¶ … technology are often widespread and have the possibility to change the way humankind operates within itself. Technology paves the way for new technology creating a system of seemingly eternal growth and unlimited potential. It is therefore important and worthwhile to investigate and highlight certain aspects of the ways technology impacts different environments. Customers of technological products, at the end of the supply chain, are the ultimate decision-makers and cast the most powerful vote if whether or not a technology will survive in market conditions. The new relationships and logistical requirements when a company introduces a new piece of technology often complicates and distorts its original essence. The purpose of this essay is to investigate technology to analyze and compare and contrast the different aspects that technology impacts upon different segments of a society and in market situations.
The digital video recorder, a relatively recent piece of technology, is the focus of this investigation. This technology released with the advent of digital media, within the last decade has soared within the last two years in terms of popularity and its applications. I will investigate how the digital video recorder technology has changed the marketplace and how customers react with this piece of new gear. I will first investigate how the parent company of this technology introduced new product to its customer base and the learning point associated with these actions. I will also investigate how new value has been proven with this technology to its desired marketing targets. Thirdly, I will show how the support plans for customers and other interested parties that apply this technology are affected and impacted. Finally, I will highlight and examine how new partnerships and new enhanced experiences, as a result of this technology are finding their way into everyday life and making solid use of human potential and its valuable resources.
Background Information
The digital video recorder (DVR) was introduced to the world by a company called TiVo in 1999. The technology records video in a digital format, making it extremely portable and applicable in many different formats. The technology is usually available in two different ways. TiVo sells the hardware box which actually does all the recording and allows the consumer to have total control of its recordings. Cable companies have adopted this technology as well, but store all recorded information in centralized locations owned by the corporation. In this case the consumers need the cable company to utilize the technology.
The ability to record digital television recordings allows for time shifting features and pausing live TV and creating own instant replay and playback scenarios. This technology has spurred on dual digital recorders. This technology allows television viewers to record a television show and watch one at the same time. Televisions and other hardware such as desktop computers and even laptop computers are soon adopting this technology to enhance their products.
INTRODUCING DVR TECHNOLOGY
TiVo was the first major company who marketed and developed a digital video recorder. This launch occurred in 1999 in the United States and throughout other parts of Europe and North America. This company was started after an introduction of this equipment at the Las Vegas consumer electronics show. It was first launched in America after a development deal was made between a hardware manufacturer and the ownership of TiVo. Since, TiVo was expanding into the UK and Australia into different television services. TiVo is ultimately a service and a subscription is necessary for its use.
This product was marketed to allow the television consumers to skip commercials and avoid unnecessary parts of programming and may wish to instantly avoid. Allowing individual freedom and selection caught on to the consumer markets and as a result this industry has taken off. Wells (2010) clearly explained how DVR adaption has accelerated and appears to continue to excel array in the near future. She claimed that "in Europe, the percentage of all TV viewing that was time shifted to recording device was more than tripled between...
TIVO PR Why is it hard for TiVo to do PR? Doing PR for TiVo is extremely difficult as the case illustrates. At the most fundamental level the benefits of the system are not easily defined through common allegories, as there are no comparable products or services available (during the period of the TiVo launch and case study timeframes). Compounding these challenges is the lack of feature richness and lack of user
As DirectTV appears to be the majority of DVR distribution today and a viable future competitor, look to balance out the risk of being too reliant on them with retailing relationships driven by bundling of lifestyle and line-of-interest channel content. For example there could be the sports bundle that includes ESPN HD for free for a year. This would serve to lock out competitors and also grow the advertising
In Media Economics: Theory and Practice, Alexander, a., Owers, J., Carveth, R., Hollifield, C.A., & Greco, a.N. (Eds.) (pp. 149-170). Mahwah, NJ: Lawrence Erlbaum Associates. http://www.questia.com/PM.qst?a=o&d=104347833 Alexander, a., Owers, J., Carveth, R., Hollifield, C.A., & Greco, a.N. (Eds.). (2004). Media Economics: Theory and Practice. Mahwah, NJ: Lawrence Erlbaum Associates. http://www.questia.com/PM.qst?a=o&d=5017691928 Digital Freedom Campaign Begins; Claims a Right to Download. (2006, October 26). The Washington Times, p. C09. http://www.questia.com/PM.qst?a=o&d=5002563949 Fischer, R.L. (2003, November).
Marketing TiVo Case Analysis Who should TiVo's target market(s) be? TiVo's target market should be the mass consumer market. The article notes that TiVo is faced with a choice between speeding consumer adoption or striving for increased levels of innovation to differentiate themselves from competitors. The best option for TiVo is to aim for the mass consumer market to speed consumer adoption. There are several reasons for this decision. The first reason is that
The evangelists will be more than willing to put up with any kind of marginal performance form its navigation, with the early adopters often finding the navigation of initial screens like a game to be solved and won. For the mainstream user however, these screens can be exceptionally challenging and difficult to overcome. And the mainstream customer is where TiVo could have taken off. For the couch potato, time is
Many financial analysts including Oppenheimer (2006) expect to see acceleration in subscriber growth. The consensus of industry analysts including IDC and Forrester Research is that DVR subscriber growth will hit a 60% CAGR over the next three years. We expect it to slow to 45% and 16% annual growth in 2007 and 2010, respectively. By the end of 2010 IDC estimates there will be roughly 52 million DVRs in
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