Defeating DVRs

It’s a story that’s been replayed over and over again in the news. The proliferation of Digital Video Recorder’s, like TiVo®, has advertisers worried because viewers can record their favorite shows and fast-forward through commercials at the touch of a button. As with any problem, this calls for creative solutions and promises a decent amount of money to anyone who comes up with them. Enter Digital Brand Integration, or DBI. DBI is a form of electronic product placement and has been part of U.S. network sports broadcasts for nearly a decade. Now networks such as CBS® and Fox® are giving advertisers the opportunity to electronically plug brand names and products into television shows. Brands such as Kellogg’s® Club Crackers®, Chevrolet® and StarKist Tuna® have already taken advantage of DBI. The technology attempts to put computer-generated brand integration on the same footing as traditional ads by giving networks control over an “inventory” of placement opportunities they can sell on a routine basis. It also makes it easy to insert brand and product images in post-production. Brand images can be altered or replaced when the show goes into reruns and off-network syndication.

WonderGroup’s Perspective

DBI definitely beats the DVR issue, but it’s doubtful that seeing a box of something in the background is even going to be noticed by consumers, much less cause them to build brand preference or loyalty. On the other hand, as soon as something looks like overt product placement, consumers get turned off. The one place where product placement (although, here it’s not digital) seems to work is on reality TV shows like The Apprentice®, Survivor® and Big Brother®. On these shows, little to no effort is made to cover up the fact that product placement is going on and there is greater effectiveness because the shows’ main characters usually interact in depth with the product. In the near future, look for product placement to continue, but we also believe there is the need for new solutions that get consumers to stop skipping commercials and instead want to watch them and even talk about them. Remember the old Taster’s Choice&153; mini-series that had you waiting and wanting to see the next one? And more recently, KFC® released a new ad that allows viewers to crack a hidden message on how to redeem a free sandwich offer if they play the spot back slowly on a DVR or VCR. Creative solutions like this work because they turn consumers from passive to active media consumers and make them want to engage with the media instead of skip it.