Saatchi & Saatchi Chief Predicts Opt-In Future for TV Advertising

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by: Josh Hawkins

CNN reports an interview with Saatchi & Saatchi UK chairman and CEO Lee Daley. In a fragmented and on-demand media world, Daley sees self-selected advertising experiences as future of TV advertising.

"PVR technology  [personal video recorders] offers consumers something they've never had before. It is the opt-out capability of watching advertising. What does that mean? I think that basically the commercial advertising model will have to change… We're going to have to get the consumers to opt in to the advertising experience. Interactive television, in actual fact, will probably be the greatest opportunity to overcome the threat of the PVR, but I think that consumers may end up paying for the advertising because they will opt in to content for longer, they will opt in to a truly interactive relationship through the television medium."

This predication falls in line with the 2005 Yankelovich Marketing Receptivity Survey (via CRM Today), which shows that more than half (55%) of all consumers would be willing to pay to receive marketing communications that reflects their interests. Earlier, I posted my take on opt-in, for-pay advertising, which I believe isn't limited to interactive television, but any media device:

"Transactional data offers marketers with a new opportunity to fine tune re-purposed video content for niche community targeting. Keep an eye out for a wave of interstitial video adverting delivered via cell phones and other mobile devices. And don't be surprised to see monetization of advertising content as an add-on, for-pay service. Advertising and marketing messages that are truly targeted to reflect the interests of niche communities will be viewed as value-added, and not interruptive or intrusive."

The Yankelovich study also shows that marketing communications need to reflect certain characteristics: "Marketing that is short and to the point" (43%), "Marketing that I can choose to see when it is most convenient for me" (33%), and "Marketing that is personally communicated to me by friends or experts I trust" (32%). These numbers suggest marketing opportunities that reach beyond highly targeted, on-demand content. Consumer generated media and referral-based content from trusted sources and like-minded communities open the doors to a number of marketing tactics born at the intersection of Internet TV, broadband media and mobile devices.

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