Ratings-12 - RTV 3007 RTV 3007 Ratings Quick Facts Quick...

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Unformatted text preview: RTV 3007 RTV 3007 Ratings Quick Facts Quick Facts Year of first national radio audience survey: 1927 Number of U.S. households with TV: about 110 million Number of households in A.C. Nielsen’s People Meter sample: 5,100 Number of persons in Media Metrix’s Internet ratings sample: 120,000 Ratings Ratings The Electronic Media’s Dilemma: Listening? Who’s Watching/ Ratings Ratings Ratings are an estimate of audience size Ratings tell about the size and demographics of the audience Ratings Ratings Ratings estimate of audience size: • TV’s based on Households • Radio reports “persons” Who Uses Ratings and Why Who Uses Programmers Schedule decisions Syndicated program decisions Advertisers Determine best times for ads Negotiate ad costs History of Audience Measurement History of Audience Measurement Audience research: first appeared in 1920s when station owners became curious about the size of the audience Listeners directed to drop a post card reporting if they heard a particular program or if a signal was clear History of Audience Measurement History of Audience Measurement Time­buying advertisers demand accurate estimates of audience size Cooperative Analysis of Broadcasting (CAB) founded, 1930, by advertisers History of Audience Measurement History of Audience Measurement Telephone Recall Method: Placing calls at different times during the day to homes selected at random from phone directories (used by C.A.B. until 1946) History of Audience Measurement History of Audience Measurement Telephone Coincidental Method: Respondents asked if they were listening to radio at the time of the call; if answer was yes, asked to name the program/station. (better method introduced by C.E. Hooper Co.) History of Audience Measurement History of Audience Measurement Audimeter: A mechanical device which collected data from a random sampling of radios; consisted of a stylus that made a scratch on a roll of paper tape synchronized with the radio’s tuning dial History of Audience Measurement History of Audience Measurement Audimeter: Moves to TV in 1950s Nielsen data formed basis for: Nielsen Television Index (NTI): reported on network programs Nielsen Station Index (NSI): reported on local TV markets History of Audience Measurement History of Audience Measurement American Research Bureau (later called Arbitron): Uses a “diary” to record data from a sampling of viewers (1949) Diary provides demographic information History of Audience Measurement History of Audience Measurement Nielsen abandons radio ratings in 1963 Arbitron uses diary method to measure local market radio (mid 1960s – 1980s: Nielsen alone provided TV ratings) History of Audience Measurement History of Audience Measurement Storage Instantaneous Audimeter (SIA): Sends info directly from the audimeter through phone lines to Nielsen’s computers Possible to publish next day ratings (1960s) History of Audience Measurement History of Audience Measurement Peoplemeter (AGB Television Research): Developed to compete with Nielsen; Advantages Unaffected by poor memories of people Data is sent electronically, not via mail Records data about exactly who is watching what History of Audience Measurement History of Audience Measurement Peoplemeter hand­held keypad allowed different viewers to record the shows watched Disadvantages Expensive to install and maintain Hard to measure children’s viewing Only measures at­home viewing History of Audience Measurement History of Audience Measurement Nielsen ­ Dominant in television ratings Arbitron ­ Dominant in local market radio ratings In 2001 acquired RADAR (radio’s all­dimension audience research). Rates network radio listening Media Matrix and Nielsen both collect Internet data Top Ten Rated Programs of All Time 1. 2. 3. 4. 5. 6. 7. 8. 9. M*A*S*H Dallas Roots Part VIII Super Bowl XVI Super Bowl XVII Winter Olympics Super Bowl XX Gone with the Wind Pt.1 Gone with the Wind Pt.2 2/28/83 11/21/80 01/30/77 01/24/82 01/30/83 02/23/94 01/26/86 11/07/76 11/08/76 01/15/78 60.2 53.3 51.1 49.1 48.6 48.5 48.3 47.7 47.4 47.2 10. Super Bowl XII The Ratings Process The Ratings Process Measuring TV Viewing Nielsen Media Research draws two types of samples Local market NSI samples NTI sample representative of U.S. population The Ratings Process The Ratings Process Measuring TV Viewing Nielsen measures local TV viewing via two techniques SIAs attached to TV sets in households where data is gathered Each household member records viewing in diary, sends it in at the close of each week; info from diaries used in four times a year during sweeps Diary Diary Diary Diary Diary Diary Diary The Ratings Process The Ratings Process Processing the Data Nielsen’s computers retrieve data from People Meter & SIA samples stored in home; info is processed overnight, made available next day The Ratings Process The Ratings Process Processing the Data Data from diary takes longer to process: checked for legibility & consistency; entered and tabulated; several weeks before information is available The Ratings Process The Ratings Process The Ratings Books NTI sample contains data estimated audience for each network program broadcast during the measurement period (uses demographic categories) The Ratings Process The Ratings Process The Ratings Books NSI local sample map divides market into 3 sub­areas: metro designated market area (DMA) the National Station Index (NSI) area Other info: # of homes in sample & demographics The Ratings Process The Ratings Process The Ratings Books NTI sample contains data estimated audience for each network program broadcast during the measurement period (uses demographic categories) The Ratings Process The Ratings Process Terms and Concepts in TV Ratings Households using television (HUT): % of households having a TV set on during a specific time period The Ratings Process The Ratings Process Terms and Concepts in TV Ratings Rating: the % or proportion of all households with a TV set watching a particular program at a particular time The Ratings Process The Ratings Process Terms and Concepts in TV Ratings Share: total number of households watching a particular program at a specific time divided by the total number of households using TV Calculating TV Rating Calculating TV Rating Rating = Viewing households TV households Drop the % sign­­­a 15 rating means 15% of TV hh in market are watching Rating point equals 1 % of the TV hh Market Size Market Size National: there are about 110 million TV hh in U.S. As a result, a national broadcast network’s rating is based on the percentage of those 110 million households that were watching a particular channel Calculating TV Ratings Calculating TV Ratings Assume the following: 100,000 TV HH in market 10,000 homes watching Channel 2 8,000 homes watching Channel 5 Calculating TV Ratings Calculating TV Ratings 10,000 homes watching Channel 2 = 10 rating (10,000/100,000) 8,000 homes watching Channel 5 = 8 rating Calculating TV Share Calculating TV Share Not all HH are tuned in Share allows comparisons across time periods Share = Viewing Households Homes Using TV (HUT) Calculating TV Share Calculating TV Share Channel 2 viewing Channel 5 viewing 10,000 homes 8,000 homes HUT = 25,000 Calculating TV Share Calculating TV Share Channel 2 = 40 share 10,000 homes/25,000 HUT Channel 5 = 32 Share 8,000 homes/25,000 HUT The Ratings Process The Ratings Process Processing the Data Unusable diaries removed; search for inconsistent information; info entered into computer for analysis The Ratings Process The Ratings Process The Radio Ratings Books 280 local markets covered Market map divided into metro area, DMA and total service area Ratings book presents Demographic info by dayparts Total time spent listening Accuracy of the Ratings Accuracy of the Ratings More than 110 million TV households in U.S. Nielsen People Meter sample is 0.00005% of total (5,100) Sample is representative of whole population Accuracy of the Ratings Accuracy of the Ratings Nielsen uses confidence interval: Not an exact estimate, and subject to error, but when margin of error is taken into account the Nielsen rating provides an accurate estimation of audience viewing behavior Media Ratings Council (MRC) periodically audits Nielsen’s system to inspect their methods and reports Who Uses Ratings and Why Who Uses Ratings and Why Sales Departments Set ad rates Promotion Departments Develop promotion strategies Who are Nielsen’s clients? Who are Nielsen’s clients? Advertiser Ad Agency Creative Plan/Buy Broadcaster Program Provider Syndicator, etc. Uses For Ratings Uses For Ratings The bigger the audience, the more money stations & networks can charge advertisers: source of revenue American Idol: 19 million households; charges $500,000 for 30­sec commercial Uses For Ratings Uses For Ratings Can be used to determine what types of people watch (e.g. 18­19 year­olds) Can be used to determine how much viewing occurs in neighboring communities Criticisms & Problems with Criticisms & Problems with Ratings Systems Under­representing demographic groups Poor response rate ­­­ are those who respond really representative? Hyping the ratings Influence of the market system national audience Top 10 Markets make­up 30% of the TV Criticisms & Problems with Criticisms & Problems with Ratings Systems Quality Over Ratings Diversity Campaigns Public Broadcasting – creeping commercialization Drifting Attention New Developments in Ratings New Developments in Ratings Technology Portable People Meter (PPM): size of a pager but still unclear whether it will replace current technology New Developments in Ratings New Developments in Ratings Technology Ratings in a digital environment? New technologies pose problems for ratings companies Measuring the Internet Audience Measuring the Internet Audience Advertisers want reliable data on the Internet audience Technology still evolving Early attempts to count Net traffic unreliable Measuring the Internet Audience Measuring the Internet Audience Media Metrix & Nielsen NetRatings dominant players Daytime tracking of Internet use still underestimated Beyond Ratings: Other Audience Beyond Ratings: Other Audience Research Music Research Call­outs: listeners surveyed by telephone Auditorium Testing: uses sample of 75­100 people in one gathering for 60­90 minutes Beyond Ratings: Other Audience Beyond Ratings: Other Audience Research Market Research Production Research: concept testing Electronic Response Indicators (ERI) Beyond Ratings: Other Audience Beyond Ratings: Other Audience Research Market Research Cable testing ­ program testing Focus group ­ small group research (6 to 12 people) Beyond Ratings: Other Audience Beyond Ratings: Other Audience Research Audience Segmentation Research Psychographic research: divides audience by personality traits Beyond Ratings: Other Audience Beyond Ratings: Other Audience Research Audience Segmentation Research Lifestyle surveys: similar to psychographic research but put more importance on values that may influence consumer behavior Uses Stanford Research Institute values and lifestyle segmentation ...
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This note was uploaded on 02/15/2011 for the course RTV 3007 taught by Professor Staff during the Fall '08 term at University of Florida.

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