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TiVo issues 30 for 30 interactive ad challenge to shift how brands buy advertising
The way TiVo sees things, advertisers shouldn't foolishly pay for ads no one is watching thanks to their DVRs, when they could use the same money to pay TiVo -- a DVR company -- for special ads DVR users are more likely to see. At least that's what we're getting from their recently announced 30 for 30 interactive ad challenge, which involves asking advertisers to move money from poorly performing prime-time 30-second TV spots and instead put it towards buying 30 days of ad exposure on TiVo. For those unfamiliar with TiVo's ad offerings, this exposure appears as clever advertisements shown in places such as the pause menu and home screen, or via special placements through fast-forward billboards and interactive tags that appear during regular commercials. While this may be bad news for TiVo's commercial-hating users who bought the device to avoid ads in the first place, depending on the trial's success, we're hoping TiVo could earn enough dough to drop the monthly subscription fee -- that is as long as VOD doesn't make the discussion moot. Sure the concept is crazy enough to make even Joseph Heller proud, but thankfully whatever happens, there's still HBO.
Networks hoping video on demand will save them from DVR woes
We've all gloated in delight from mashing the fast forward button through ExtenZe ads on DVRed shows, but according to CBS's chief research officer David Poltrack in an interview with the Los Angeles Times, networks and advertisers hope VOD will soon put the brakes on our hell-raising remotes. Sure, the actual impact of DVRs on advertising may still be unclear -- remember Oliver Wyman found 85 percent of DVR owners skip 3/4 of commercials in recorded shows, while Duke researchers found 95 percent of TV is watched live -- making the devices a non-issue. The way Poltrack sees it though, more prevalent VOD will "give the consumer the ability to watch shows any way they want to, and to do so in a way that is much more advertiser-friendly." He also mentions the potential cost-saving benefits for consumers, who may not need to cough up monthly DVR fees in the future just to view The Jersey Shore whenevs. As support, he cites convenient CBS research showing that 90 percent of consumers would be willing to deal with commercials in exchange for $10 in cable bill savings. But what do you say Engadget research subjects? Would you sacrifice the joy of the commercial skip if VOD had everything you could possibly want to watch? Let us know in comments below.
