DVR: Friend or Foe?
Few devices elicit more fear and loathing than the DVR. But Todd Juenger, TiVo’s vp/gm of audience research and measurement, tells Cathy Applefeld Olson about why he thinks the DVR is actually a friend to cable.
Let’s get right down to it. Name three reasons we should not fear the DVR?
TJ: Both the distribution and consumption of video are becoming more fragmented, and much viewing does not take place on the television any more. One great thing for the cable operators is the DVR keeps the most persuasive form of advertising—ads being delivered on the big screen, with Surround Sound and all the impact the TV brings—on the television. People with DVRs are consuming more television than before they had DVRs. Also, when you think about the movement toward interactive and measurable advertising, one thing that’s terrific about a DVR is consumers can interact with those forms of advertising but not miss any of the program they’re watching. When you go into a telescoping ad without a DVR you may miss five minutes of the show, but with a DVR you can automatically pause. And one more reason… Our research shows people with TiVos are much stickier subs. So DVRs are a great churn reducer.