DVRs Encroach Further On Linear Viewing

(From Cynopsis -- By Daisy Whitney)

Digital video recorders are the great equalizer, zapping out real-time viewing more each year.

That's because consumers with digital video recorders now watch about the same amount of television on their DVRs as they do in real time, according to a recent MARQUEST MEDIA AND ENTERTAINMENT RESEARCH STUDY of homes with advanced services.

Consumers in home with either broadband, digital cable or DVRs are transitioning rapidly to time-shifted and on-demand viewing, said PAUL RULE, President of MARQUEST.

In fact, in just one year DVRs have taken a big bite out of real-time viewing.

Consumers in homes with advanced services are watching only 55 percent of their television on linear networks in real-time now, down from 63 percent in 2006.

In homes with DVRs, the shift is more pronounced.

Linear viewing in those homes dropped to 36 percent this year, down from 45 percent of TV watching in 2006. This was matched by a gain in time spent watching recorded TV.

Homes with DVRs are watching 32 percent of their television on DVRs now, up from 28 percent a year ago.

"If you're a network scheduler and think you can knock off an opponent by scheduling opposite him, forget it. If I want to see both shows I'll DVR yours and watch it next weekend. I don't care how much it screws up your advertisers' media plans," Rule said.

But who cares if consumers skip ads on their DVR, asked MITCH OSCAR, Executive Vice President/Digital at ad agency CARAT.

Half of consumers weren't watching the ads on linear TV anyway, he said.

Plus when consumers fast forward the ads, they'll often stop and play the ad if the frame interests them. Frankly, that's about all an advertiser can ask for because the consumer who stops to watch an ad is more engaged, he said.

"I think more commercials are being watched more than ever because consumers are engaged in getting the programming," Oscar said.

Even so, time-sensitive marketers such as retail outlets and movies, need to be aware of these changes, said BRAD ADGATE, Senior Vice President/Research at HORIZON MEDIA.

"As consumers time-shift television, the medium will lose some of its immediacy."