TiVo Wants You to Watch Commercials

Discussion in 'Community' started by MacNut, Jul 18, 2005.

  1. MacNut macrumors Core


    Jan 4, 2002
    TiVo Wants You to Watch Commercials

    SAN FRANCISCO (AP) - Digital video-recording company TiVo Inc., famous for helping customers skip commercials on their favorite television programs, is taking steps to encourage viewers to watch them.

    TiVo, based in Alviso, Calif., has announced plans to insert symbols that identify advertisers during commercial breaks, making them more visible even when a customer is fast forwarding through them.

    The ID tags are designed to alert TiVo customers to certain products. If customers are interested in learning more, they can pause the show they are watching to receive a "long-format" commercial or obtain information about the product. The new campaign will be launched with General Motors and The WB Network commercials.

    "TiVo's proprietary advertising technology presents a real opportunity for advertisers to enhance the effectiveness of traditional television advertising," said TiVo chief financial officer David Courtney.

    But encouraging TiVo customers to download ads could be a tough sell, analysts have predicted. People subscribe to TiVo's service, which allows customers to make video recordings of their favorite TV shows, precisely to avoid commercials.

    The new commercial strategy is the latest attempt by TiVo to generate ad revenue for the company, which has yet to turn a profit since its founding in 1997.

    Despite the company's loyal following of 3.3 million subscribers, TiVo has labored to increase its subscriber base. In its first-quarter report in May, TiVo reported a loss of $857,000. The company has said it would reach profitability in the fourth quarter.
  2. Mr. Durden macrumors 6502a

    Jan 13, 2005
    I love my Tivo and if something like this helps them make some $$, then more power to them.

    However I would be mighty angry if they are forced (or decide to) to take the extra step of disabling the fast forward feature during commercials. I'm not sure how likely this scenario is, but I've seen it mentioned in several articles/discussions that advertisers are leaning heavily on them to disable the feature during commercials because they are loosing too many viewers (of the commercials). With only 3 million Tivo users out there, I dont see how thats a real problem as of yet.

    I also saw a study that said most Tivo users will still pay attention to the commercials they are fast forwarding through, and then stop and watch something that may interest them. Either way, I hope Tivo can hang around, because I cant imagine watching TV without.

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