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2009

TiVo, Best Buy Embark On Broad DVR Partnership

July 14, 2009 0

San FranciscoTiVo, the Silicon Valley innovator that popularized the Digital Video Recorder, and Best Buy, the consumer electronics chain, are embarking on a broad partnership to promote TiVo products in its stores, and looking at ways to integrate TiVo tech into Best Buy products.

On Thursday, the two companies plan to announce that Best Buy will heavily promote TiVo products in its 1,100 stores in the United States. The two companies are partnering to develop a unique TiVo user interface for customers that are sold at Best Buy that will integrate the retailer’s digital content services.

“Best Buy and TiVo will study development of a series of consumer tips and insights that can be easily accessed for all kinds of digital home experiences, and Best Buy anticipates to look into opportunities with TiVo to provide unique Best Buy solutions that enable viewers to take greater advantage of transactional opportunities through the television set,” the two companies said in a statement.

TiVo is preparing to roll out a special version of the TiVo platform just for Best Buy, along with working with Best Buy brands (like Insignia and Dynex) to integrate TiVo technology. The alliance will also see Best Buy using TiVo technology to market Best Buy services and product offerings directly to customers, along with consumer education tips and insights.

The device would allow Best Buy to market digital content services, offer guidance and advice to consumers, and engage in interactive dialogue with consumers about its products and services.

As part of the partnership, Best Buy and TiVo will also cooperate in areas such as integrating TiVo functionality with Best Buy private label consumer electronic goods and developing unique Best Buy solutions for delivery via TiVo.

In May 2009, Best Buy introduced a digital media fund centering on strategic digital media promotions as a complement to its current digital media and emerging technology investment activity.

However, the two companies did not disclose financial terms of the partnership, nor did the companies outline any specific product plans or timetables for new tandem offerings other than stating that Best Buy was making a multi-year commitment to advertise TiVo devices. Tom Rogers, TiVo’s chief executive, said it was “a huge step above any kind of marketing that has ever been done for TiVo before.”

“We also could not be more gratified by Best Buy’s recognition that TiVo is not simply another consumer electronics offering, but an ongoing service experience that can ultimately deliver on the goal of giving viewers anything they want, whenever they want it, through their television sets,” said Rogers. “Best Buy will have the opportunity to both greatly expand the digital options and features available to its TV customers while also simplifying them at the same time,” he added.

Both companies are trying to significantly change how the world sees them.

The companies are also focusing on Best Buy’s TiVo device that will probably include some Best Buy marketing line of gab; the retailer said it will use TiVo platform “to deliver educational and marketing messages directly to consumers.”

“Customers continue to find new ways to access information and interact, on their terms, with brands they trust” said Barry Judge, Best Buy’s chief marketing officer. “The TiVo alliance will open a new channel of customer interaction — we look forward to pioneering new media together.”

Thursday’s announcement is the latest in a string of partnerships for TiVo.