New Time Warner product seeks to help advertisers stand out

DeWITT — Time Warner Cable (NYSE: TWC) has launched a new advertising product in Central New York that seeks to help the company meet some of the media landscape’s major challenges.

Interactive TV (iTV) uses new technology to allow advertisers to interact with viewers through their televisions. During an iTV commercial, an overlay pops up on a viewer’s screen that could allow the viewer to receive an offer, answer poll questions, or get more detailed information about an advertiser’s product or service by pressing buttons on their remotes.

It’s an attempt in part to help the company compete in a changing media landscape, according to Time Warner. Time-shifting that results from digital video recorders and the increasing amount of content consumers are faced with present new challenges for media outlets.

In 75 percent of homes in the U.S., a consumer is on multiple devices at any given time, the company says.

Creating an interactive-ad experience allows for a deeper level of connection and engagement with consumers, says Warren Lapa, vice president for digital and business development at Time Warner Cable.

“These capabilities are unique to cable-television advertising,” he contends. “It gives us a distinct competitive advantage.”

Advertisers, like consumers, are bombarded with media choices, Lapa notes. ITV can help Time Warner Cable and its advertisers stand out, he believes.

Businesses can use the service in a number of ways. Polling questions could help companies research their customers, for example, Lapa says. The polling feature typically generates a response rate of 0.5 percent, he adds.

A car company could ask consumers whether they’re more interested in fuel economy or interior features, Lapa says. A political candidate could ask viewers what issues matter most to them.

The service could also redirect consumers to longer-form advertising with more detailed information about a product, Lapa says. The service could even allow an advertiser to send a consumer a catalog or other follow-up brochure through the mail if a viewer is interested.

That helps television advertising move beyond creating brand awareness, Lapa notes. At that point, the medium is helping advertisers connect with a consumer who’s indicated an active interest in a product.

The service is available in 30 markets across Time Warner Cable’s footprint and reaches about 7.5 million homes. It launched in Central New York at the beginning of 2012. 

It’s available in Utica and Binghamton, but the main focus is the Syracuse area at the moment, says Jim Tollar, general manager for Time Warner Cable Media in Central New York. The company has two advertisers using the service now.

Time Warner Cable will probably take on no more than five iTV clients total, Tollar says. Part of its effectiveness stems from the fact that it’s something different, he says.

If every ad has an interactive overlay, Tollar notes, it loses some of its appeal.

In addition to helping advertisers stand out from the pack, iTV gives them insight into their ad campaigns. By measuring levels of engagement with the overlays, Time Warner can give advertisers an idea of what the most effective channels are for their ads, what times of day work best for them, what types of programs generate the best response, and more, Tollar says.

“It’s using the entire market, essentially, as a research group,” he says. “We’re doing some real-time monitoring of how effective the campaign is.”

Lapa notes that ad campaigns can even be adjusted midstream based on some of those observations.

Time Warner Cable generated revenue of $19.7 billion in 2011. Net income attributable to common shareholders totaled 

$1.7 billion.

DeWITT — Time Warner Cable (NYSE: TWC) has launched a new advertising product in Central New York that seeks to help the company meet some of the media landscape’s major challenges.

Interactive TV (iTV) uses new technology to allow advertisers to interact with viewers through their televisions. During an iTV commercial, an overlay pops up on a viewer’s screen that could allow the viewer to receive an offer, answer poll questions, or get more detailed information about an advertiser’s product or service by pressing buttons on their remotes.

It’s an attempt in part to help the company compete in a changing media landscape, according to Time Warner. Time-shifting that results from digital video recorders and the increasing amount of content consumers are faced with present new challenges for media outlets.

In 75 percent of homes in the U.S., a consumer is on multiple devices at any given time, the company says.

Creating an interactive-ad experience allows for a deeper level of connection and engagement with consumers, says Warren Lapa, vice president for digital and business development at Time Warner Cable.

“These capabilities are unique to cable-television advertising,” he contends. “It gives us a distinct competitive advantage.”

Advertisers, like consumers, are bombarded with media choices, Lapa notes. ITV can help Time Warner Cable and its advertisers stand out, he believes.

Businesses can use the service in a number of ways. Polling questions could help companies research their customers, for example, Lapa says. The polling feature typically generates a response rate of 0.5 percent, he adds.

A car company could ask consumers whether they’re more interested in fuel economy or interior features, Lapa says. A political candidate could ask viewers what issues matter most to them.

The service could also redirect consumers to longer-form advertising with more detailed information about a product, Lapa says. The service could even allow an advertiser to send a consumer a catalog or other follow-up brochure through the mail if a viewer is interested.

That helps television advertising move beyond creating brand awareness, Lapa notes. At that point, the medium is helping advertisers connect with a consumer who’s indicated an active interest in a product.

The service is available in 30 markets across Time Warner Cable’s footprint and reaches about 7.5 million homes. It launched in Central New York at the beginning of 2012. 

It’s available in Utica and Binghamton, but the main focus is the Syracuse area at the moment, says Jim Tollar, general manager for Time Warner Cable Media in Central New York. The company has two advertisers using the service now.

Time Warner Cable will probably take on no more than five iTV clients total, Tollar says. Part of its effectiveness stems from the fact that it’s something different, he says.

If every ad has an interactive overlay, Tollar notes, it loses some of its appeal.

In addition to helping advertisers stand out from the pack, iTV gives them insight into their ad campaigns. By measuring levels of engagement with the overlays, Time Warner can give advertisers an idea of what the most effective channels are for their ads, what times of day work best for them, what types of programs generate the best response, and more, Tollar says.

“It’s using the entire market, essentially, as a research group,” he says. “We’re doing some real-time monitoring of how effective the campaign is.”

Lapa notes that ad campaigns can even be adjusted midstream based on some of those observations.

Time Warner Cable generated revenue of $19.7 billion in 2011. Net income attributable to common shareholders totaled 

$1.7 billion.