Will increased DVR use cut into TV advertising revenue?

Panic in the Advertising Revenue

 

The suspense is building as we are glued to our favorite TV show, only for the action to be cut off in order for advertising to take place. My generation does not pay attention to many of the catchy jingles or persuasive attempts, however, because of our access to DVRs. A DVR (Digital Video Recorder) records desired shows while you are absent or busy, and makes them accessible at a later time. The popularity of a DVR is brought about as individuals could then skip commercials that they otherwise would have to sit and watch. I believe that increased DVR use certainly cuts into the revenue that television advertisements would bring in prior to the DVR’s popularity. The appeal advertisements use to reach a vast consumer population via television is important to their sales, and the convenience of skipping them could be very harmful! This digital recording device has numerous impacts on advertising via television that could be a crucial part of the company’s success, and the views (or the lack thereof) ads receive are in danger of lessoning which would cause negative changes to the revenue.

As TVads.com mentions, TV ads and ad slogans have become part of our culture as jokes, memories, and reference points for the products we buy. This tool is now being threatened with access to skip such a large part of our television viewing process, and in such a fast-forward world, that is exactly what we were searching for. Advertising companies have a right to panic, as the consumers may need to be reached in forms other than television in the near future.

Many that use a DVR on a regular basis may not be swayed by the ethos, pathos, and logos an advertisement attempts to portray, so the revenue of the ads on television would not be cut. I believe, however, that with the DVR’s growing popularity, the revenue once brought in with a TV ad will decrease, only to be made up in other areas, such as social networks online or on popular cell phone applications. Even if the commercial break causes us misery, advertising on televisions across the world brings about revenue that is very important to the company. Digital Video Recorders are useful tools, and the main con is their threat to a company's revenue.

Works Cited

Television Advertising. TVads.com. May 31, 2013.