Tuesday, October 04, 2005

Down With Commercials!

This article by MSNBC's Newsweek discusses how companies that have 30 second advertisements on television are now competing for any potential customers to view them. Now with TiVo and Video On Demand, customers have the option of skipping through commercials altogether, which certainly doesn't help the advertising agencies get their message across.

So now, advertising agencies need to be a little more creative in their approach to get consumers to view their product on the television... Some have moved towards Internet commercials, having commercials on hotel televisions, having live spots on television to promote the product (like 10-15 minute commercials) , and having interactive commercials. For example, in the article, it stated that approximately 85% of potential consumers who had interactive commercials on their screen actually stopped to check out the new commercial. The agencies need to keep their commercializing competitive enough to stand up to anti-commercial industries such as TiVo.

The questions posed however are, will TiVo get rid of commercials altogether? How will advertising agencies operate if that happens? What will happen to the demand of goods on the market if there are no commercials in which to advertise new products with? Will this cause a surplus in some newly manufactured products (or even in some old products) because people don't know what the product is or where to find?

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