Digital and the Renaissance of TV

As most of you are aware, with the increasing emergence of DVRs and internet competition, advertisers have feared that TV is going to become an obsolete venue.

But, new data from the UK may help to put advertisers at ease with the future of TV.

According to the Broadcasters' Audience Board, which measures in-home TV viewing in the UK, commercial viewing has reached an all- time- high of 2.25 billion a day in the UK. Average to upscale households and 16-24 year olds, which are two key audiences for advertisers, have increased their ad viewing by 3.6% and 1.5% respectively. 

There is no doubt that DVRs and internet competition are growing rapidly, so how exactly is that commercial viewing is still rising?

As far as the DVRs, industry observers think that people are forgetting that they are using them and forgetting to fast-forward through the channels. As for the internet, Tess Alps, chief executive for Thinkbox, says that people are using the internet to do things they used to do in the real world (like shopping, socializing, etc) and that internet has not diminished the demand for the relaxed entertainment that TV offers. 

The article notes that this increase in commercial viewing is partially due to further digital-TV penetration ( now in 85% of UK homes) and increased viewing of digital channels. 

Ms. Alps said, "This is historic news for advertisers. . . TV advertising had an impressive 2007: increased impacts, a creative renaissance and new commercial opportunities on the emerging platforms of TV. . . TV has new ways for brands to reach audiences, who can be as engaged with TV advertising as they are with the programs."

Les Bunet, European director of DDB Matrix, said, "Digital is making TV even stronger, and it is becoming more cost-effective for advertisers." 

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I think that this data shows great hope for a venue that people thought was going to become obsolete. In fact, after reviewing the facts, I tend to agree with Mr. Bunet and Ms. Alps. I think that with digital we could see the rebirth of TV. It think it is very probable that TV will become stronger and more cost effective. 

What do you think?