The future of TV advertising

Overview

Introduction

The continued development of digital TV is presenting many new challenges to traditional broadcast and advertising business models, with numerous trends making advertising an entirely 'opt-in' activity. However, at the same time interactive TV provides the means to use the medium more effectively through more personalized, more actionable and more emotive communication with viewers.

Scope

• Considers the opportunities interactive TV presents to extend and enhance existing advertising strategies and develop new types of viewer experience.
• Assesses the creative challenges and strategic issues in devising successful interactive TV advertising campaigns.
• Discusses the importance of entertainment in driving viewer involvement and interaction and the associated difficulties for advertisers and agencies.
• Analyzes the likely impact of PVRs on existing advertising business models and the required approach in exploiting their capabilities for advertising.

Report Highlights

Interactivity provides the means to use the TV more effectively as an advertising medium through more personalized, more actionable and more emotive communication with viewers. Beyond making the TV a direct marketing environment, iTV also enables the extension of the branding experience and new approaches to program sponsorship and funding.

The success of iTV advertising campaigns is dependent on the interactive elements having the same creative values and production quality as the standard advert, requiring the inclusion of interactive plans and expertise from the start of the project.

As opposed to destroying advertising business models, PVRs could prove a major opportunity, however this requires that advertising is accepted as an opt-in experience and that advertisers develop new advertising formats, exploiting the hard disc capacity and freedom from timing constraints.