Friday, April 27, 2007

 

Commercial skipping

I received the following in the CTAM SmartBrief newsletter today:

Some shows get a boost from DVR ratings
DVRs are having an impact not only in viewers' homes but also on the shows they're watching. For the first time, Nielsen Media Research revealed the number of viewers who are watching TV shows in a time-shifted mode of play. The DVR data are expected to have a big impact on next month's upfront negotiations, and they will help advertisers determine how often viewers fast-forward through commercials on their DVRs. The Hollywood Reporter (4/26)

Imagine. Someone actually wonders how many TiVo users skip the commercials.

Let me hazard a guess: 100 percent. Well, no, I'm sure someone's not concentrating enough to remember if it's live or recorded. But it's close to everyone.

For the typical viewer, it may be easier to get a season pass to a program than plan to watch it live. For the really crafty viewer, they can start a program, then press pause while they do 15 minutes of folding laundry or some chore, and then come back and start watching in asynchronous time. As the commercials come along, they skip pass them (in a so-called "live" event) and move closer to synchronous time. Most DVRs have at least a half-hour buffer, so pausing and skipping around and rejoining a show, particularly with the new two-tuner TiVo, and it's possible to watch a whole evening of TV without seeing a commercial, perhaps only that big red Coke cup in American Idol.

It's a brave new world and we can only wonder how long advertiser-supported "free" TV will survive. P&G and GM aren't likely to spend billions on spots that no one watch. I remember when the DVRs first came out that Madison Avenue said, don't worry, it won't be a problem until the penetration reaches 15%.

The wait is over. Nielsen announced earlier this week that national DVR penetration is 17% --and even higher in many large cities. And particularly among the young, affluent viewers that advertisers want to reach.

How soon can we proclaim the death of the golden goose? Sooner than I hope. Right now I pay my cable operator 25 cents per month per channel, or more, just for reception, and another 25 cents per channel for the content. If the advertising no longer foots the rest of the content bill, I guess I'll start paying a whole lot more.

I suspect everything will be streamed over the internet by then. What do you think?

This page is powered by Blogger. Isn't yours?