and focus on consultative services to help clients design customized branded signage experiences. Emphasizing custom capabilities can attract new business and allow sign shops to charge a premium.
Sustainability Trends
As consumers and businesses become more environmentally conscious, there is a growing demand for sustainable signage options. Many sign makers are now offering products made from renewable materials as well as signs that are energy efficient.
Eco-friendly materials like bamboo, recycled aluminum, and bioplastics are being used more often for sign substrates. These materials can be fully recycled at the end of their lifespan. Using renewable resources reduces the carbon footprint compared to traditional plastic and foam sign materials.
On the energy efficiency side, LED and solar powered signs are gaining popularity. LED lights consume much less electricity than traditional incandescent or fluorescent lighting. Solar powered signs that store energy during the day provide an eco-friendly alternative to signs that draw continuous power from the grid.
Many sign makers are now marketing their sustainable practices directly to customers who value green options. Signage companies that operate sustainably have an advantage with environmentally conscious brands looking to partner with like-minded vendors.
The signage industry will continue moving in a greener direction as sustainable materials and energy efficient technologies improve. Sign makers that embrace sustainability practices will be well positioned for growth.
Challenges
As the signage industry shifts towards more digital integration, businesses face several key challenges.
One major challenge is finding the right balance between digital signage and maintaining a consistent brand identity. Companies must ensure their core branding elements like fonts, colors, and logos are not diluted as digital displays are added.
Another challenge lies in managing the content and data that feeds digital signage networks. There is greater effort involved in creating, updating, and distributing dynamic digital content compared to static signage. Companies need workflows to efficiently handle this.
Opportunities
The signage industry has significant opportunities for growth and expansion into emerging markets. As developing economies continue to urbanize, there will be increased demand for signage and visual communications in these regions. Signage companies that establish operations in high-growth markets like Asia, Africa, and Latin America can capitalize on rising consumer spending and infrastructure development.
Another major opportunity lies in leveraging analytics and data from digital signage. Interactive and “smart” signage presents opportunities to collect customer data and gain insights into audience demographics, engagement levels, and effectiveness of advertising content. Companies that embrace analytics can optimize their signage content and strategy. They can also demonstrate ROI to clients with hard data on viewer traffic, dwell time, and conversions.
Businesses should also focus on opportunities to highlight their commitment to energy efficiency and sustainability. Given rising energy costs and climate change concerns, the ability to provide greener signage solutions can be a competitive advantage. There is increasing demand for solar-powered digital displays, LED signage with energy-saving features, and recyclable or biodegradable sign materials.
The rapid pace of innovation in materials, display technologies, and data analytics means there are always emerging opportunities in the signage industry. Companies that stay abreast of the latest tech trends and pilot new innovations will be best poised for growth.
Strategies for Signage Business Growth
With the signage industry poised for strong growth, there are several strategies signage businesses can focus on to capitalize on emerging trends and opportunities.
One key strategy is to embrace digital signage and integration while still offering expertise in traditional signage. As the industry shifts towards more digital, interactive, and data-driven signage, businesses need to develop capabilities in areas like content creation, management, and connecting signage to data sources. At the same time, traditional signage expertise remains important for core visual branding needs. Finding the right balance is critical.
Businesses should also focus on providing customized branded experiences through signage. As personalization and customization rise, there are opportunities to use signage to create tailored brand interactions and help businesses tell their unique story.
Leveraging data and analytics is another important area of focus. Digital signage presents opportunities to capture customer data and demonstrate ROI. By tracking engagement, signage businesses can provide data-backed recommendations to clients.
Other strategies include closely monitoring technological trends and experimenting with emerging tech through pilot projects. This allows businesses to stay ahead of developments and prepare their capabilities for the future. It also helps showcase expertise.
Overall, centering strategies around custom branded experiences, data-driven decision making, and balancing traditional and digital capabilities will position signage businesses for growth.
Sign Industry Set to Continue Strong Growth
After examining the state of the signage industry for 2024, there is ample evidence that points to strong, continued growth ahead for sign makers and vendors. This growth will be primarily driven by demand for digital signage, custom branded experiences, emerging technologies, and data-driven decision making. Businesses in the signage industry would do well to remain on the cutting edge of these key trends.
The shift towards digital signage shows no signs of slowing down, and savvy sign businesses will continue to integrate new technologies while also maintaining their expertise in traditional signage solutions. There are major opportunities to capitalize on emerging solutions like 3D printing, interactivity, personalization, and sustainable materials.
Companies in this space should also keep their focus on delivering custom branded experiences. With the amount of data available from today’s digital signage, businesses can craft targeted messages and creative signage that builds brand identity and loyalty. Tracking performance data also allows sign makers to clearly demonstrate ROI on signage investments.
In conclusion, the future looks bright for signage industry leaders who stay ahead of the technological curve while delivering customized branded experiences. Companies who leverage new innovations as well as performance data will be best positioned to unlock the tremendous growth potential in this evolving industry.