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The Real Power of LED Signs

LED signs tout many benefits and they are unmatched by other signage solutions. Business owners often question if they can really afford to have an LED sign installed and tend to feel constrained by their budget for capital investment. LED signs are actually much more than just a physical upgrade to a location; they are also an advertising tool. The Small Business Administration (SBA) has cited signs as the most effective, but least expensive, form of advertising available for small businesses. In particular, LED signs are one of the most powerful advertising and can greatly increase traffic and sales.

There are a host of benefits to having an LED sign that cannot be matched by traditional advertising platforms like television, radio and newspapers. LED signs allow you to change their messages and set them to run as long or as short as needed. They also give businesses the flexibility to change messages to adapt to situations as they arise. For instance, if there is a sudden storm, a store can advertise a special on umbrellas. Or a restaurant can promote dinner or lunch specials based on having a surplus of a certain dish. None of the traditional advertising platforms offer the kind of flexibility that LED signs do. Social media does come close, but usually a business’s ‘followers’ or ‘fans’ are spread across a large geographical area. Proximity is another benefit of advertising with LED signs. They offer the opportunity for businesses to communicate with potential customers that are already right outside their doors.

LED signs are also amazingly cost-effective. This can be measured by calculating an advertisement’s cost per 1,000 impressions, or CPM. LED signs have a very low CPM, sometimes as little as $0.15, in an average American town. An average newspaper CPM is over $7, just for comparison. A low CPM means that businesses can reach many more potential customers for less money.

According to the SBA, small businesses typically see an increase in business of at least 15% by enhancing their signage with an LED sign. Small businesses see incredible results from having an LED sign. Some of the examples: new customers, an increase in foot traffic, a dramatic increase in sales and greater recognition in their community. They see an ROI from LED sign that helps their business grow and expand.



1 Comment

  1. Shad Morris says:

    I have seen quite a few businesses around my house that have LED signs, and I was curious about how they actually benefit a business. It’s interesting that they can actually be very cost effective, and have a low CPM. Since they are so bright, it’s nice that they don’t require much to make them run effectively.

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