Companies use signage in their daily business operations as a form of marketing.

Effective signage will advertise the company name, provide information about goods or services, and increase sales.

Types of Signage

Signage can be placed into three categories: building-mounted signs, freestanding signs and interior signs. Building-mounted signs and freestanding signs are exterior signage, while interior signage refers to signs that help direct customers to a certain area such as an office, restroom or clothing department.

Visibility

The Small Business Association stresses the importance having an on-site visible sign that is easily readable. The SBA says when Frenchy’s Bistro of Southern California invested approximately $10,000 installing a larger and more visible sign, revenues increased 16 percent in the first year and 32 percent in the second year; growing from $279,000 to $427,000.

Changing Signage

Effective signs must be visible and conspicuously call attention to the business. The SBA says Southern California’s Belmont Auto Spa had a large brightly color on-site signage, but it failed to attract customers. A new sign was constructed using vibrant graphics, contrasting colors and easily readable type. Although the square footage of the new sign was the same as the old sign, revenues in the first year increased $135,000.

Provide Information

Signage helps companies provide specific information about the company, such as hours of operation or upcoming sales. It can also help build relationships with customers, by highlighting special information such as community involvement.

Considerations

Signage is considered a protected “speech” in the United States, but local laws may have restrictions on the type of graphics or size of signage.

By Diane E. Burdick

eHow Contributing Writer