Research predicts TV to take market share from online

Television is the most popular device in the home, and with the addition of interactivity, it's serving up the next wave of killer apps. New survey research conducted for FourthWall Media reveals that consumers are ready for their TV to do more, resulting in less reliance on their computers. TV viewers indicate resounding interest in using their standard cable remote to submit "American Idol" votes, check personalized financial, weather and fantasy sports information, and keep tabs on their eBay bids.

"This survey reveals that TV watchers -- men, women, young, old -- from all across the country are excited about interactive television," said Ellen Dudar, FourthWall Media chief product officer and co-founder. "Viewers spend vastly more leisure time in front of their televisions than their computer screens, and they want one-click engagement with their favorite programs, movies, and even commercials. Apps that deliver immersive experiences and increased convenience to satisfy this consumer appetite are the next killer apps."

Key highlights of the survey:

  --  Nearly 90% of TV watchers are interested in using interactive
      television applications.
  --  Three times as many respondents would prefer to use their remote over
      another device to cast a vote on reality shows like "American Idol."
  --  Over 70% of respondents indicated that they would be more interested
      in watching commercials if they were interactive.
  --  Nearly a third of respondents indicated they would spend less time on
      their computers if interactive television applications were available
      to them.

  Findings:
  --  9 in 10 (89%) TV watchers expressed interest in using interactive
      television applications on their home televisions after reading
      descriptions of these services, with half (48%) saying they are "very
      interested."  "It would give me control over the TV & when certain
      things came to mind that I needed to check on I could do it right from
      my TV". - Tina Aguilar, 30-44 Female

  --  Two-thirds (66%) of TV watchers, including 72% of females and
      74% of those 13 to 20 years old, agree they would change the
      way they watch TV programming if they had access to interactive
      television applications.  For example, 34% say they would watch
      more television than they currently do if they had access to
      interactive applications.  Teens and heavy TV viewers (those who watch
      7 or more hours a day) are especially likely to increase their TV
      viewing (42%). In all, 3 out of 4 (76%) say that they would use these
      applications at least a few times a week, with over 4 in 10 (44%)
      saying they would use interactive TV applications on a daily basis.

  --  61% of TV viewers would prefer to submit votes for reality
      shows such as "American Idol" by using their standard remote control.
      The next closest device came in at 21%.

  --  When given the option of looking up the phone number of a restaurant
      to make a dinner reservation, the Yellow Pages on TV app was selected
      by 37% of respondents, compared to 34% who preferred
      going online. Mobile search and the Yellow Pages book itself followed.
      Remarkably, using the Yellow Pages on TV application, to quickly find
      a merchant's phone number beat all the options

  --  Women, especially those over 30, are among those most interested in
      these types of interactive applications. Women are also more likely to
      "strongly agree" that these applications make television watching more
      convenient (57%) and personalized (59%).

  --  Not surprisingly, TV watchers responded most favorably to applications
      that provide a high level of convenience and personalized relevance.
      TV watchers were most interested in a weather application (52% very
      interested), followed by an application providing local news and
      information (47% very interested) and caller ID (44% very interested).
      Additionally, 8 in 10 TV watchers say they would be interested in
      personalized news, sports scores, and financial information.

  --  Another 3 in 4 (73%) say they would be interested in an application
      that allows them to request additional information about a company or
      product after watching a commercial.  In the era where using DVRs has
      made fast-forwarding through commercials commonplace, this is an
      important finding regarding the value of interactive ads.  Women, in
      particular, express strong desire in interacting more with the TV
      advertisements they see. As Pamela Booker from Oklahoma puts it,
      "Having more information about a program or commercial at my
      fingertips instantly would definitely make me more interested in
      watching television."  And Martin Niemczewski says, "With a press of a
      button being able to view information or order the product would be a
      great feature to have."

  --  In an effort to compensate for the lack of interaction and
      personalization provided by traditional TV, it is not surprising that
      8 in 10 (82%) TV watchers say that they watch television and surf the
      Internet at the same time.  While television remains the go-to device
      for video consumption, home computers are augmenting, and in the
      process challenging television.

  --  Of the 82% of TV viewers who say they surf the Internet on
      their computers while also watching TV, a third (31%) say they would
      spend less time multitasking with their computers if they had these
      applications on TV.  Respondents said they often go online to research
      things they see on TV. Mark Sapolis (45-65 Male) said: "A lot of the
      information I look up daily on the computer could now be looked up on
      the TV.  I also like the idea of having news I want to see at my
      fingertips. I would say it would change the way I watch TV."

  --  81% of respondents indicate they want their TVs to do more.
      Compared to home computers, the television has been slow to adapt to
      peoples' changing lives, with only 20% feeling their television
      is "personalized" to their own needs and tastes (vs. 81% for
      computers).  "Interactive television would allow me to get more out of
      my television and make me more interested in watching the programs
      that are on." - Timothy Motley, (21-29 Male)

"Television remains a powerful part of the fabric of American life. But it has been slow to incorporate interactivity at scale," said Ellen Dudar. "Until recently, there wasn't broad adoption of a common language and platform for cable systems to launch advanced services. Now, thanks to the work of the cable industry, Americans will begin harnessing the power of their TV like never before. It's the perfect storm of consumer behavior aligning with the launch of a ubiquitous platform."