CONSUMER BEHAVIOR ANALYSIS

Discussion #5

Living in a DVR World

Ari Haryadi

Deky Hapsoro

What is DVR ?

Digital video recorder (DVR), sometimes referred

to by the merchandising term personal video
recorder (PVR), is a consumer electronics device or
application software that records video in a digital
format to a disk drive, USB flash drive, SD memory
card, SSD or other local or networked mass storage
device

Launched at the 1999 Consumer Electronics Show

in Las Vegas

A television set with built-in digital video-recording

facilities was introduced by LG in 2007, followed by
other manufacturers

The RESEARCH

The FACT

40 % of US households have DVR and Expected to

Grow

Marketers perspective is ad avoidance

Skip add twice than live

50 90 % fast forward (Zipping, Zapping and

Muting Behavior Impact of Media Exposure)

Most viewers who zip through DVR commercial still notice

the ads and, in fact, will stop and view commercials they are
interested in

DVR users who fast-forwarded through TV ads were more

engaged with the ads than those who did not (Inner
scope Research)

Media Exposure Self Selecting Nature

The MARKETERS IDEA

The SUGGESTIONS

Simplicity

Having Key Brand Information in the center of the screen

where its most likely to be notice

Marketers think beyond Traditional Models as

DVR transform how consumer watch TV
Shortened version of ad, which plays in real time
during fast forwarding

OTHER STATEGY
Still-Frame ads
This strategy keeps the visual relatively static for 30 seconds, giving marketers a
chance to present their package, brand and logo and have it visible even during fast
forwarding

Hybrid ads
Hybrid ads mimic the show the audience is watching. These tie-ins to shows seem
to be particularly effective at staving off ad skipping

Interactive ads
Interactivity provides marketers with more freedom in a DVR context to deliver
relevant brand information and content to consumer who want it

Dynamic ad placement
Direct TV is now using technology that allows seamless insertion of household
addressable ads into both live and recorded video content from the DVR hard drive

CRITICAL THINKING QUESTIONS

Do you think that later adopters of DVRs will be less
interested in ad avoidance capabilities? Will this
changes as they learn to use their DVR?

Yes. The fact that consumers would be willing to accept

commercials in return for not having pay $10/month for their DVR
showed that Ad avoidance is less interested

Yes. DVRs created for time shift TV. Higher record capacity will be
and advantage of using DVR compared with Ad Avoidance
Capabilities

Can you think of other strategies beyond those

discussed that could be used to reduce consumers
tendency to skip ads even with a DVR

Create an Attractive Ad Stimulate viewers to watch and engaged

Collaborative between Advertiser and DVR industry

The study Advertising in the DVR Age shows that about 70 percent
of the advertising executives acknowledge that they do not have
the relevant information about DVRs and their impact on TV
advertising
DVR Research Institute Management(2013)
tom.schultz@DVRresearch.com , adam.zarrin@DVRresearch.com

CRITICAL THINKING QUESTIONS

Do you agree with CBS that the DVR is a transitional technology?

Yes. Because DVR was a transitional technology from Conventional TV to Time shift TV

Yes. Because 40 % of US households have DVR and that number is expected to grow

SUGGESTION
Collaborative between DVR industry and Advertiser because TV industry need advertiser to increase their
quality

REFERENCES
https://en.wikipedia.org/wiki/Digital_video_recorder

http://www.businessdictionary.com/definition/digital-video-recorder-DVR.html
http://pantauiklan.blogspot.co.id/2014/01/mengapa-terjadi-penurunan-minat.html
http://instalasi-jaringan.com/apakah-dvr-itu-kegunaannya/
Modeling the Effects of Advertisement-Avoidance Technology on AdvertisementSupported Media, Wilbur C Kenneth, 2004
101 Advertising in the DVR Age, DVR Research Institute Management, 2013