A guide on how to use LED displays to help you earn money

         Uncover how you can bring a huge increase in traffic, with lucrative profits, by installing LED display.

         In today’s information media increasing traffic times, how to achieve through the LED display advertising to increase traffic and brand exposure, which is the focus of attention of many businesses, LED display by virtue of its high brightness, high definition, as well as the flexibility of the installation, in the advertisement, media, commercial display and other areas to become one of the reasons why businessmen enjoy the pursuit of, but how to achieve profitability through the LED display! Achieve profit? I believe that through the introduction of minray editor, you will know how to operate the LED display.

         1: Introducing the market prospects and future technology of LED display.

         2: Introducing the core profit model of LED display.

         3: Several key points to enhance traffic through LED display?

         4: What are the profit models of LED display?

         5: What are the core key points of LED display to attract traffic?

         6: How to let the LED display help you earn money?

         7: Cost and return on investment analysis of LED display.

         8: Suitable scenes for installing LED display.

         9: Global case: how LED advertising screen becomes a high-yield engine.

         1: Introducing the market prospects and future technology of LED display.

According to a global analysis of the LED display market, the global LED display market is expected to reach more than $15 billion by 2025, with a compound annual growth rate (CAGR) of 9.2%.

1.1.Market Size and Growth Forecast：

• Market size in 2025:Forecast to reach over US$15 billion.
• CAGR in 2025:forecast to reach 9.2 per cent.
• Rental Market:The global LED rental display market is expected to reach $10.347 billion in 2025, a year-on-year growth of 5%.

1.2.Market Drivers：

• Technological advancement:Disruptive technologies such as Mini/Micro-LED technology, and the application of High Dynamic Range Imaging (HDR), High Frame Rate (HFR), High Grayscale, etc.
• Application Scene Expansion:Smart City, Metaverse Interaction, Virtual Shooting, Large Events, Conferences, Retail, Entertainment, etc.
• Market Demand:Digital Advertising, High Definition Display Demand, Immersive Experience Demand, etc.

1.3.Market Segment Analysis：

• Rental market:Mainly used in performance activities, conferences, exhibitions, virtual shooting, etc.
• Virtual Shooting:Using LED display to replace the traditional green screen, reducing post-production time and improving production efficiency.
• LED conference all-in-one machine:With the increased demand for meeting room intelligence and visualisation, the LED conference all-in-one machine market has great potential.
• Outdoor display:digital billboards, large events, etc.
• Indoor display:Meeting rooms, retail, entertainment, etc.

1.4.Regional Markets:

• China:still the global manufacturing base for LED displays and one of the major consumer markets.
• Europe and the US: Developed markets, LED display applications are more mature.
• Other Markets:Reduced costs of LED displays are driving the application of LED displays in non-developed economies.

1.5.Future Trends, leading to an increase in the overall LED display market：

• Technological Innovation:Continue to drive LED display performance improvement and cost reduction.
• Application Scenario Expansion:Emerging applications such as virtual filming, home theatre, and cinema will be the growth point.
• Market Expansion:Expanding from developed economies to non-developed economies, and from large customers to small and medium-sized customers.
• Channel construction:manufacturers to strengthen the channel layout, expand customer coverage.

In conclusion, the global LED display market is in a period of rapid growth, the future will continue to benefit from technological advances, application scenarios to expand and market demand continues to grow!

2: Introducing the core profit model of LED display.

2.1. Mobile car LED display screen:

• Rental as mobile advertising screen: you can use the LED vehicle-mounted screen as a mobile advertising platform to attract local businesses or enterprises with advertising needs to rent.
• LED display advertising: through the LED vehicle-mounted screen in the city streets, highways and other areas of heavy pedestrian flow mobile display advertising, to provide advertising exposure for businesses to obtain advertising remuneration.
• Use the advantages of mobile characteristics: LED vehicle-mounted screen mobile characteristics so that it can cover a wider audience, compared with the fixed screen body has greater advantages.
• Set up a fleet to serve advertisers: If you have enough money and resources, you can set up a fleet of LED vehicle-mounted screens to provide advertisers with more comprehensive and efficient advertising services.
• Undertake large-scale activities advertising: local large-scale activities or interpretation, you can undertake related advertising, through the fleet of vehicles in the activities around the perimeter of the mobile display ads, to improve the exposure and influence of the activities.

2.2.Stage rental LED display

Stage rental LED display is currently on the market for temporary activities to use the most widely used, the most convenient kind of temporary construction of the use of LED display, it has a very strong flexibility, fast installation, easy to transport, in many areas of the field of activities in the field of use, the following minray editorial will introduce you to a few rental LED display for you to bring the revenue model, available for you to refer to.

2.2.1. Tailoring rental programmes by scenario type：

2.2.2. Flexible rental cycle and pricing strategy:

• Short-term rental: suitable for exhibitions and events, charging per day or per event, with high premium (e.g. 30% increase in price during peak season).
• Long-term leasing: signing half-year/year contracts with shopping malls and enterprises, with desirable stable income (e.g. 20% off the original price).
• Step pricing: tiered pricing based on display resolution (4K/8K), brightness (outdoor/indoor), and size (below/above 50m2).

2.2.3.One-stop solution for rental events：

• Installation and commissioning: Charge 10%-20% of the equipment rental fee (e.g. rental of $10,000, installation fee $200-$500).
• On-site technical support: send technicians on-site, charging per day ($100-$200/day), suitable for large-scale events (e.g. concerts).
• Content Production: Provide video editing and animation design, charge by minute ($100-$300 / minute).
•  Lighting + sound + LED screen: One-stop package for the whole event is 20%-30% more expensive than renting LED display alone, but customers prefer one-stop shopping.
• Mobile stand + generator: essential for outdoor scenes, extra charge (generator rental $100-$200/day).

2.2.4.Expanding Profit Channels：

• Advertisement broadcasting during the vacant period: Lease the display screen for broadcasting advertisement during the vacant period, and share with the advertiser according to the click/display split (e.g. 3:7 split).
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• Outdoor LED leasing screen for naming: long-term leasing to the brand, the screen display brand logo, according to the annual naming fee ($20,000-$50,000 / year).

2.2.5.Rental LED display for sale after a long time

•  Old equipment refurbishment sales: out of the LED screen repair and sold to small and medium-sized enterprises at a low price (such as 50% of the original price).
• Rental for sale: Customers who have leased for a certain period of time can buy the equipment at a low price (e.g., after one year of leasing, the purchase price will be 30% of the original price).

2.2.6.Case reference: rental LED display profit model:

• Start-up phase: invest $20,000 to purchase 50 square metres of LED rental screen, and local media companies, mainly for weddings, meetings and other background screen rental (average price of $1,000 / field), the monthly pick up 5, the monthly flow of $5,000.
• Expansion stage: increase lighting equipment, the launch of the ‘LED screen + lighting’ package ($1000 / field), while undertaking the annual meeting of enterprises, the monthly flow of water to $ 10,000.
• Maturity stage: co-operate with advertising companies, outdoor LED rental screen is rented to event parties during the day, and advertisements are broadcasted at night (monthly advertising share of $2,000), the annual profit can reach $24,000-$30,000.

2.3. Outdoor Advertising LED Display

2.3.1 Outdoor Advertising Charging Strategy

2.3.2.Differentiated Pricing by Scenario

• Core locations in commercial districts: pedestrian traffic determines the premium, e.g. pedestrian street LED screen rents are 3-5 times higher than those in the suburbs.
•  Transportation hubs: airports and high-speed rail stations can charge $10,000-$100,000 per annum based on ‘screen size + passenger flow’.
•  Communities / Parks: low-priced packages (e.g. $100/week) for local businesses, focusing on high-frequency, small-sized ads.

2.3.3.Enhancement of premium price by technology

• Intelligent placement system: Dynamically switching ads according to the gender and age of the crowd (camera compliance required), charging 30% more than normal placement.
• AR Interactive Ads: Users scan the QR code on the LED display and participate in AR effects (e.g. virtual make-up trial), charging technical service fees ($1-$10 per interaction) according to the number of interactions.
• Data monitoring report: Provide daily footfall data and advertisement exposure analysis, charging advertisers data service fee ($100-$300/month).

2.3.4.Scenario-based marketing mix

• Offline and online linkage: Simultaneous streaming to YouTube/ facebook when playing adverts on the LED screen, charging integrated marketing fee (advert base fee and 15% service fee).
• Event marketing implantation: Customised interactive games (code-sweeping lucky draw) on Jumbo LED display in conjunction with festivals (e.g. Christmas), event planning fee ($2000-$5000/game).

Summary: The core profit logic of outdoor advertising LED screen is ‘point flow × advertising efficiency’, through accurate site selection, technology upgrading, and diversified cooperation to enhance the value of LED display. At the same time need to pay attention to outdoor advertising law and maintenance of LED display equipment, to avoid hardware failure or approval problems affecting earnings.

3: Several key points to enhance traffic through LED display?

3.1.Enhance brand exposure

• First of all, LED display screen has the characteristics of high-quality picture quality performance, flexible installation environment, whether in shopping malls, hotels, restaurants or conference centres, are able to attract the customer’s eyeballs, through the regular update of the display content, to ensure that the information is fresh, and can effectively enhance the brand’s exposure rate, research has shown that the customer is more likely to produce a stronger advertisement with a strong visual impact after seeing the Research shows that customers are more likely to have a desire to buy after seeing advertisements with strong visual impact.

3.2. Dynamic content to attract customers

• Compared with traditional posters or signage, LED displays can play video, animation and real-time data, which not only makes the information delivery more vivid and interesting, but also inspires customers’ curiosity and sense of participation. For example, a restaurant can display the production process of speciality dishes through LED screens to attract customers to dine, thus increasing sales.

3.3.Instant Promotions and Information Updates

• With LED screens, companies can update promotional information and offers in real time to improve marketing flexibility. When consumers see instant discount information, it is easier to prompt them to make purchase decisions. What’s more, companies can adjust their content strategy according to the traffic flow at different times of the day to maximise business opportunities.

3.4.Create a unique atmosphere

• LED displays can be used in environmental settings to create a unique atmosphere and enhance the overall customer experience through creative layout and design. For example, placing LED screens in hotel lobbies or lounge areas in shopping malls to display moving landscapes or brand stories can make customers feel relaxed and happy, thus increasing their length of stay and likelihood of consumption.

3.5.Analyse data and optimise strategies

• Many LED display are equipped with data analytics to monitor viewer behaviour and feedback in real time, through which companies can analyse which content is most popular, further optimise display strategies and increase the conversion rate of advertisements.

As an innovative communication medium, LED display has great potential. Through enhanced brand exposure, dynamic content display, instant promotions, atmosphere creation and data analysis, companies can effectively improve customer engagement and purchase decisions, thus achieving sustained business growth, and it is not difficult to achieve a dramatic increase in traffic.

4: What are the profit models of LED display?

4.1. Outdoor advertising puts LED display screen the most direct, the most important way to profit:

•  Outdoor advertising: install large LED screens in locations with high traffic (e.g. shopping districts, stations, next to motorways), rent advertising space to third parties, billing by time period, days and frequency.
• Community/Building Advertising: Install small LED screens in residential communities, lift entrances or office buildings to broadcast advertisements from neighbouring businesses.
• Syndication network: Set up multiple LED screens to form a syndication system, centralise the management of advertising resources, and attract large advertisers to place national or regional advertisements.

Revenue model:

• Charge according to broadcasting time (seconds or minutes)
• Packaged sale of advertising time (e.g. monthly, quarterly)
• Sharing with advertisers (e.g. co-operation with shopping malls and metro stations).

4.2.Rental LED display screen service
By renting LED displays, you can rent them for use by event parties:

• Exhibition, concert, wedding and other activities rental
• Temporary display for enterprise conference and business meeting
• Temporary promotional advertising or holiday atmosphere layout
  Usually billed by the day/hour, and provide installation, commissioning, technical support and other services, higher profit margins.

4.3. Cooperate with merchants to operate the share:

• You are responsible for out screen + content operation;
• Merchants provide venues, power supply, etc;
•  Both sides of the advertising revenue profit sharing (such as 70% of you, 30% of the merchant).
  This model can quickly lay a number of points, low-cost expansion.

4.4.Policy-based projects and government co-operation

LED display screen can be used for government information release, public welfare propaganda, smart city construction:

• Contract with the government for information release platform;
• Provide customised LED systems (e.g. bus stop signs, intelligent traffic signs);
• Some projects can get financial subsidies or long-term contract revenue.

4.5.E-commerce platform sales and agency
If you have the channel or technical ability, you can also make profit through the following ways:

• Sell screen hardware: sell LED display through online platform or offline channels;
• Doing brand agency/installation services: acting as an agent for LED manufacturers’ products and earning the price difference or service fee, minray is recruiting agents worldwide.
• Provide content production and technical maintenance: Charge content design fee, maintenance fee, annual fee for remote management system, etc. by project.

5: What are the core key points of LED display to attract traffic?

Let the core of the LED display to attract traffic lies in: the content is attractive + location precision + information is clear + with the user to form a closed loop of action. The following is minray editor’s practical type of method to help you use LED display screen to achieve offline flow to the shop / online traffic conversion:

5.1.Choose a good location: traffic is king

• High-traffic areas: such as the entrance to the shopping district, underground entrances, traffic lights, bus stops, school entrances and so on.
• Low-visible, long stay: traffic light waiting area, in front of the lift, near the cashier, is the ‘best attention area’.
• Proximity to the shop: the ‘shortest path to conversion’ that leads customers directly to the physical shop.

5.2. Content attraction: eye-catching is key

• Animations, scrolling subtitles, and switching images attract more attention than static images.
• Large fonts, less text: one sentence to get the point across, e.g. ‘Buy one get one free on burgers, today only!’

5.3. Create ‘marketing copy’
Attract users with curiosity + excitement + clear benefits:

•  Limited time offer: ‘Today’s limited time offer is free when you enter the shop’.
•  Suspenseful copy: ‘Click me to see today’s hidden menu’ ‘If you dare to come in, I dare to discount’.
•  Conversion guidance: ‘Scan the code to get a free coupon’ ‘Take a photo and punch the card to get a small gift’.

Summary: The key formula for LED traffic diversion
Traffic diversion effect = precise location × strong attraction content × clear action instructions × reasonable incentive mechanism
You can tell minray editorial LED screen scene (such as where, the nature of the shop), can help you customize a more specific set of traffic diversion scheme, do you need?

 6: How to let the LED display help you earn money?

To let the LED display ‘help you earn money’, you can understand that the LED display becomes an automatic money-making tool or channel, rather than just a ‘spend money on billboards’, the following is minray editorial for you to introduce 6 kinds of practical type way.

6.1 Renting advertising space: being a ‘local advertiser’.

• Installation of LED displays in high traffic areas (e.g. shopping districts, railway stations, entrances to residential areas).
• Rent out the screen to other merchants according to time slots/advertisement spaces.
• Set up multiple adverts in rotation, billed by the second or minute
  Income example: If you broadcast 20 adverts a day and each advertiser pays you $1000 per month, that’s $30,000 per month for one screen.

6.2. Purchase your own LED display to improve shop performance

• Install LED display screen in front of your store/window.
• Playing promotional activities, popular products, short videos, user reviews, etc.
• Guide passers-by to scan the code to get coupons, enter the shop to consume, and place orders online.
• Income mode: increase customer flow → increase turnover rate → increase turnover.
  Suitable for: milk tea shops, restaurants, convenience stores, hairdressers, clothing shops, and other retail industries.

6.3 Undertake ‘LED screen + content’ turnkey projects

•  Provide others with LED screen hardware + content design + installation and maintenance.
•  You can charge ‘turnkey fee’ or ‘annual fee for content update service’
  Income source: screen profit (selling or leasing at a higher price), installation and commissioning fees, content production and maintenance fees
• Suitable for: engineers/advertisers with resources Practitioners/Entrepreneurs

6.4.Cooperation with merchants/property share: zero cost to lay the screen:

• You out of the LED screen and content management, merchants out of the shop entrance or lift entrance site
• Play adverts and split the cost with the shopkeeper according to the ratio
• You can also collect money from the advertisers, and the shop owners will get the commission from the spots.

Advantages:

• Zero rent, fast expansion.
• Profitable and suitable for large-scale replication.

6.5 Build ‘LED advertising alliance’ systematic realisation

• Put their own control of a number of LED screens to form a ‘network’.
• Provide a unified remote content management system.
• Recruitment of merchants/uniform placement of advertisements.

Revenue Approach:

• Flat rate pricing, bulk sales of ad slots
• Pricing can be based on ‘coverage’ (e.g. a regional LED screen covering 500,000 people)
  Suitable for: start-ups or local media companies with certain resources and technology.

6.6 Government/Enterprise Customised Service Projects

• Undertake the government’s information dissemination screen (such as traffic, community, government propaganda)
•  Customised ‘LED + Intelligent System’ application for enterprises (e.g. hospital guide, school information screen, meeting instruction screen, etc.)

Revenue source:

• Project quotation (usually higher)
•  Long-term O&M contract
  Suitable for: service providers with technical qualification/tendering capability.

7: Cost and return on investment analysis of LED display.

In the modern business environment, LED displays are gradually becoming an important tool for companies to promote and showcase their products. However, many B-side customers, when considering an investment, often ask: ‘How much does an LED display really cost?’ And ‘How is the return on investment?’ Today, minray will discuss the cost of LED display screen, return on investment and how to choose the right product.
7.1. Material cost

• The material cost of LED display is the core part of its cost. It mainly includes LED lamp beads, PCB board, driver IC, control system, cabinet and power supply, etc. Take outdoor SMD LED as an example, the models are 3535, 2727, 1921, etc. Different specifications of lamp beads due to the difference in material, the price is also a significant difference, and the LED lamp beads account for 60% of the entire cost of LED display, so it also directly affects the price difference of LED The price difference of the display is obvious.

7.2. Installation and commissioning costs

• Installation and commissioning is also an important part of the cost of LED display. A professional installation team can ensure the best performance of the display. Therefore, choosing the right installation service provider is crucial, and this part of the cost usually accounts for 10-20% of the total cost.

7.3. Maintenance and Operating Costs

• Maintenance costs for LED displays include regular cleaning, overhauling and replacement of damaged components. Although SMD LED beads have a long lifespan, proper maintenance can extend their life under high intensity usage, thereby reducing long-term operating costs.

Return on Investment Analysis

7.4.Increased Brand Exposure

• One of the direct benefits of investing in LED displays is increased brand exposure. High-quality displays can attract the attention of passers-by, thus increasing the attention of potential customers. According to market research, many companies have increased their customer enquiries by more than 30% through advertising on LED displays.

7.5.Increase sales

• By dynamically displaying product information, promotional activities, etc., LED displays can effectively enhance customers’ desire to buy. Data show that the use of LED display screen, business sales increased by an average of 15-20%.

7.6. Long-term cost savings

• Although the initial investment is high, the low energy consumption and long service life of LED display make it a long-term cost-saving solution. Compared with traditional advertising methods, LED displays have an advantage in terms of power and maintenance costs.

An in-depth analysis of the cost components and return on investment of LED displays shows that despite the high initial investment, there is a huge potential for return in terms of brand promotion and sales. However, whether it is worth investing still needs to be weighed against your own business needs and market environment.

8: Suitable scenes for installing LED display.

8.1.Large Stadiums and Events:

• LED display in stadiums can display game information, advertisements, audience interaction content, and with the advancement of science and technology, it can be used to bring a more immersive visual experience through the 8K screen, which can improve audience participation and satisfaction, and thus increase the revenue of the stadiums, such as Saudi Arabia’s ‘Jeddah Season’ carnival season, which demonstrates the use of LED displays in large-scale events. “For example, the Jeddah Season in Saudi Arabia demonstrated the use of LED displays in large-scale events.

8.2.Outdoor Advertising:

• Installing LED displays at outdoor locations in busy commercial districts or pedestrian intersections can serve as a platform for advertising, attracting the attention of a large number of consumers and bringing in advertising revenue.

8.3.Transportation Hubs:

• Using LED display screens in public transportation hubs such as railway stations and underground stations can provide travel information and train schedules to enhance transportation convenience and serve as a platform for advertising to increase revenue.

8.4. Retail Stores:

• Installing LED displays in retail shops can display product information, promotional activities, etc., stimulate consumer purchases and increase sales, such as the case of some retailers who have increased sales by installing LED screens shows the potential of LED displays in the retail industry.

All in all, the revenue sources of LED display screens are varied, depending on their application scenarios, contents and target audiences, but they have significant advantages in enhancing the visual effect of activities, attracting attention, conveying information, stimulating consumption, etc. It is worthwhile to invest in LED display screens in order to increase the revenue of retailers.
It is worth noting that, when investing in LED display, in addition to the purchase cost, but also need to consider the installation costs, power consumption, maintenance and repair, content creation, software management, licensing and approval and other hidden costs, minray’s editorial suggests that you, to conduct a detailed cost-benefit analysis, to consider the investment of the long-term benefits and costs!

9: Global case: how LED advertising screen becomes a high-yield engine.

In the busy areas, as well as the huge flow of people, the installation of a large LED screen, has been the most important way of global business investment in a way of income, it has changed our original business model, only through a one-time investment in a large LED electronic screen, you can get a long-term stable and lucrative returns, without any additional increase in costs, has been popular all over the world, the following minray editor will Belt for you to introduce the global application of LED display screen some of the most successful cases.

1. Hing Wui Building, Central, Hong Kong: $3.1 million annual revenue.
   Hing Wui Investment Company spent $3.1 million to install an oversized LED video wall on the building’s façade. Now, this screen for the building to bring up to $ 3.3 million in advertising revenue each year, and advertising appointments have been scheduled until next year.
2. 9.2. Times Square, New York: Landmark screen generates over $10 million annually
   At 1535 Broadway in New York, the 8-storey LED advertising screen generates over $10 million annually for the property owner, Vornado Realty Trust. With international brands such as Coca-Cola and Google buying advertising space on a long-term basis, the screen has become a ‘media asset’ in its own right.
3. 9.3. Shibuya Crossing, Tokyo: 3D vision screen generates about $38,000 per week
   Cross Shibuya Vision, which will be launched in 2021, has taken the world by storm with its realistic 3D animation. Today, it charges up to 6 million yen (about $38,000) per 15-second ad slot, making it one of the most expensive outdoor advertising resources in Japan.
4. Burj Khalifa, Dubai: Single LED light show earns more than $500,000
   Burj Khalifa uses the building as a huge LED projection screen, and brands such as Cartier and Samsung often attract global attention through short-term advertising campaigns, charging more than $500,000 for each campaign, which pays for itself in the short term.
5. London Piccadilly advertising screen: annual advertising value of about $40 million,Landsec in Piccadilly Circus has a large LED screen with an area of 790 square metres, and advertisers include Hyundai, L’Oreal and Coca-Cola. According to estimates, the annual advertising value of $40 million, is one of the most valuable digital advertising space in Europe.
6. Beijing World Trade Center: 7,500㎡ LED canopy helps brand marketing
   Beijing ‘World Trade Center’ has one of the world’s largest LED canopy, advertising and brand immersive projection activities revenue is not expensive, Mercedes-Benz, OPPO and other brands have invested in a high amount of publicity programmes.
7. COEX K-POP Plaza in Seoul, South Korea: visual landmark + commercial magnetic field
   COEX Plaza LED screen in Gangnam, Seoul, South Korea, has become a cultural and commercial double landmark with its ‘giant waves’ 3D special effects. Daily advertising charges up to 8,000-12,000 U.S. dollars, the annual contract amount of 3-5 million U.S. dollars.

The success of these cases shows that LED display is becoming a new type of ‘urban asset’, not only with eye-catching visual impact, but also bring sustainable high returns. Compared with traditional tenants, LED screens do not require human management, can be automatically played, all-day operation, in high-traffic areas can achieve long-term stable income, building facade is no longer just a ‘wall’, but can be transformed into a ‘media platform’ of the prime location. As long as the location is superior and the content is properly operated, the income of a screen can even exceed the traditional rental income of the whole building.

Conclusion: When the LED screen becomes the most valuable ‘tenant’ in the building:
With the wider and wider application of LED display, it is becoming the epitome of the new trend of global real estate, from New York to Tokyo, from Dubai to Beijing, inside and outside the building of the ‘value of the relationship’ is being redefined. LED display not only lights up the city, but also illuminates the new profitability of commercial real estate direction. In this era of content is king, traffic cash, maybe your real most valuable ‘tenant’, is no longer a person, but the piece of high-definition LED screen with advertisements.