Home  › Marketing › Strategies

DVRs Not Necessarily Ad-Killers

  |  May 25, 2004   |  Comments

Simultaneous media usage may be the bigger problem for advertisers as research found that digital video recorder users are watching more hours of TV perweek than non-time shifting viewers, thereby increasing exposure to commercials.

Commercials that travel at the speed of digital video recorders (DVR) [define] are quite possibly making an impact on viewers, according to a new report, "Demystifying Digital Video Recorders," from InsightExpress and MediaPost, unveiled today at AD:TECH San Francisco 2004.

More than twice as many survey respondents said they always notice commercials while fast-forwarding than those who say they never notice (15 percent compared to 7 percent). This comes as good news for advertisers who are concerned that TV viewers will eliminate commercials with the push of a button.

"People are still getting exposure [to ads] but they're doing what they want with it," said Lee Smith, president and CEO of InsightExpress.

Smith added that even though viewers are fast-forwarding through commercials, there is still some recognition and they are more likely to watch a commercial they haven't seen before. The survey found that 54 percent of DVR users have rewound or paused television commercials to better understand the advertised product and 37 percent would welcome the opportunity to request additional product information via their DVR.

"There is the desire to get more information [from advertisers] when it's appropriate and relevant for them," Smith said. "Consumers would love the opportunity to get ads targeted to them."

Despite the optimism conveyed in the InsightExpress/MediaPost report, "skip commercials" was the DVR feature cited as most used by 83 percent of survey participants. "Record shows" was the only other feature that was more used at 88 percent.

Repetition was the chief complaint, as an overwhelming 70 percent of survey respondents reported that commercials were repeated too frequently. Smith said that DVR usage is going to force advertisers to change their model.

"We think it's going to open up new opportunities for advertisers," he said.

Advertisers that embrace this new opportunity will find a demographic that is predominantly male, under 35 years-old, and, surprisingly, with household incomes under $75,000 annually.

The report indicates most consumers aren't normally focused on the commercials when they watch TV using the traditional method anyway. More than half admit to regularly channel surfing; roughly one-third leave the room during commercials; nearly one-quarter mute the commercials; and a whopping 80 percent are consuming other forms of media simultaneously or conducting other activities.

According to InsightExpress, consumers are using DVRs to enhance their viewing experience and to accommodate their busy schedules, reporting higher TV satisfaction rates and viewing time with the time-shifting devices.

Television Viewing Habits
Metric Non-DVR Users DVR Users
Mean hours of TV watched per week 19.2 23.9
Median hours of TV watched per week 15.0 16.0
Source: InsightExpress/MediaPost

Smith said respondents' perceptions of network TV and their satisfaction rates went up because they had control. More than three in 10 respondents reported that they adopted DVRs to watch shows on their own schedules, and 73 percent of survey participants said that pausing live TV was among their most used DVR features.

The report was based on three surveys conducted online during January, February, and March, among 1,400 consumers, including 500 DVR owners. The studies were commissioned to determine the impact of DVRs and to understand consumer consumption, attitudes, and behaviors.

ClickZ Live San Francisco Revolutionize your digital marketing campaigns at ClickZ Live San Francisco! (August 10-12) Educating marketers for over 15 years, we return to San Francisco this August with our action-packed, educationally-focused agenda that will cover every aspect of digital marketing. Super Saver rates expire this Friday, June 5, so register today and save $500!

ABOUT THE AUTHOR

COMMENTSCommenting policy

comments powered by Disqus

Get the ClickZ Marketing newsletter delivered to you. Subscribe today!

COMMENTS

UPCOMING EVENTS

Featured White Papers

Gartner Magic Quadrant for Digital Commerce

Gartner Magic Quadrant for Digital Commerce
This Magic Quadrant examines leading digital commerce platforms that enable organizations to build digital commerce sites. These commerce platforms facilitate purchasing transactions over the Web, and support the creation and continuing development of an online relationship with a consumer.

Paid Search in the Mobile Era

Paid Search in the Mobile Era
Google reports that paid search ads are currently driving 40+ million calls per month. Cost per click is increasing, paid search budgets are growing, and mobile continues to dominate. It's time to revamp old search strategies, reimagine stale best practices, and add new layers data to your analytics.

Resources

Jobs

    • SEO Specialist
      SEO Specialist (HeBS Digital) - NEW YORK                             ...
    • GREAT Campaign Project Coordinator
      GREAT Campaign Project Coordinator (British Consulate-General, New York) - New YorkThe GREAT Britain Campaign is seeking an energetic and creative...
    • Paid Search Senior Account Manager
      Paid Search Senior Account Manager (Hanapin Marketing) - BloomingtonHanapin Marketing is hiring a strategic Paid Search Senior Account Manager...