Nielsen Should Appoint An Ombudsman To Monitor Measurement

By Author: Kathleen
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The Nielsen meters are push-button, handheld devices on which viewers' record viewing in the 4,000 homes that have agreed to participate in each two-year cycle. When Nielsen replaced other forms of monitoring with meters, reported network viewership dropped by 6 percent in the first year. By 1990, the falloff had reached 10 percent. Nielsen argued that the meters were more accurate than previous measures.

By summer 1997, the audience shares of the three major networks (NBC, ABC, CBS) had fallen to 47 percent. This meant that Fox, whose Vibram FiveFinger Discount rise we noted in Chapter 1, UPN and WB, independent stations, and cable commanded 53 percent of the viewers watching in early 1997.

Ad revenue, however, didn't follow the same pattern. In May 1995, the "up fronts"— the purchase of a season's worth of advertising in advance, to control prime periods— were going for record high rates.

Facing a decline in advertising revenues in early 1988, the networks commissioned a 22-month study through the Committee on Nationwide Television Audience ...
... Measurement, a group created by the networks in 1963. The study, completed by Statistical Research Inc., cost $1 million and was reported in seven volumes. Just before the winter holidays in 1989, the report was released. It contained several recommendations:
Nielsen should appoint an ombudsman to monitor measurement.
Small sets and sets in unusual places such as garages and hotel rooms should be monitored.
People away from home should be monitored as well. Households should be replaced more than once every two years (the report found that fatigue reduces the reliability of the reports after the first year). The meters should be simplified to encourage use by children. Techniques for encouraging participation should be found (only 55 percent of those asked agree). Multiple sets in the same home should be followed.

During the 1999 season, NBC led all networks with a prime-time share of 17. CBS followed with 15, and ABC achieved a share of 13. Fox's share was II.

ABC, NBC, and ESPN commissioned the Nielsen Company to study viewing out-side homes, and a survey was conducted from November 2 to November 29, 1989. More than 4,000 people aged 12 and older participated, filling out diaries that logged all their viewing over the period, inside and outside the home. The results indicated than an average of 0.5 to 1.3 million people were watching television somewhere other than in their homes during some part of the day. Thirty-five percent reported viewing at work. Twenty-one percent viewed television in college residence halls, 16 percent in hotel rooms, 9 percent in bars and restaurants, and 4 percent in second homes; 15 percent fell into other categories. The overall increase in viewing averaged 2 to Vibram Five Fingers On Sale 3 percent, equivalent to three-tenths to seven-tenths of a rating point, as much as the average rating for most cable channels. Such an increase in audience would be worth almost $225 million to network television.

In summer 1995, Nielsen reported, "More than 23 million adult viewers watch in excess of five hours of television in out-of-home locations each week. . . . Settings include offices, college buildings, hotels, restaurants/bars and second homes, all of which are not counted in Nielsens standard ratings."