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Marketers Less Enthusiastic About Plain-Jane TV Advertising

  • Ad Age, Thursday, March 23, 2006 11:03 AM
Bad news for those who sell television advertising. A study released yesterday at the Association of National Advertisers TV Ad Forum revealed a significant loss of faith in TV ads among those who buy them. Three out of four markets say they believe TV advertising is less effective today than it was three years ago. Ad Age: "Almost 70 percent of advertisers believe DVRs and VOD will reduce or destroy the effectiveness of traditional 30-second commercials. Instead, they are looking at alternatives such as branded entertainment within TV programs (61 percent), TV program sponsorships (55 percent), interactive advertising during TV programs (48 percent), online video ads (45 percent) and product placement (44 percent). Additionally, 80 percent will spend more of their advertising budgets on Web advertising and 68 percent are looking into search engine marketing." Advertisers who attended the forum were advised to pay greater attention to the increase in DVR penetration, which was ascribed to the rapid deployment of set-top boxes by cable and satellite companies. Ad opportunities related to DVR usage should be addressed sooner rather than later, according to one executive who spoke at the forum.

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