The Future of TV Advertising

Tracks trends in traditional television ad sales and the impact of new technologies, new competition.

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Wednesday, June 14, 2006

Magna Global Data Confirms Major Shift

The people over at Magna Global updated their "on demand" forecasts. (You'll have to email them for the full report.)

They expect almost 30% of households will have DVR's by 2010 and "on demand" technology will reach almost 100% of wired households. The continuing shift of viewing away from the the traditional "on schedule" routine is placing colossal pressure on TV ad sales. Eyeballs are now only sellable when they watch a program on schedule.

Unless you own the on demand technology (like the local cable provider does), you haven't got any other options. Local broadcasters are in the least enviable position. Their larger national advertisers read this sort of research and cut their purchases on local television.

This trend is leading a flight of quality advertisers and it is changing the landscape.

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