August 26, 2007

Ofcom: 80% of DVR Users Skip UK TVCs

Close to 78% of people in the U.K. who own digital video recording devices, or DVRs, claim to fast forward advertisements, according to new research last week from U.K. communications regulator Ofcom.

The findings suggest widespread fears that the growing use of the devices could hit advertising revenues are well-founded. Ofcom said 15% of U.K. television households now have such devices, which include Sky + and other similar products.

Big numbers, which might come as warning shock for marketers and networks locally, with Foxtel IQ, IceTV and now TiVo destined for our shores in the new year. Though, word has it Seven is already finalising million-dollar TiVo advertising deals with at least 20 big brands (yeah right), and you can bet a key concern for each of those is that ads won't be effective if TiVo users can skip through them at the press of a button. At present, DVRs are found in about 320,000 of Australia's 7.8 million homes. That number includes the 200,000+ subscribers to pay TV operator Foxtel and its IQ service.

After IceTV's triumphant Federal Court victory against Nine earlier this month, InShot plans to move ahead with Ice to explore future telescopic ad models in both its device and web-based services.

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