In what is sure to be the first of the many set-top box manufacturers to do so, Businessweek is reporting that TiVo is partnering with PayPal to enable the purchase of a product directly from a commercial using the TiVo remote control. In addition to buying goods, the service will offer the ability to make donations or request more information from companies with the press of a button on the remote.
Comcast, America’s favorite cable provider to hate, is also working on its own service that would link up with a user’s PayPal account. The idea here is that PayPal will make money off transaction fees, these direct-sale commercials will be sold at a higher rate, and the merchant will see more sales by offering an easier method of commerce for the consumer.
The only hitch in that plan is that people use their DVRs to skip ads. And when it comes to watching live TV, most people’s goal is to get through the ads by busying themselves with channel-surfing, snack-retrieving, or tablet-browsing until the program returns. I suppose I am calling out the effectiveness of the entirety of the multi-billion dollar advertising industry. And really, if someone sits through an ad, the chances he or she will give in to impulse and buy the product on the spot if the option is available are much greater than if the consumer is expected to recall the advertisement at a later time. Touché, Tivo, PayPal, and Comcast. Touché.
[Image source: Cepro.com]