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 not that much of an issue as they are on the couch all day long watching TV. The time continuum means nothing to them, while the experience is very important. The marketing in its present form however is very utilitarian-based and does not appeal to this group fo customers whatsoever. For the NBC executive the ability to monitor logs to see which commercials are seen or not, and to see which programs are most and least watched are a goldmine of data that can be used to better plan schedules in addition to defining advertising rates. The founder of TiVo would love to hear that the real problem is that no one really understands just how amazing this system is. Unfortunately the marketing is so utilitarian based and yet there is so much potential to align it with the emotions of being connected with family and time savings, compressing time in effect, that the overall sales of the product never reach their optimal levels. it's because the marketing has not touched on the most relevant emotions to communicate clearly and passionately what the real value of TiVo is. For TiVo to turn this situation around they will need to find the dominant emotion that resonate with each customer base and redefine their marketing accordingly.
2. Based on what you know now (ten years after the case), how has TiVo...
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
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
Due to limited company market capitalization it must strive even harder than those with big market cap to outsource production and face the optimal level of quality to cost ratio. The company must diversify the distribution and supplying sources and sing long-term contracts in order to achieve stability. The distribution channels must be expanded and the products must be found in many more places than presently in only several chains
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