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March 23, 2006
ANA Marketers: Our TV Spots Are Tanking
An interesting poll of advertisers conducted by Forrester Research and reported by Zachary Rodgers.
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Television is an increasingly wobbly target for ad spending and will likely soon begin hemorrhaging dollars to interactive and other channels. That's according to a Forrester poll of 133 advertisers who control more than $20 billion in advertising. Among those surveyed were Charles Schwab, Colgate, Dunkin' Donuts, Johnson & Johnson, Mattel, Pfizer, and Verizon.
The study, undertaken in conjunction with the Association of National Advertisers (ANA) and presented at the TV Ad Forum in New York, found 78% of these marketers feel the potency of their television advertising has declined in the last two years.
Seventy percent believe digital video recorders (DVR) and video-on-demand (VOD) will "reduce or destroy" the effectiveness of :30 spots. And once DVR penetration grows to above 30 million households, 24 percent intend to cut their TV ad budgets by at least a quarter and reallocate that money to online advertising, product placement and other channels. Smaller percentages said they'd pursue program sponsorships, product placement and online video ads (45%).
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