TiVo CEO addresses advertising crisis

Sections: DVD/DVR/Blu-ray, Video

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The CEO of TiVo, Tom Rogers, has come forward and addressed the ad crisis that is hitting the television industry. He admits that TiVo is a big part of the problem since the device allows users to fast forward through commercials. The company plans to find alternative ways that advertisers can still reach consumers while using a Tivo.

His plan is to allow for an interactive method of advertising where the TV viewer would be able to pause their program while learning about an advertised product. He also suggested targeting advertising based on the programs that the viewer is watching. For example, a viewer watching a program about babies would see a diaper ad. Rogers doesn’t expect that traditional advertising will become totally obsolete just yet; many viewers still watch programs the traditional way, like sporting events.

Rogers urged other members of the industry to take action now to resolve this crisis. He expects advertising revenues will fall even more as forecasts show that an expected 50 to 60 million homes will own a DVR over the next three years.

Read [Brandweek]

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