Vision Report

Personal TV: The Reinvention Of Television

Personal TV With Targeted Commercials Will Take The Waste Out Of TV Advertising

August 25th, 2008
DG
David Graves
With contributors:
Jaap Favier , Alice Bresciani , Erik Hood

Summary

TV advertising has been suffering from media fragmentation and ad skipping. Under pressure from advertisers, traditional television networks finally team up with cable multiple system operators (MSOs) and telco services to build a modern ad-supported television delivery system called Personal TV. It will serve non-skippable, interactive targeted ads to the set-top box (STB) and insert them at runtime in both linear and video on demand (VOD) programs. Advertisers will use the system to send interactive ads just to their target consumers or to address a mass audience by inserting an ad at the same time in many different programs at a certain time of day. The benefit for viewers is a free VOD system. The full industry shift to Personal TV will take a decade, but given the impact of this system on media strategy and planning, marketing leaders should start today by joining one of the experiments.

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