Connected TV: Will consumers switch?

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DeloitteAccording to Andrew Haughton, senior manager at Deloitte Consulting, who says "The convergence of the internet and television looks set to gather pace this year, but households are likely to look to existing hardware rather than investing in new technology"

A couple of interesting remarks are being made by Andrew in the article published by C21Media amongst others.

Attempts to move web-based content on to TVs have been underway for many years, but made little progress.
Content optimised for PCs generally does not display well on TV. Plus, content created on the assumption that the user will be equipped with a keyboard and mouse has proved challenging to interact with via standard remote controls.

2010 is likely to see progress on several fronts. Websites are being built specifically for access and control via TVs. Web-based applications being adapted for access through a TV set are being marketed as 'TV widgets.'

Content that isn't optimised for TV consumption, impedes users to have a quality experience of their content through TV.

The last paragraph is encouraging, as we reported that TV Applications and Widgets Market Worth over €1 Billion Euro by 2013 as forecasted by InStat.

Despite this progress, the mismatch between the standard 10-year renewal cycle for TV and strong existing consumer desire for concurrent consumption of internet- and TV-based content has contributed to the triumph of the pragmatic approach to date. Most consumers are unlikely to justify a brand new TV just to have additional access to the web, but they want to combine the web and TV today.

There's a continuous interdependency between technology, business models and target audience developments that can be clearly seen within the converging media.

Advertising as a revenue stream, indicate that:

These figures emphasise the challenge for advertisers in achieving cut-through in such a cluttered media environment, and that will inevitably make it more difficult for those in commercial TV to continue to sell their wares at a good price.

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