Tivo To Also Offer Ads Your Way
FangVT writes "InfoWorld is reporting that in mid-2006 Tivo will begin allowing subscribers use keyword searches to look for information on specific products or services. The article does not contain much information but ultimately says 'Throwing in lots of hedge words to soften the idea of advertising once again mingling with TV content, TiVo described the service as non-intrusive, relevant, interactive advertising on an opt-in basis.' Tivo's own press release says, 'For the first time, advertisers will have the ability to deliver television advertising, on demand and targeted to consumers, without the limitations of traditional television media placement.'"
i is funny, the company that first taught us there is life without advertising is the one trying to bring it back full tilt...
Tivo Popup
[Program] is about to start!
[Watch it now with adverts] [Do Not Watch it now]
liqbase
1) The ad service will be opt-in, but how much do they plan on nagging customers to do so? And who wants to be nagged about having ads, anyway, especially if you bought the thing to avoid them?
2) Targeted ads are certainly more effective, as Google has shown, but it's still advertising in a space buyers have come to expect no ads or ad-skipping.
3) TiVo built the entire model of PVR around the ability to skip ads and record shows more simply than on a VCR. They could do serious damage to their brand image if they embrace advertising after professing to help people avoid it.
While I'm glad they plan to make it opt-in and targeted, I'm still skeptical that they'll find profit at the end of the advertising rainbow by alienating their customers.
Under capitalism man exploits man. Under communism it's the other way around.
TiVo has always had the Showcases menu which was mostly supplied with paid-for content from broadcasters and sponsors, and could even contain video clips that were sent over a Discovery Channel late-night infomercial. The only thing here is that a search is being added, as if there's going to be more content than makes sense for a menu now.
Um, opt out.
I've had my TiVo for over 4 years now. I love it to death. I think that TiVo did a hell of a lot of things right. Some quick examples:
1. Unlike, say, Microsoft, they never discouraged their users from hacking their boxes. As a result, a huge community of TiVo hackers emerged (see http://www.tivocommunity.com/). I upgraded my TiVo's 30 gig hard drive to two 120's, and installed a cachecard/network card combo from 9th Tee, which means I can do fun tricks like scheduling shows and season passes from the road, or watching shows in my bedroom on my XBOX.
2. Really great support. I've only had to call TiVo a couple of times, both for channel lineup issues, but they were always extremely friendly and helpful over the phone. For example, after I moved into my new house, I realized that Adelphia had just upgraded the cable in my area, and TiVo didn't have the lineup yet. So I called support, and the next day, TiVo called me back to tell me that my lineup was added. Simply awesome.
3. Choosing Linux. When I telnet into my TiVo, I get a bash shell. I've installed an ftp server, web server (TiVoWeb), and even installed cron. How cool is that? Plus, this excellent decision has led to new software being developed exclusively for the TiVo (such as a caller id display that uses the TiVo's built-in modem, so you can see who's calling without getting up off the couch). Simply brilliant.
4. The interface. They obviously put a ton of work into it, and it really shows. It just kicks so much ass.
Now obviously, they dropped the ball in a couple of areas. The Comcast merger was just a more recent one. I think these are the two biggies:
1. I think that their biggest problem has always been slow adoption; as long as I've had the thing, I've been seeing ads pop up on TiVo Central giving me hot deals on new TiVo units, which I'm supposed to share with my friends and family. Great, I can save Dad $50 on his new unit. But if they really expect me to convince Dad that he can't live without a season pass on those Seinfeld reruns he loves so much, then they should be giving me the 50 smackers. I'd probably have 10 people signed up under me right now if I got some sort of compensation for it. (By the way, click here [freeminimacs.com] to get a free Mini Mac!):-)
2. Too expensive. The hardware and service together really do cost too much, unless you got in early like I did (back when lifetime service was $200). They should do what my damn cell phone company does: Knock the hardware down to like $99, and make me pay a very affordable $9.95 a month. If I try to cancel before 2 years are up, hit me with some obscene early termination fee. Yes, I hate it when cell phone companies do this, but that's how they stay in business. Besides, it's not like I'd be foolish enough to cancel my TiVo service anyway. TiVo is heroin. So far, I've paid $499 for TiVo and lifetime service, so TiVo won't make any more money off of me. If they were using my above plan, I would have paid in $589 so far, with more coming in every month.
I would really hate to see TiVo go. I hope they don't. But I suspect that even if the service dies, thanks to the openness of their hardware platform, someone (maybe me) will figure out how to write a script to pull show data off of Yahoo! TV or something. And with Microsoft and MythTV and several others entering the PVR market, there's no question that TiVo's invention is here to stay.
It is really great that TiVo is going to offer ads our way, thats the way it should work, and ultimately, lead to better advertising.
Check out my website: Playfully Clever
The video broadcast companies are probably going to need to do a more interactive form of advertising, and I believe that Tivo/Viiv/MCE and other PVR companies will be the ones to promote it. I think I have a decent solution to the conundrum of advertising.
First, advertisers will need to pick a more specific market ("target").
Second, shows will have to become more a la carte. This probably means significant DRM, but there is no "right" to television, so I don't see a way around this. If you want to watch the show "real time" you can pay for it now, or you can wait for it to be released on DVD (or public domain download).
How can you pay for the show? One of three ways:
A. You can use advertising points to watch it. Advertising points are "earned" by watching targeted ads that are pre-downloaded to your Tivo/MCE. These are communicated back to the producer. Maybe a small questionnaire at the end will earn you more points.
B. You can pay for the show up front -- a la carte.
C. You can pay for a subscription to the show for the season.
I don't see any other way for advertising to work, other than product placement. If advertisers and content producers think Tivo is bad now, just wait another year when vidcasts replace the news, and amateur shows pick up another level of refinement. I've already heard from local actor's studios regarding making "free" TV shows to release to the web to advertise their abilities. All we need is one or two huge popular shows online for every city and town to have a free actor's studio making interesting television.
Advertising will be more direct -- and bidirectional.
DISCLAIMER: I own a Tivo .. ok I own a few Tivos.
Here come the Tivo flames.
Try to keep in mind that Tivo is in a very tough spot. They are trying to balance the wishes of their customers while keeping the greedy-money-grabbing content owners happy.
Bash them all you want but it can't be easy. Sadly I think Tivo is going to lose out to the cable and sattelite providers building their own DVRs into their set-top boxes. They will probably be inferior products but you won't have a choice.
For all you Myth fans I paraphrase and old Debian t-shirt.
"MythTV. What your mother would use if it were 20 times easier."
Myth is getting better but it is no Tivo or Replay.
Keep the Classic Slashdot.
I've been a loyal TiVo fan for years. I've got a Series 1 Phillips TiVo unit which I modded with ethernet, a bigger hard drive, TiVoWeb, etc. At first I was willing to pay for the box AND pay the $12.99/month to get updated listings, but recently I've felt like my TiVo is being taken away from me. The showcases and ads in the unit have long anoyed me, I wished I could tell my own TiVo to stop recording ads, but I let it be since it wasnt causing me any harm. Now they add the ability for broadcasters to tell me what I can and can't record and are greatly expanding their advertising, I'm going to cancel my subscription!
The problem is the business model is all wrong. I expect that when I purchase a device AND a subscription to a service that I'm compensating the company for the service which I receive. $12.99/month for TV listings is already a bit steep and I could subscribe to TV Guide cheeper than that, why should I have to pay to be advertised to as well? If they gave away the units and charged a bit for an ad supported service or if they charged for the units but supported the free TV listings with ads I could accept that but I'm feeling more and more like I bought a device that requires me to pay $12.99/month to watch 'custom tailored' ads, but I think I'll be sticking with the ads I get for free.
I'll direct you to this helpful timeline for capitalism:
Step 1 - Free, no ads
Step 2 - Free, with ads
Step 3 - Pay, no ads
Step 4 - Pay, with ads
Tivo is between steps 3 and 4 right now. As with every other service, it will soon be at step 4.
Now, if I could push thumbs up (or thumbs down!) on an ad, this could be used to notify the advertiser of my thumbs up/down.
Even better, if I press thumbs up/down on an ad, TiVo should display a menu of options, such as...
(For thumbs up)...
- I would like my TiVo to download more information about your product and send me a message when the info is available
- I liked your ad
- I like your product
- I would like TiVo to send you all of my personal information and give you unlimited permission to charge my account and send me your products
(For thumbs down)...In the end, this is good for me. Advertisers may be encouraged to run good ads, or at least entertaining ones. Advertisers get feedback about their ads, product, and/or company -- or at least my perception of these.
TiVo and advertisers have an opportunity here. It is easy for me the viewer, I can just Thumbs Up/Down on a commercial. Select from a menu.
It is the ultimate opt-in. If I choose not to participate, I do nothing, and nothing changes about how I benefit from using my TiVo.
I'll see your senator, and I'll raise you two judges.