RADIO, AGENCIES RESPOND TO PPM DELAY Mike Boyle – Radio and Records Arbitron’s decision on Monday (Nov. 26) to delay the commercialization of its Portable People Meter (PPM) radio ratings service in nine markets -- by nine months in New York, Nassau-Suffolk and Middlesex; by six months in Los Angeles, Riverside and Chicago; and by three months in San Francisco, San Jose and Dallas -- has received an immediate response from the ratings company’s most vocal critics of PPM. Others, however, are still privately digesting the news and wondering about a backlash against radio in the year ahead that would give planners and advertisers another reason to spend dollars in media that they deem more "accountable."
First, Arbitron Radio Advisory Council chairman and Cox Radio/Greenville, S.C., VP/GM Steve Sinicropi, one of the vocal critics who lashed out at Arbitron with a pre-Thanksgiving letter pointing out several of the primary concerns voiced by broadcasters and advertisers regarding the general PPM rollout -- early PPM results in "live" and "pre-currency" markets and sampling issues -- told R&R:
“Arbitron's decision to delay the commercialization of PPM in New York is the right response to customer concerns about sample size, performance and compliance. Electronic measurement will be good for radio, but getting it right is more important than getting it now. Getting it right will provide confidence in the currency. The Advisory Council is looking forward to our meetings next week to learn more about Arbitron's performance initiatives and what quality benchmarks will be needed prior to commercializing a PPM market.”
A Clear Channel spokesperson told R&R Monday evening that the company would not be commenting on the news of Arbitron’s PPM delay, and Emmis Radio president Rick Cummings said he was still processing the news and wasn’t ready to comment.
However, the most outspoken of all PPM critics to date, Cox Radio president and CEO Bob Neil told R&R, “Like most things involving Arbitron, the devil is in the details. There are a lot of questions raised by their announcement. Personally, I don't think it makes sense to announce any timetable. What should drive this is getting the data right, and getting MRC accreditation. While some people were willing to let them launch Philly with the promise that accreditation would be done quickly, I'm not ready to see them resume the rollout anywhere else until they have an accredited service. We trusted them once, so shame on them. But, if we trust them twice ... shame on us."
Not all the comments about Arbitron’s PPM delay were skeptical. Horizon Media senior VP and director of research Brad Adgate said, “It's unfortunate, but not surprising. Everyone agrees diaries are outmoded. Arbitron is trying to make this as bulletproof as they can. They're being cautious. There are billions of dollars riding on this. I think it's a smart move."
Arbitron will be holding a press conference on Tuesday morning to further go over issues related to the PPM delay, as there are sure to be many more questions about how the company will now be extending the use of the paper-and-pencil diary system in the nine delayed markets, and how, as the company claims, it will "continue to work with customers, the Media Rating Council other industry organizations and community groups on the research and business issues related to the PPM radio ratings service in local markets." |