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The End Of Tv Commercials?
The end of TV commercials?
Who can say they seriously love watching TV commercials? O.K., maybe sometimes we like viewing things that are funny or catchy, but even then we like to do this on our own time. Now, with DVRs, viewers are able to skip paid announcements very easily, which brings up a very important question: Is this the end of TV commercials?
To get an idea of the DVR market, currently 20% of US homes have DVRs, according to the Leichtman Research Group (LRG). It predicts that by 2011 this number will grow to 50%!
O.K., with 50% of households having the ability to skip commercials by 2011, it is clear that advertisers are going to have to do something. For an example, look at pop-up ads and email marketing; both of these forms of advertising had to change due to technology created to block them. I mean, if people aren't seeing the ads, then running them is like spending money to heat an empty house.
Advertisers are for sure getting the message that people do not like INTERRUPTIVE advertisements. I actually think they always knew this, but now that the consumer can buy a DVR player, ...
... the small guy is getting a voice.
So after TV commercials lose their effectiveness, where do advertisers get the same reach? I know everyone is saying the Internet, but I highly doubt that advertisers will be able to copy and paste their TV model online. It seems consumers on the Internet are less accepting of intrusive advertising.
Personally, I think the new model will be based on showing consumers useful information when they are searching for it.
Already consumers are very active in searching for information before they make a purchase. I cannot think of a better time for an advertiser to reach out and show them the goods.
In the end, I have a feeling that both consumer and advertiser will be pleased with the new model, as it will save the former time and the latter money.
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