The Great Advertiser Versus PVRs Continues to Brew
Got a PVR yet? Ed Bott points to an article at SmartMoney.com that states:
Accenture's research estimates that around 40% of U.S. homes will have personal video recorders, or PVRs, by 2009. The technology in PVRs allows viewers to store and record television programs on a set-top box, skipping through advertising segments easily.
About 8% of U.S. homes now have PVR technology, resulting in around 2% of ads being skipped.
The author of the report, media and entertainment partner Theresa Wise, calculates that up to 10% of ads could be skipped by 2009, with as much as $6 billion lost
Ed's critique of the article is:
What I find fascinating about this story is the overwhelming emphasis on advertising, with the subtext that the advertising industry needs to find a way to prevent us ungrateful consumers from skipping their ads.
First, I think the estimate of 40% of homes with PVRs by 2009 seems awful low to me. I really think PVRs will be one of the most popular consumer devices of the 21rst century, especially now that most cable companies are offering PVR boxes.
And as far as advertising revenue, it's a reality just like death and taxes. What consumers have to understand that without adverstising there is no televison. Television is just like the internet. You can have a million people a day visit your site but if you don't sell a product or advertising, you don't make a dime.
One thing's for sure, the advertiser versus consumer battle hasn't even started yet.
Read PVRs won't hit the mainstream for years at EdBott.com
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