How do I build a business case for digital signage?

Build a business case by: 1) Identifying specific problems digital signage will solve with quantified impact, 2) Proposing a clear solution with scope and approach, 3) Calculating total investment and operating costs, 4) Documenting expected benefits (revenue and cost savings), 5) Showing ROI and payback period, 6) Addressing risks with mitigation strategies, and 7) Making a clear funding request with timeline.

What ROI should I show for digital signage approval?

Most organizations require at least 100% first-year ROI or payback within 12-18 months for digital signage approval. Use conservative estimates: 15-20% sales lift on promoted items (not 30%), 80% print cost reduction (not 100%), and account for ramp-up time. Include sensitivity analysis showing ROI at different performance levels to demonstrate viability even with conservative outcomes.

How do I get executive approval for digital signage?

To get executive approval: 1) Frame it as a business investment, not a technology project, 2) Lead with the problem and its cost to the organization, 3) Show clear ROI with payback under 18 months, 4) Demonstrate competitive necessity, 5) Propose a phased approach to manage risk, 6) Address security and compliance concerns proactively, and 7) Have a specific ask with clear next steps.

What should a digital signage budget include?

A complete digital signage budget includes: Hardware (displays, players, mounts, cables), Installation (labor, electrical, networking), Software (licenses, subscriptions, integration), Content (initial creation, templates, ongoing updates), Training (administrators, users), Operations (staff time, utilities, maintenance), and Contingency (10-15% of total). Don't forget Year 2+ operating costs for TCO calculation.

How do I justify digital signage to a CFO?

Justify to a CFO by speaking their language: Present hard ROI numbers (not soft benefits), show detailed cost breakdown with no surprises, calculate NPV and IRR if requested, demonstrate payback period under 18 months, compare against alternative investments, show sensitivity analysis at different performance levels, and propose phased investment to reduce risk. Have backup data for all assumptions.

Digital Signage Business Case

Get Your Project Approved

A strong business case is essential for securing budget and stakeholder support for digital signage. This guide provides templates, frameworks, and strategies to build a compelling justification that addresses executive concerns and demonstrates clear value.

Business Case Framework

Key Components

┌─────────────────────────────────────────────────────────────────┐
│                   BUSINESS CASE STRUCTURE                        │
│                                                                  │
│   ┌──────────────────────────────────────────────────────────┐  │
│   │ 1. EXECUTIVE SUMMARY                                     │  │
│   │    Problem → Solution → Value → Ask                      │  │
│   └──────────────────────────────────────────────────────────┘  │
│                            ▼                                     │
│   ┌──────────────────────────────────────────────────────────┐  │
│   │ 2. CURRENT STATE & PROBLEM STATEMENT                     │  │
│   │    Challenges, costs, competitive gaps                   │  │
│   └──────────────────────────────────────────────────────────┘  │
│                            ▼                                     │
│   ┌──────────────────────────────────────────────────────────┐  │
│   │ 3. PROPOSED SOLUTION                                     │  │
│   │    Scope, approach, alternatives considered              │  │
│   └──────────────────────────────────────────────────────────┘  │
│                            ▼                                     │
│   ┌──────────────────────────────────────────────────────────┐  │
│   │ 4. FINANCIAL ANALYSIS                                    │  │
│   │    Investment, TCO, ROI, payback                        │  │
│   └──────────────────────────────────────────────────────────┘  │
│                            ▼                                     │
│   ┌──────────────────────────────────────────────────────────┐  │
│   │ 5. IMPLEMENTATION PLAN                                   │  │
│   │    Timeline, resources, milestones                       │  │
│   └──────────────────────────────────────────────────────────┘  │
│                            ▼                                     │
│   ┌──────────────────────────────────────────────────────────┐  │
│   │ 6. RISK ASSESSMENT                                       │  │
│   │    Risks, mitigation, contingencies                      │  │
│   └──────────────────────────────────────────────────────────┘  │
│                            ▼                                     │
│   ┌──────────────────────────────────────────────────────────┐  │
│   │ 7. RECOMMENDATION & NEXT STEPS                           │  │
│   │    Clear ask, approval request, timeline                 │  │
│   └──────────────────────────────────────────────────────────┘  │
│                                                                  │
└─────────────────────────────────────────────────────────────────┘

Business Case by Audience

Audience	Focus Areas	Length	Format
CEO/Board	Strategic alignment, competitive position	1-2 pages	Executive brief
CFO	Financial analysis, ROI, risk	3-5 pages	Detailed with appendix
CMO	Brand impact, customer experience	2-3 pages	Visual, case studies
CIO	Technical fit, security, integration	3-5 pages	Technical specs
Operations	Efficiency gains, implementation	3-5 pages	Process focus

Executive Summary Template

DIGITAL SIGNAGE BUSINESS CASE
Executive Summary

THE OPPORTUNITY
[Company] has an opportunity to enhance customer experience,
increase sales, and reduce costs through strategic deployment
of digital signage across [scope].

THE CHALLENGE
Currently, [describe 2-3 key problems]:
• [Problem 1 with quantified impact]
• [Problem 2 with quantified impact]
• [Problem 3 with quantified impact]

THE SOLUTION
We propose deploying [number] digital displays across [locations]
to [primary objective]. This cloud-based solution will enable:
• [Capability 1]
• [Capability 2]
• [Capability 3]

THE VALUE
                        YEAR 1      YEARS 1-3
Investment Required:    $[X]        $[X]
Expected Benefits:      $[X]        $[X]
Net Value:             $[X]        $[X]
ROI:                   [X]%        [X]%
Payback Period:        [X] months

THE ASK
We request approval of $[amount] to proceed with Phase 1
deployment. Implementation will begin [date] with full
deployment complete by [date].

Recommended: [Approve / Approve with modifications / Defer]

Problem Statement

Identifying Pain Points

Problem Area	Current Impact	Evidence
Communication inefficiency	Messages don't reach audience	Survey data, feedback
High print costs	$X/month on materials	Expense reports
Outdated information	Pricing errors, compliance	Error tracking
Poor customer experience	Long waits, confusion	CSAT scores
Competitive disadvantage	Competitors have signage	Market research
Manual processes	Labor-intensive updates	Time tracking

Problem Statement Template

CURRENT STATE ANALYSIS

PROBLEM 1: Ineffective Customer Communication
─────────────────────────────────────────────────────
Current Situation:
[Describe the current communication method and its limitations]

Quantified Impact:
• [Metric 1]: [Current value] vs. [Desired value]
• [Metric 2]: [Current value] vs. [Desired value]

Business Consequence:
[Explain how this affects business outcomes]

Example:
Currently, promotional information reaches only 30% of in-store
customers through static signage that is updated monthly. This
results in missed sales opportunities estimated at $X/month
and contributes to a 15% lower conversion rate compared to
industry benchmarks.

PROBLEM 2: High Operational Costs
─────────────────────────────────────────────────────
[Repeat structure for each problem]

Competitive Analysis

Competitor	Digital Signage	Impact
Competitor A	Yes - 50+ locations	Higher engagement, modern image
Competitor B	Yes - Limited	Testing in select markets
Competitor C	No	Falling behind
Our Company	No	At risk of falling behind

Solution Proposal

Scope Definition

Element	Proposed Scope
Number of displays	X screens
Locations	X locations/sites
Use cases	[Primary], [Secondary]
Timeline	X months to full deployment
Platform	Cloud-based CMS
Content	[Internal/Agency/Hybrid]

Solution Options Comparison

Option	Description	Investment	Pros	Cons
Option A: Full deployment	All locations at once	$XXX,XXX	Maximum impact, economies of scale	Higher initial risk
Option B: Phased rollout	Pilot then phases	$XXX,XXX	Lower risk, learn and adapt	Slower benefits
Option C: Limited pilot	Test concept only	$XX,XXX	Lowest risk	Limited benefits
Option D: Do nothing	Status quo	$0	No investment	Problems continue

Financial Analysis

Budget Worksheet

Initial Investment (CAPEX)

Category	Item	Unit Cost	Total
Hardware	Commercial displays	$	$
	Media players	$	$
	Mounting hardware	$	$
	Network equipment	$	$
	Hardware Subtotal		$
Installation	Professional installation	$	$
	Electrical work	$	$
	Network cabling	$	$
	Installation Subtotal		$
Software	License/setup fees	$	$
	Integration development	$	$
	Software Subtotal		$
Content	Initial content creation	$	$
	Template design	$	$
	Content Subtotal		$
Training	Admin training	$	$
	User training	$	$
	Training Subtotal		$
Contingency	10-15% of total		$
TOTAL INITIAL INVESTMENT			$

Annual Operating Costs (OPEX)

Category	Item	Monthly	Annual
Software	Subscription fees	$	$
	Support/maintenance	$	$
Content	Ongoing creation	$	$
	Stock media	$	$
Operations	Staff time	$	$
	Utilities (power)	$	$
Maintenance	Hardware support	$	$
	Repairs/replacements	$	$
TOTAL ANNUAL OPEX			$

Benefits Calculation

Revenue Benefits

Benefit	Calculation	Annual Value
Sales lift	[Transactions] × [Avg sale] × [Lift %] × [Margin %]	$
Upsell increase	[Opportunities] × [Conversion %] × [Avg upsell] × [Margin %]	$
New customers	[New customers] × [Avg LTV]	$
Reduced churn	[Retained customers] × [Avg LTV]	$
TOTAL REVENUE BENEFIT		$

Cost Savings

Benefit	Calculation	Annual Value
Print elimination	[Current spend] × [Reduction %]	$
Labor savings	[Hours saved] × [Hourly cost]	$
Error reduction	[Error costs] × [Reduction %]	$
Efficiency gains	[Productivity improvement value]	$
TOTAL COST SAVINGS		$

ROI Summary

FINANCIAL SUMMARY
─────────────────────────────────────────────────────

                        YEAR 1    YEAR 2    YEAR 3    3-YEAR

INVESTMENT
Initial (CAPEX)         $XXX,XXX  $0        $0        $XXX,XXX
Operating (OPEX)        $XX,XXX   $XX,XXX   $XX,XXX   $XXX,XXX
Total Costs             $XXX,XXX  $XX,XXX   $XX,XXX   $XXX,XXX

BENEFITS
Revenue impact          $XXX,XXX  $XXX,XXX  $XXX,XXX  $XXX,XXX
Cost savings            $XX,XXX   $XX,XXX   $XX,XXX   $XXX,XXX
Total Benefits          $XXX,XXX  $XXX,XXX  $XXX,XXX  $XXX,XXX

NET VALUE
Annual                  $XXX,XXX  $XXX,XXX  $XXX,XXX
Cumulative                                            $XXX,XXX

KEY METRICS
Year 1 ROI:             XXX%
3-Year ROI:             XXX%
Payback Period:         X months
NPV (5%, 3 years):      $XXX,XXX

Implementation Plan

Project Timeline

IMPLEMENTATION TIMELINE

        Q1          Q2          Q3          Q4
   Jan Feb Mar | Apr May Jun | Jul Aug Sep | Oct Nov Dec

PHASE 1: PLANNING
   [▓▓▓▓▓▓▓▓▓▓]
   • Vendor selection
   • Site surveys
   • Procurement

PHASE 2: PILOT
              [▓▓▓▓▓▓▓▓▓▓▓▓]
              • Install pilot sites
              • Test & validate
              • Measure results

PHASE 3: ROLLOUT
                        [▓▓▓▓▓▓▓▓▓▓▓▓▓▓▓▓▓▓▓▓]
                        • Wave 1: 20 sites
                        • Wave 2: 30 sites
                        • Wave 3: Remaining

PHASE 4: OPTIMIZATION
                                          [▓▓▓▓▓▓▓▓▓▓▓▓]
                                          • Performance review
                                          • Content optimization
                                          • Expansion planning

Resource Requirements

Resource	Role	Commitment	Duration
Project Manager	Lead implementation	50%	12 months
IT Support	Network, integration	25%	6 months
Marketing	Content strategy	25%	Ongoing
Operations	Site coordination	10%	6 months
Training	User enablement	100%	2 weeks

Key Milestones

Milestone	Target Date	Success Criteria
Vendor selected	Week 4	Contract signed
Pilot sites live	Week 12	All pilot screens operational
Pilot evaluation complete	Week 16	Go/no-go decision
Phase 2 complete	Week 28	50% of screens live
Full deployment	Week 40	100% of screens live
ROI validation	Week 52	Targets achieved

Risk Assessment

Risk Matrix

Risk	Likelihood	Impact	Score	Mitigation
Technology doesn't meet needs	Low	High	Medium	Thorough pilot, vendor due diligence
Budget overrun	Medium	Medium	Medium	Contingency budget, fixed-price contracts
User adoption challenges	Medium	Medium	Medium	Training, change management
Timeline delays	Medium	Low	Low	Buffer in schedule, phased approach
Content quality issues	Medium	Medium	Medium	Style guide, templates, review process
Vendor stability	Low	High	Medium	Reference checks, contract terms
Network/connectivity issues	Medium	Medium	Medium	Pre-testing, cellular backup

Mitigation Strategies

Risk	Mitigation Strategy
Technology fit	Extensive pilot testing, reference calls, POC
Budget	15% contingency, fixed-price installation, phased approach
Adoption	Early stakeholder involvement, comprehensive training
Timeline	Buffer in each phase, parallel workstreams
Content	Templates, brand guidelines, review workflow

Approval Request

Decision Criteria

Criterion	Threshold	This Project
ROI	Greater than 100% Year 1	XXX% ✓
Payback	Less than 18 months	X months ✓
Strategic alignment	Supports 2+ objectives	3 objectives ✓
Risk level	Medium or below	Medium ✓
Resource availability	Confirmed	Yes ✓

The Ask

APPROVAL REQUEST
─────────────────────────────────────────────────────

We request approval to proceed with the digital signage
project as outlined in this business case.

REQUESTED BUDGET:
• Initial Investment:     $XXX,XXX (CAPEX)
• Year 1 Operating:       $XX,XXX (OPEX)
• Total Year 1:          $XXX,XXX

EXPECTED RETURN:
• Year 1 Benefits:        $XXX,XXX
• Year 1 Net Value:       $XXX,XXX
• Payback Period:         X months

APPROVAL LEVELS REQUIRED:
☐ Department Head ($X-XXK): [Name]
☐ VP/Director ($XX-XXXK): [Name]
☐ CFO/Finance ($XXX+K): [Name]
☐ Executive Committee: [If applicable]

NEXT STEPS UPON APPROVAL:
1. Issue RFP to shortlisted vendors (Week 1)
2. Complete vendor selection (Week 4)
3. Begin pilot site preparation (Week 5)
4. Pilot go-live (Week 8)

DECISION REQUESTED BY: [Date]

Presentation Tips

Do	Don't
Lead with business problem	Lead with technology
Use conservative estimates	Overstate benefits
Acknowledge risks and mitigation	Hide concerns
Show competitive context	Assume audience knows industry
Have backup data ready	Be unprepared for questions
Recommend specific action	Leave decision ambiguous

Frequently Asked Questions

Next Steps

ROI Calculator - Calculate returns
Total Cost of Ownership - Complete cost analysis
Vendor Selection - Choose a solution
Deployment Planning - Plan implementation

Business case templates provided as starting points. Customize for your organization's requirements and approval processes.

Get Your Project Approved

Business Case Framework​

Key Components​

Business Case by Audience​

Executive Summary Template​

Problem Statement​

Identifying Pain Points​

Problem Statement Template​

Competitive Analysis​

Solution Proposal​

Scope Definition​

Solution Options Comparison​

Recommended Solution​

Financial Analysis​

Budget Worksheet​

Initial Investment (CAPEX)​

Annual Operating Costs (OPEX)​

Benefits Calculation​

Revenue Benefits​

Cost Savings​

ROI Summary​

Implementation Plan​

Project Timeline​

Resource Requirements​

Key Milestones​

Risk Assessment​

Risk Matrix​

Mitigation Strategies​

Approval Request​

Decision Criteria​

The Ask​

Presentation Tips​

Frequently Asked Questions​

Next Steps​