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Fast-forwarding
through fears of TiVo

It's here, alas. The solution is compelling creative.

By Kevin Downey

   The debate over the impact of digital video recorders on advertising is still far from being resolved, but whether it’s big or small, it’s going to be a problem.

   The issue shouldn’t be figuring out how big the problem will be but rather finding a solution to it. And according to a new study by research company Frank N. Magid Associates, that solution is making sure that even if your ad is fast-forwarded, it still makes an impact.
   B
rent Magid, president and CEO of Magid Associates, says advertisers and ad agencies should fast-forward through their commercials to make sure their message still comes across even when DVR users zip through the ads.
   That's the best way to TiVo-proof commercials.
   “You can’t just look at a spot at standard speed, you have to give it the fast-forward test,” he says.
   “You have to see that if people fast-forward they can decipher what’s going on. That can be done not only through [the image] but also through text, which becomes more important because you don’t have sound.”

   To get viewers tuning in, Magid Associates suggests advertisers focus for longer periods on interesting images rather than quickly cutting from image to image. Graphics should be placed on the screen where the DVR fast-forwarding bar isn’t covering the screen.
   Magid Associates found that 63 percent of DVR users will stop for commercials that look funny. More than half said they would stop for a product they are considering buying, while 49 percent said they will stop for eye-catching images.
  “You have to tell a compelling story with the video,” says Magid. “I think in a way DVRs are going to force us to become more effective.”
   One of the most important factors in determining whether or not a DVR user watches a commercial falls outside the control of advertisers, specifically a pre-existing interest in the product.
   “If they are not in the frame of mind to buy a particular product the chances of them stopping to watch are more remote unless for some reason they are emotionally involved, like if it’s funny,” says Magid.
   “What is happening with DVRs is that it’s highlighting consumer behavior that’s been in place for some time. In the past, people would watch spots that they couldn’t fast-forward [through] but they would mentally tune them out.”
   Magid Associates surveyed 1,000 people online in May. Of these respondents, 216 had DVRs.
   It found that DVRs are no longer merely a potential threat to advertisers but a means by which a large number of commercials aren’t being watched.
   “What we see very clearly is that the incidence of people fast-forwarding is high, in the 70 percent range,” says Magid.
   While this figure is alarming, the study also found that 55 percent of DVR users will occasionally stop to watch commercials that catch their attention.
   About 7 percent of homes now have a DVR, according to Nielsen Media Research, which expects penetration to hit 10 percent by the end of next year.
   The research company Accenture, in a report released last week, estimates that 8 percent of homes have a DRV. It also found that 2 percent of all TV commercials are being skipped. The firm estimates that by 2009 DVR penetration will hit 40 percent, with 10 percent of commercials lost to fast-forwarding.
   An analysis of Nielsen data released last November by media buying agency Magna Global found that more than half of DVR users have used it to watch recorded programs and, of those who’ve had a DVR for more than one year, 72 percent always or often fast-forward through commercials when watching recorded shows.


June 30, 2005 © 2005 Media Life


- Kevin Downey is a staff writer for Media Life.


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