The Reuters Telecommunication, Cable & Satellite Summit, discussed the important trends for TV last week. It has important implications for the traditional advertising model and how brands could reach out to their customers.
Executives from Comcast, SBC, Bell South, Verizon spoke about the transition of next generation TV towards services like video- on- demand and DVRs. The programming schedule business model could well disappear for TV. They are talking of internet like search engine model to be used for accessing programs across TV channels, replacing on-screen programming guides . This got me thinking on how the advertising model had to change and here's how I started seeing it.
Today, there are viewership ratings that drive how much of marketing budgets will be put behind each channel and program. It's mostly reactive media planning as data does not come-in quickly. This will definitely get defunct as a more real time solution will be needed by marketers, as consumers start changing their viewing habits. Would there be a need for an ad serving platform like DoubleClick and the likes, for TV too? There could be a online media scheduler that ranks the current viewership traffic to different programs across channels (by search and selection on the remote) and appropriately scheduling the television commercials( or a bank of TVCs). Advertisers and media agencies may have to host a video compatible central warehouse server that will enable them do this. Also, the server could archive responses to commercials, by subscriber, which would be done through the TV remote. Also, there could be previews to programs based on search, where smaller duration commercials will have to be played. Also, text advertising, banners etc. could become important pre-commercial creatives that will drive customers to different programs. In-program advertising could gain importance. Also, long-format commercials with games, puzzles & downloads that could engage the customers could begin to emerge. We could begin to see the coming of wireless intelligent remotes, where search could be installed. SMSs into TV remotes could become order of the day.
There is a lot of unlearning that one has to do. When customers control what they see, unlike the past era, new formats of "pull" advertising needs to be thought through to get their attention.
Love to hear your comments and how you see it take shape.