To: dwight martin who wrote (5798 ) 8/3/1999 5:32:00 AM From: wlcnyc Read Replies (1) | Respond to of 13157
From yesterday's New York Daily News....no mention of ACTV, but of interactive TV in general... "From: News and Views | BizNews | Monday, August 02, 1999 New TV Ads Will Listen to You Order, get info by using remote From: News and Views | BizNews | Monday, August 02, 1999 New TV Ads Will Listen to You Order, get info by using remote By KATHERINE YUNG KNIGHT-RIDDER NEWSPAPERS dvertisers' use of interactive TV commercials is going prime time. The new ads — which could debut on some Big Apple TV sets later this year — represent a revolutionary change for commercials by adding value to the messages many ignore. But success will hinge on whether viewers embrace this form of marketing or regard it as a nuisance. "Just because I can do it doesn't mean I want to do it," said Bruce Leichtman, director of media and entertainment strategies at the Yankee Group. "It goes against the real way that advertising is consumed and viewed today." Unlike ordinary TV ads, interactive ones let consumers communicate directly with advertisers using their remote control. Consumers would be able to use commercials to buy products or services, request more information or order coupons. Interested in trying a free sample of that new Cover Girl mascara? Press a button. Eager to order that new Backstreet Boys CD? Ditto. In its crudest form, an interactive commercial simply connects consumers to a company's Web site. But the ads are likely to get more sophisticated with time. The early pioneer of interactive commercials, WebTV, is working with 100 advertisers — including Ford, IBM and Maytag, said James Aguilar, director of network media at WebTV, a division of Microsoft. "Folks are conditioned to buy products through their television sets," said Aguilar, referring to the success of home-shopping channels such as QVC. Last year, QVC alone garnered $2.4 billion in sales. "People are clicking — and not only requesting brochures, but also booking trips online," said Bob Binder, senior director of Renaissance Cruises, which recently signed a one-year deal to run interactive commercials on WebTV after testing the ads for three months. Interactive commercials are moving beyond WebTV's audience of 800,000 households and into mainstream cable TV systems, such as Time Warner Cable. A big part of the push for interactive commercials comes from advertisers eager to build one-to-one relationships with viewers and gather information about potential customers' likes and dislikes. Despite advertisers' eagerness to test the technology, skepticism remains, even from the cable companies. "It would be naive for us to assume consumers are going to jump to the front of their easy chairs and surf the Internet," said Jerry Machovina, executive vice president of AT&T Media Services. "I don't think that is going to happen. We want something that is really going to be appealing to consumers," he said. "Ultimately, they are going to be the judge." " mostnewyork.com