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November 6, 2012

Interactive TV is creating new opportunities to connect

By Tom Scherer, Co-Founder

Recently I attended a North American conference of Worldwide Partners agencies in Atlanta where a hot topic was the rise of iTV (interactive TV) and on-screen e-commerce.

For years we’ve been warned about the pending demise of TV, our “first screen.” Experts predicted TV would fade into oblivion thanks to the rapid growth of newer second-screen devises—computers, tablets, gaming consoles and smart phones. Apparently the opposite is true.

The average household watched TV 3.5 hours/day in 1997. Today
the average watches 5.2 hours/day—more than ever. TV continues to have the biggest and most concentrated audience of all devices. All second-screen devices in aggregate have 33% less viewership than TV.

Television is no longer a one-way experience. Today’s TV is an interactive ecosystem with Intel chips, connections to other TVs in the house, DVR boxes, Blu-ray players, over-the-top devices and gaming consoles: It’s a big pipe.

The same capabilities that make TV such a powerful branding channel now make it an amazingly powerful engagement channel, too. Today 85 million American households can engage and interact at some level with their TVs.

Case in point: Imagine a TV commercial for a casino, with a call-to-action button that invites viewers to hit “enter” on their remote control. They’re taken to a landing screen with multiple videos and content showcasing everything from dining options, to special amenities such as a water park, to accommodations and an “enter to win” contest. The viewer is able to make reservations right on the TV. All from their couch.

What does it mean? TV is still alive and dynamic. Advertisers now have the opportunity to deliver strong, engaging brand messaging with a direct connection to more parts of the selling story—including opportunities to respond or buy.

What’s changed is how we watch TV, not whether. It’s also changing how we think about new interactive TV capabilities, enabling customers and advertisers to more effectively connect.