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Waarom hearings?• IDTV staat er bijna: binnen 12 maanden in Vlaanderen• Set top box wordt nu ontwikkeld en getest • Niet alleen programma’s kunnen ‘interactief” worden. Ook

reclameboodschappen van adverteerders.– Eindelijk interactiviteit voor de 60% NYHC-families!

• Zoals de software-ontwikkelaars nu luisteren naar de programmamakers en hun kijkers (wat willen ze kunnen), luisteren ze ook naar de adverteerders en hun consumenten (wat willen ze kunnen met die nieuwe vorm van interactiviteit).

• Ook de overheid wordt een aanbieder van diensten! Wat verwacht de burger?• Resultaat zal over 12 maanden te zien zijn.• 4 hearing - sessies zoals deze tussen nu en de zomer

– 12.02 (nog te bevestigen)– 01.04 (zéker)

• 1.5 demo - 1.5 uur faq.• Jevedebe@i-merge.net

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Pan-European research shows that Internet constitutes 10 percent of Europeans’ Media Consumption London, 2nd December 2003.  The latest research commissioned by the European Interactive Advertising Association (EIAA), the pan-European trade organisation for sellers of interactive media, shows that the Internet now represents 10 percent of Europeans’ media consumption.  This places the Internet ahead of magazines (8 percent) and just behind newspapers (13 percent) in media consumption terms. The study finds that while TV controls the largest share of people’s media time (41 percent), nearly 45 percent of consumers watch less television as a result of using the Internet.

  This definitive work, carried out by leading global research agency Millward Brown, was undertaken in order to quantify how people allocate their time across media in Europe and is the first study to cover five markets with one widely accepted methodology. 

  Nigel Morris, President of Carat Interactive Worldwide, comments, "This study from the EIAA further quantifies our knowledge that more people are using the Internet more often and spending more time there.  Despite this fact, online advertising still accounts for only 1.5% of total ad spending across Europe." He concludes, "Currently consumer usage of the internet is ahead of the advertising market. Brands need to constantly evaluate the role of the internet and how best to integrate it in order to build the most effective and efficient marketing and communication programmes."

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The study also finds:

“Nearly 90 percent believe that there is too much advertising on TV but less than half this amount states that the same is true online”

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5Bob Garfield (eminent colmunist @ Advertising Age) interviewed by Jaffe (nov 2003)

• Jaffe: As media becomes more accountable, as ad servers infiltrate their way into television, as TiVo continues to proliferate, and media does become more accountable, what do you think that increased impact of ROI will mean to TV advertising?

• Garfield: Television advertising is not a growth industry. We’re probably at the zenith and it’s all downhill from here. But once again, I don’t think it’s people’s perception of ROI that’s going to kill it. I think it’s the structural problem of having insufficient viewership – losing the critical mass of a mass audience -- that will make the act of faith that television advertising is, cease to be…

• Jaffe: That’s a good point. Quick question following the religious undertones of this conversation: Is TiVo the anti-Christ? Because you would know.

• Garfield: It’s probably the anti-Christ if you’re NBC. It’s not the anti-Christ if you’re a marketer, because TiVo and all the PVRs are not only becoming micro-networks for the users, but they’re also sending information back.

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“As Technology Scatters Viewers,Networks Go Looking for Them.

With Its Ad Model at Risk,Industry Turns to DVDs,Video on Demand, Games”.

By EMILY NELSON and MARTIN PEERS

THE WALL STREET JOURNAL21.11.2003

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• “Many of the young-adult viewers most coveted by advertisers have been spurning live TV. Instead, they're watching recorded shows on their own time, often skipping over the commercials -- or not watching TV at all. The young prime-time TV audience has been declining for the past decade, typically by a percent or two a year. This fall, the erosion appears to be accelerating, with the number of male viewers age 18 to 34 falling 7% from a year ago, according to Nielsen Media Research. Though the networks dispute the extent of the fall-off and blame Nielsen's methodology, they admit that viewership is gradually shrinking”.

“... skipping over the commercials ...”“.... erosion appears to be accelarating ...”

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• Now the TV industry is finally confronting the fact that new technology is transforming its economic model. "It's pretty obvious that, in the long run, the network broadcast business cannot rely on the single stream of advertising revenue," says Sandy Grushow, chairman of News Corp.'s Fox Television Entertainment Group. "Networks have got to figure out a way to open up another revenue stream."

• The slide in viewership comes amid an explosion of gadgets that give viewers other ways to use their TV. The number of U.S. homes with DVD players has doubled in the past two years to 48 million, almost half of all homes with TV sets. Devices such as TiVo that easily record shows are now in a few million homes. Sales of videogames played on the TV screen doubled between 1997 and 2002 to 131 million.

“... network broadcast business cannot rely on the single stream of advertising revenue...”

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• All these moves represent a retreat from the broadcast networks' long-held stance: The best way to draw a big audience and sell advertising is to give viewers only one chance to see a show. They also rewrite the advertising-driven economic model of broadcast TV, which has been in place for half a century.

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• Viewers are growing increasingly accustomed to controlling what they watch. Thirty-somethings are the first generation of TV watchers raised on videos and computers. They're not used to adjusting their lives around a network's schedule. Prime time starts at 8 p.m. (7 p.m. in the Midwest), but NBC research found that its younger affluent viewers aren't settled down on the couch at home to watch TV that early.

"Consumers want more control over their viewing habits,”

• says Anthony Zuiker, the creator and executive producer of "CSI," currently television's most-watched show. "As I look at my own watching habits, personally, I find myself watching no more than four or five minutes at a time as I flip for hours. ... If I'm 34 and doing that, if you're 18, 22, you must be doing that. Our attention span is not there right now."

“Viewers are growing increasingly accustomed to controlling what they watch... “

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• Before video on demand becomes viable, the industry needs to resolve a major issue: finding a way to include commercials. Fox didn't include ads in its test because its audience was too small to make it worthwhile. Fox plans to include ads in its 2004 test. The networks don't know if people will use the service to skip ads, though they are experimenting with technology that would block ad-skipping, much as movie DVDs prevent viewers from fast-forwarding through the previews.

“...experimenting with technology that would block ad-skipping...”

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• Among big advertisers, "there is a pent-up demand for alternative approaches" to reach viewers, says Nick Brien, president of corporate business development at Starcom Mediavest Group, the Publicis Groupe unit which buys TV advertising time for such clients as Procter & Gamble Co., Coca-Cola Co., and Kellogg Co. "We either face the onslaught of TiVo and DVD ... paralyzed with an inability to evolve. Or we learn it, we test it, we apply it, and we evolve." He points out that the music industry ignored the threat of technological change, the new services that let people get music free, and now is reeling financially.

“... or we learn it, we test it, we apply it, and we evolve ...”

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“Pop-Up Ads Had Better Start Pleasing” (8.12.2003)

• With the means to block them on the rise, their last hope is to entice, rather than irritate

• They come in cascades. They drum, they hover, they annoy. And when you kill one, chances are another will appear. Skeeters? No, pop-up advertisements on the Internet. Advertisers love them, because they can command viewers' attention. But many Web surfers ache to swat them to kingdom come.

• Now the Internet industry is providing customers with the tech tools to do just that. AOL (TWX ), EarthLink, (ELNK ) and Microsoft's (MSFT ) MSN are promoting powerful pop-up blockers in their latest Net offerings. Search king Google offers a free one, too. Just like TV viewers who blitz past commercials with (TIVO ) personal digital recorders from TiVo Inc. (TIVO ), Web trawlers are gaining the power to banish intrusive ads -- and rattle a still-vulnerable online advertising industry. Further, Microsoft Corp. is mulling bundling a pop-up blocker in its next upgrade of Windows XP, which debuts in a year. That could decimate the medium.

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Yankee Group Reports New Technology Threatens to Undermine the Value of Television Advertising (22.09.2003)

• BOSTON - The personal video recorder (PVR) provides consumers with a simple, easy tool for fast-forwarding commercials. Penetration of PVRs remains low, with less than 2 percent of U.S. homes owning one, but the growth rate is rising according to the Yankee Group report, "The Death of the 30-Second Commercial."

+ 19.1 million homes will have PVRs by year-end 2006+ Thus, by 2007, nearly one-fifth of all U.S. homes will be able to fast-forward TV commercials.

This subversion of the ad-sponsored TV model eventually will disrupt the entire value chain for television."

– The advertising industry will feel the impact in mid-to-late 2005 when PVR penetration grows to 10 million subscribers.

– Programmers must drive this transition or risk losing out to other media channels.

– "Guerilla" branding initiatives will be necessary as different creative products are required for different television advertising formats.

– Changes in advertising paradigms will give rise to a new breed of cross-functional experts.

– Privacy will be a critical issue for PVR downloads and targeted advertising.

– Despite changes in the industry, the 30-second spot will remain the most widely used television-advertising format for the next five years.

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17Alcatel / InSites / i-Merge enquête (2002-2003)

Belgische internetgebruikers.Belangstelling voor zestien diensten en toepassingen via een vaste of een draadloze telefoonverbinding. Dit zijn de belangrijkste resultaten.

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TV Commercials and the Digital Revolution19 November 2003 - eMarketer

Numerous surveys have been conducted over the last three years which indicate that one of the features consumers most like about personal video recorders (PVRs) is the ability to skip ads in live TV as well as recording programs without the ads. This, unsurprisingly is why, advertisers and traditional media companies have regarded PVRs as a serious threat to their traditional revenue models. In 2000 the CEA conducted a survey which showed that 71% of respondents were interested in the ability to skip commercials.

• A Myers survey conducted in 2003 showed that 30.9% of PVR owners skipped or fast forwarded all commercials, and a further 21.7% indicated they did this to most commercials.

• This means that if 30% of homes have a PVR by the end of the decade and 50% of PVR users are skipping all or most commercials, TV advertising will become less effective for most advertisers. Saying that, the Myers Group survey did also indicate that PVR users skip commercials, but 15.3% will stop for selected ones. This gives a clear indication that if advertising is well targeted and appealing, TV viewers will watch.

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Interactive TV revenues to increase 18-fold by 2007

• LONDON - The UK leads the way in interactive television and advertising, but the industry is only likely to generate €18bn (£12.3bn) across Europe by 2007, representing an 18-fold increase on last year's spend of €1.1bn.

• Interactive digital television advertising spend is likely to grow to €2bn in 2007 and, according to a report compiled by Forrester Research, some 60% of this will come from the UK.

• Hellen Omwando, analyst at Forrester, said: "Only 200 interactive TV ads had run on BSkyB's platform by year-end 2002, but this was still the largest number of campaigns in Europe. So far, a complex set of variable costs and campaign process have foiled interactive ads -- low iDTV penetration, even in the UK, also leaves brand advertisers like Unilever reluctant to invest."

• Interactive operators offering or planning to offer communications services such as email could be disappointed, with Forrester only estimating a collective turnover of €890m by 2007.

• Omwando said that SMS would drive communications revenue, taking 92% of the market by 2007, followed by email and instant messaging. Forrester Research compiled the report after speaking with 32 iDTV operators, broadcasters and retailers, as well as 12 vendors selling iDTV technology.

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18%

11%

18%

40%

13%

The online advertising potential is still untappedQuestion: Approximately, what share of your total advertising budget this year goes to Internet advertising?

UnderUnder1 %1 %

NothingNothing

1 to 3 %1 to 3 %

3 to 5 %3 to 5 %

Over 5 %Over 5 %

Source: Jupiter MMXI European Traditional Advertiser Survey (7/01), n =113

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Majority of 2006 advertising revenues to come from the PC

59%

30%

11%

PC DTV Mobile

Breakdown per Platforms of interactive advertising revenuesBreakdown per Platforms of interactive advertising revenues

Source: Jupiter MMXI Online Advertising Model, 6/01 (Western Europe only)

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Sky boosts interactive TV by slashing ad rates (05.12.2003)

Sky has given a boost to the interactive TV advertising industry by slashing the price of campaigns by almost a third. The new pricing policy will come into effect from the start of the new year in a move which the satellite giant anticipates will further drive take up of the medium by big name advertisers.

Sky says the time is now right to encourage new advertisers to enter the market and for those that have already tried to experiment with larger, longer-running interactive campaigns.

This move coincides with the gathering momentum behind the launch of a new iTV advertising channel, which relies on its own bandwidth, being developed by Zip Television with the backing ofProcter & Gamble, Unilever, BT, Honda, Gillette, Orange and Reckitt Benckiser.

While most iTV ad campaigns on Sky average around two megabits in size, Virgin Mobile has recently topped this with a six megabit campaign (NMA 27 November).

Sky now hopes other advertisers will follow suit when it cuts the price for the first megabit of a 28-day campaign from £50,000 to £25,000 from 1 December and the second megabit from £25,000 to £20,000.

A Sky spokesman denied that the reduction had come as a response to the creation of the Zip TV consortium. Will Harding, commercial director of Sky Interactive, said "Anticipated increase in demand lets us manage bandwidth more efficiently and we hope that these price reductions will stimulate the iTV advertising market even further.” Andrew Howells, joint MD of Zip TV, said that he applauded the move from Sky but said the price cuts wouldn't deter the consortium from launching its iTV ad channel. "This is a vindication of our consortium," said Howells. "It shows there's a need for different models in the market."Shuvo Saha, Procter & Gamble UK head of interactive marketing, described the move as "great news".