Introduction to Psychology in POS Signage

Point-of-sale (POS) signage is used in retail settings for its ability to appeal to the desires and emotions of customers. It’s estimated that more than 60% of in-store purchases are made at the point of sale. In this article, we discuss the role of psychology in POS Signage and suggest useful ways of using psychology to influence consumer behaviour at the point of sale.

Colour Psychology

Colours can immediately evoke specific emotions and trigger the desired associations in the minds of customers. Retailers can use colour strategically in POS signage to drive specific actions. For example, red can be added to a sign’s text or background to draw attention to limited-time or “last chance” offers.

Hierarchy

Business owners can structure the information in a sign to draw attention to the most important elements. This can be done by strategically choosing font size, colour, and placement, ensuring the POS display has the most important information (such as a discounted product or a promotion) in the most visible position.

Scarcity and Urgency

No one wants to miss a good deal. The fear of missing out (FOMO) is ingrained in human psychology, and it can be a powerful motivator in consumer behaviour. You can encourage action by creating a sense of scarcity or urgency in POS signage by adding phrases like "Limited Time Offer" or "While Supplies Last" or by showcasing the product that “everyone else” is buying. Countdown timers for dwindling stock can also work well to move customers to action.

Simplicity

Often, the most effective marketing messages are also the most direct and simple. Researchers claim that the average human attention span is barely over 8 seconds, so POS messages must be simple and direct to the point. In POS signage, you can combine text and images or symbols to transmit a powerful message in seconds.

Starbucks

Starbucks relies on colour psychology to create appealing POS areas, with warm, inviting hues like green and brown in their POS signage. This is consistent with the coffee shop’s ambience and helps evoke a sense of comfort and relaxation, which keeps customers coming back for that “chill out feel”.

Glenlivet

This POS display shows that the Scottish whiskey manufacturer knows how to capitalise on the psychological aspects that influence customer behaviour at the point of sale. The written sign swiftly highlights what makes the beverage unique, and the illuminated display taps into FOMO by presenting the product as something special and luxurious.

Nike

Nike's POS signage appeals to consumers' emotions by displaying powerful imagery and motivational slogans that resonate with their target customer, making great use of hierarchy and simplicity.

Custom LED neon signage can complement and boost the impact of conventional POS strategies by:

Capturing Attention

Custom LED neon signage stands out among other elements of a retail environment, instantly capturing the attention of customers. Bold and unusual lettering in POS signs can inspire curiosity and encourage shoppers to explore further.

Evoking Emotion

Custom LED neon signage can set the desired mood thanks to the wide range of colours and hues available, in combination with dynamic lighting. The options range from relaxing soft glows to exciting bright lights, so every business can create an LED neon sign that achieves the desired result and is consistent with their brand image.

Guiding decision-making

Strategically placed Custom LED neon signage can subtly guide the decision-making process at the point of purchase. LED neon signs are excellent when highlighting promotional offers, showcasing best-selling products, or directing the customer’s attention to specific areas of the store.

The expert use of POS signage has an excellent ability to shape customer behaviour and influence their decisions. In this article, we’ve seen how businesses can create compelling POS displays that capture attention and drive sales by applying key psychological concepts like colour psychology, visual hierarchy, scarcity, social proof, and emotional appeal. To find out how to benefit from effective POS signage, contact the Custom Neon team.

More research commissioned or undertaken by Custom Neon® can be found here:

• 10 Statistics Highlighting the Importance of Signage Business
• Logo Statistics and Facts
• How to Get the Best ROI on Business Signage
• Effective Signage Placement Strategies for Maximum Visibility
• Attention Capturing Signs
• Color Harmony and Contrast in Signage
• Persuasion Basics in Signage
• Storytelling in Signage
• Color Psychology Statistics in Commercial Signage
• Case Studies: Successful Brand Colour Strategies
• Case Studies: Successful Brands Using LED Neon
• Business Signage Statistics for the Australian Signage Market