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The Local Ratings Landscape

The Local Ratings Landscape. George Ivie CEO, Executive Director Media Rating Council, Inc. Agenda. Introductions Review of Emerging Local Measurement Alternatives Arbitron PPM Nielsen LPM Viewer Modeling Questions/Answers. Our Panel:.

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The Local Ratings Landscape

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  1. The Local Ratings Landscape George Ivie CEO, Executive Director Media Rating Council, Inc.

  2. Agenda • Introductions • Review of Emerging Local Measurement Alternatives • Arbitron PPM • Nielsen LPM • Viewer Modeling • Questions/Answers

  3. Our Panel: • Erwin Ephron, Consultant, Ephron, Papazian & Ephron, Inc. • Jay S. Guyther, SVP International Marketing, Arbitron, Inc. • Ken Wollenberg, SVP NSI, Nielsen Media Research

  4. Summary Format • The “Basics” • Conceptual Advantages • Conceptual Questions …for each alternative None are currently Accredited by the MRC

  5. Arbitron PPM • The Basics: • The PPM: • Personal measurement • Pager size device -- worn or carried • Recognizes inaudible codes in media source that consumer is “exposed” to • Self-Installed by telephone-recruited panelists • Tested in UK, now being tested in the US • Encoding-based measurement • Measurement is possible for Radio, Television (broadcast, wired cable, satellite, digital, etc.), and Streaming per Arbitron

  6. Arbitron PPM • Conceptual Advantages: • Multi-media data from single sample • “Partially” passive • Measures out-of-home? • Large sample sizes planned • Measures digital sources • Measurement is dependent on encoding…not calibration of tuner

  7. Arbitron PPM • Conceptual Questions: • Does it work? • Will panelists carry the device? • Arbitron indicates its tests prove “yes” for both items above • “Exposure” to audio…is a changed basis for crediting audience • Everyone must encode…no encoding, no measurement, e.g., local cable • For television, muting equals non-measurement • Uncertainty of joint venture arrangement • Response Rates

  8. Nielsen LPM • The Basics: • Movement of People Meter technology into the local measurement arena • Set meters with added people button device • Calibration of tuners • Software solutions for some digital cable/satellite • Boston roll-out, scheduled to become official in May 2002 • 600 Households • Demonstration period since April 2001 • Further markets planned after Boston

  9. Nielsen LPM • Conceptual Advantages: • Known performance • Continuous electronic measurement of both households and people • Eliminates the diary and the integration process • Larger effective sample sizes

  10. Nielsen LPM • Conceptual Questions: • Viewing levels and shares change • Two issues being studied in Boston • Tuning without viewing • Distribution of NILF Females • Intrusive metering is still the rule • Button pushing requires coaching / Nielsen field staff diligence • New viewing technologies require different metering approaches…and marketplace cooperation • Will the stations support the Service?

  11. Viewer Modeling • The Basics: • A model used to predict viewers directly from the composition of the set meter panel itself, without the use of the diary • Multiple regression technique • Initial project is to model eight key persons demos and then apply to other demos as well • Validation tests planned using Boston LPM data

  12. Viewer Modeling • Conceptual Advantages: • Principally cost (and per Erwin – better data)…increased set meter sample sizes could be gained through elimination of diaries, with modeling handling the demography • Expansion of number of meter markets • Consistent methodology across all NSI markets

  13. Viewer Modeling • Conceptual Questions: • Will the marketplace accept a modeled technique? • Can an accurate enough model be constructed? • How to decide when separate models are necessary? Smaller breaks…presence of children…race…etc. • Model updating? New programming? Sports? Specials? • Ongoing evaluation of accuracy?

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