TV Can Battle Back Against the Internet

July 29, 2010

How captivated will American consumers be by conventional media vs. digital entertainment in the coming years?

How captivated will American consumers be by conventional media vs. digital entertainment in the coming years? How will this affect food messaging into the home? Where will CPG manufacturers place their advertising bets to stimulate new product trials and build overall brand demand? How can they present food products in more compelling ways?

The answers to these questions will be key in shaping plans for store visits and in turn product purchases - as more people make store trips more deliberate with the recession wearing on.

New research from PriceWaterhouseCoopers shows consumers embracing new media at faster than expected rates, and calls upon the media industry to embrace digital as a complement to traditional services. Digital will account for 26% of spend in 2014, up from a 19% share in 2009, predicts PWC. U.S. advertising overall will rise at a 2.6% compound annual rate to $180 billion in 2014, up from $159 billion in 2009, yet still 9% below its 2007 level, the Center for Media Research reported the consultancy said.

There is much evidence of consumers’ connected feeling to the Internet: people read media content online, create personalized music stations, and are enthralled by powerful mobile devices. There is also significant growth in coupon events online, reported MediaPost News Marketing Daily, citing Kantar Media and Marx, a website tracking service. More manufacturers staged promotion events with digital coupons (268) than used traditional print freestanding inserts (213), and there is more incidence of manufacturer coupons appearing on retailer websites to drive traffic and purchase intent, they noted.

By contrast, conventional television gives a passive viewing experience that takes repeated exposures before the full messages seep in. It doesn’t have to stay that way, however. TV viewing can become a more involved experience that triggers immediate reaction, believes The Lempert Report.

How? Cable boxes are wired for two-way communication. What if CPG commercials aired icons on the screen?  Interested viewers could press a button on their remote to deliver wireless money-saving coupons to their cell phones. Just as brands and their agencies developed creative that clicks for social media and websites, the more-established media could dig in and reinvent TV commercials and their offers to be relevant and compelling for today’s consumers.