To Skip or Not to Skip DVR Ads?

May 17, 2012

 

Shortly after Dish Network announced Auto Hop, a new feature that allows viewers to watch DVR content without any ads, Comcast filed a patent that could force subscribers to watch every bit of advertising during DVR playback.
 
Comcast's technology would deliver alternate, targeted ads — based on demographics and viewing habits — for subscribers who hit fast forward or pause during commercials. This new technology could also allow Comcast to sell advertisers multiple alternate ads to subsequently increase ad revenue. These new ads would be displayed in the center of the TV screen, FierceCable reports.  
 
Dish is taking the opposite approach with its ad-hopping technology. The satellite company is betting that improving the customer experience will attract more subscribers.
 
But these dueling DVR strategies cut both ways. Will advertisers be upset that Dish is touting the ability to skip their messages? Certainly. Will customers squawk at Comcast if they force them to watch ads during DVR playback? Probably. 
 
But Comcast’s proposed move isn’t as radical as it first appears. First, some of the content available On Demand from the cable giant already features unskippable commercial messages. Try fast forwarding through On Demand commercials during ABC and FOX programming. You can’t. And that is by design. 
 
It is also interesting to note that using viewer data to match ads with viewer taste during DVR playback is taking a page from the Internet TV playbook. When viewers encounter paid content for products and services that interest them, they are more engaged and ad messages are more resonant.
 
It will be interesting to see how new technology impacts the evolving TV experience, both online and in the home.

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