New York—A new survey by the Association of National Advertisers and Forrester Research found that 78% of advertisers feel that traditional TV advertising has become less effective over the past two years.
The survey also found that nearly 70% of advertisers believe DVRs and video-on-demand will reduce or destroy the effectiveness of traditional 30-second commercials.
The survey was conduced among 133 national advertisers.
In other findings:
—When DVR penetration reaches 30 million homes, nearly 60% of advertisers say they will spend less on conventional TV advertising; of those, 24% will cut their TV budgets by at least 25%.
—While 55% of advertisers said their top executives are closely watching changes in TV advertising, many advertisers have not experimented with advertising on DVRs (49%) or video-on-demand (44%).
—Eighty percent of advertisers will spend more of their advertising budget on Web advertising, and 68% will look at search engine marketing.