Enhanced television likely to attract older demographic: CHUM executive

CHUM Television expects to tap an older audience with its new enhanced television (ETV) service than it currently targets with its web offering. While the youth demographic is likely demanding more interactivity than current TV technology can provide, a slightly older audience that constitutes the bulk of TV viewers will welcome enhanced content that will let them view additional news and even shop from the comfort of their couches, says Maria Hale, managing director of the broadcaster's interactive division.On February 6, CHUM announced that it would enable four of its channels with technology from Wink Communications Inc.: MuchMusic, MuchMoreMusic, CityTV and Star!. Each of the channels will let users surf supplemental information related to that station's genre. In the first phase, the idea is to familiarize audiences with basic Wink applications, Hale says."We want to give people something that's easy to use, that's not too complicated, that doesn't have a tremendous amount of depth, but something that gets them interacting with their remote so that they can get supplemental news headlines," she tells Canadian NEW MEDIA. Current set-top box and ETV technologies, however, are limited in the degree of interactivity that can be offered, something Hale says CHUM has taken into account. For that reason, she says much of the initial take-up is expected to be by the CityTV audience."In our experience here, even online, we've found that there is an appetite by the adults in the crowd for things of this nature," she says. "I think the kids are maybe a bit ahead of the curve as far as what they want and getting what they want when they need it. They're very web-savvy, so they can pretty much go online and get what they want instantaneously, whereas there are limitations to the amount of content and how often we're going to be offering enhanced content on our channel so as not to be intrusive."There's limitations that won't allow to do as much as, probably, they will want to do. I don't know if they're necessarily going to be the ones turned on by it. I do see as being something more for the big, mass audience."As "turned on" as Hale expects the audience to be with ETV services, she is also predicting enthusiastic adoption by the advertising community. While common wisdom dictates that the advertising market is currently in a slump and unused inventory is rising, Hale says the ETV service has already elicited strong interest by large companies such as L'Oréal, which have already demonstrated a solid understanding of the potential of ETV."Where you're talking about enhanced TV, it's a medium they get. This is not a new thing. They are already doing TV commercials and, on the flip side, when you look at the enhancement, they are already doing direct mail. They understand both of those concepts and what we're saying here is that this is a new way to acquire those customers. If you've got a direct mail component to your business, here's another way to market to those people directly. It's not a new thing; it's not a new science."She cites L'Oréal's interest in providing product samples through ETV advertising as an example of the potential. But, she says, it will also be important to avoid undue pressure on consumers to interact with their TVs. She stresses the opt-in nature of ETV advertising. "It's not intrusive, it's not forcing people to interact if they don't want to interact. It's definitely an option for the segment of the population that wants to interact. We're providing a vehicle for them."As CHUM launches its ETV services, it joins other channels in Canada using interactivity, including CNN, CNBC, TBS, and others, which were first introduced on Rogers Cable Inc.'s digital cable service last fall (CNM, Oct.3/01). Rogers is also planning to introduce interactivity on Sportsnet and CFMT Television. Thus far, Wink seems to be the clear winner in the technology war and is rapidly taking its place as the de facto standard for interactivity in this country.Despite a relatively smooth rollout for ETV, however, the issue is not without controversy. Last July, Pelmorex Communications Inc. asked the CRTC to make interactivity a condition of licence (CNM, July 12/01). The commission rejected its request but is currently studying the issue and others as part of a fact-finding proceeding. Hale doesn't agree, though, that ETV should be a matter of regulation."It's all done through collaboration," she says. "I don't think you need to mandate communication. I think if business people get together around a table and there's an opportunity that works…and people are interested in doing it for whatever their own motivations are, then let's do it. It's really been a cooperative and collaborative effort and it's gone really, really smoothly for us, so far - knock on wood."Calling the Wink system a "significant investment", Hale says the lessons of the next year (t-commerce will be introduced this spring) will be invaluable. Though it's a gamble, CHUM expects to be rewarded for its decision to be the first Canadian broadcaster out of the gate on ETV.Commenting on being first to market, she says, "the double-edged sword applies. You're out here, but you're also dealing with a lot of the issues that the other broadcasters won't have to deal with, because it will be sort of forged out by the time they come on board: pricing and how does it work and how does it integrate with our existing business and how do we do all this ourselves? But I don't think it's rocket science. It's TV at the end of the day. It's got this new component, so from an advertiser's perspective there's a direct mail piece. So we're talking to a different person with the ad agency. That's about as complicated as it gets."

Enhanced television likely to attract older demographic: CHUM executive

News | 02/22/2002 5:00 am EST

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