Tivo Case Study

Analysis of the TiVo digital recorder is complete. Upon review, it is my belief that the TiVo's entire marketing mix needs to be reviewed and revamped. While TiVo's product is indeed revolutionary, like most industry leaders it is almost too new and novel to the average consumer. The overall positioning and marketing communications plan needs to be revised to better fit the TiVo's strengths. The TiVo also needs to form a symbiotic relationship with networks and advertisers, showing how the product can benefit them as well. Finally, TiVo's placement, and pricing strategy need to be revisited.

The TiVo's biggest "wow" factor has been stated as its ability to pause live during consumer testing. This leads to the idea that this is its primary benefit. However, this is more likely a false positive in the sense that pausing live TV is something that has not been seen before. TiVo's real benefit is the answer to all the things wrong with the VCR.. Complaints of the VCR for years have been poor recording quality, limited space on tapes, and an overall complicated user experience. TiVo's ability to record your favorite shows with a simple click, and watch them at your leisure is the core strength of the product. The TiVo's recording power, combined with the ability to pause live TV, and fast forward through commercials makes it a product that should be desire by almost any TV watcher in the country. The ad campaigns should be reworked simply demonstrate this. For networks and advertisers, the TiVo offers the ability to give unrivaled data on the viewing habits of its users. The TiVo should be a viewed as a friend to them, giving vital information on what shows and commercials are being watched and how long. For networks, this will give them the ability to create shows that have better chances of being hits, and not waste money on flops. Advertisers no doubt will see the TiVo as a potential threat to commercial viewing, and in a way this is true. However, if TiVo and other digital recorders are the wave of the future, advertisers can use TiVo information to learn how to better engage viewers, and figure out new ways to convey their