Thursday, May 24, 2007

State of Emerging Technologies in Advertising

Several leaders of the cable sales industry expressed their opinions on the state of the industry at this week’s CAB conference held at the NCTA convention.

In response to the fate of the 30" ad, Comcast’s Charlie Thurston says, “The traditional linear 30” spot will become a facilitator for consumers with interactive capabilities......you can order catalogs, coupons, get company info by clicking on it.” He also provided an example, the 30" car ad is the hook, which will then lead to a deeper, rich consumer experience.

MTV’s Hank Close said, “I am happy to say video did not kill the radio star, it just gave it another platform.” He adds that MTV is working on commercial enhancers, pod-busters (one advertiser in a pod), and picturein-picture technology, which he states they have already used to great result. “While research is very supportive, as far as retention. . . it is going to take some revolution for the 30” spot to live, but I think it’s not only what our advertisers are looking for. . .it is what our audience is looking for.”

Reasons varied for which new medium is likely to have the greatest impact on business. Sean Bratcher of ESPN noted that HD is the most important to business. He says, “99% of our content is viewed live; DVR does not have a great impact.” VOD was most important to Thurston. “It allows us to take that 30” ad and stretch it.... DVR is also important.” He adds, “From a consumer experience, HD is huge.”

Moderator Stuart Varney then posed the question, “What is your vision of TV or video ten years from now?” Hank Close responded “(it’s) taking what we have today and marrying it with internet functionality, which is what we are starting to do now.” With time, mobile is going to
change and grow, it will become a greater percentage of what we view.” Joan Gillman of Time Warner Cable Media Sales summed up by saying that it will be “an integrated consumer experience – more seamless and relevant.”

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