Dish Network’s Auto Hop Erases Commercials and Ad Revenue

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Just when you think you’ve modified your advertising and marketing strategy to adjust for all of the changes in technology and consumer behavior, something else comes along that could change everything, again.  Well, Dish Network is dishing out a major disrupter to television advertising, it’s called Auto Hop.

According to this article on NewYorkTimes.com Auto Hop will record TV programs and allow you to skip the commercials when you play them back.  The benefit to the consumer is obvious and the disadvantage to advertisers is devastating.

From the article,

James L. McQuivey, a vice president and analyst for Forrester Research, said that “with Dish’s aggressive move to please the end customer rather than advertisers, it’s clear that in the fight for TV revenue the gloves have finally come off.” He continued: “The fact that Dish would be willing to anger some of its most important content partners just goes to show how desperate these times we live in really are.”

The desperation stems from the persistent fear that subscribers will forgo paying for television service and turn to Internet alternatives instead. A feature like Auto Hop is a drastic step “to keep consumers interested,” Mr. McQuivey asserted.

Not surprisingly broadcasters and advertisers are going to fight this in court, so don’t change your strategy just yet.

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