Re: Ah the Media Research Council
Ratings are done for only one purpose, and that is to create a metric for the evaluation of advertising buys. It is not intended to "advance the art" as that is the job of research companies. The MRC only approves methodology and execution.
The MRC is made up of people who have one thing in common: doctorates or advanced degrees in sampling, statistics and polling. Many of them, like George Ivie, are also professors or lecturers at the college level in the subject.
The annual audits of electronic media are done by "auditors" with a thorough grouding in the disciplies involved. Listeners would have no clue about this.
So what is surprising about this? Advertisers want to make sure that thier ad buys can be quantified correctly. Whether it is the ABC for circulation or Nielsen or Arbitron, they want a guarantee that the survey is done with approved methodology and that the day to day work is consistent with the approved methodolgy. That is all they want or need.
Huh? Arbitron is not owned by the radio industry, and the MRC, as far as I know from the last list of the board, has nobody from radio on its board. Almost all the folks who approve methodology come from the marketing or academic side, and the audits are done purely by people who have no media affiliations. The reason for the MRC is to protect advertisers.
That figure has been scaled down considerably, and the Q2 earnings call for XM where it was discussed is available online. As one analyst said, satellite has milked the early adopters and trendsetters, and has hit a brick wall with value seekers, who should be the next group to adopt any new technology. The first two will pay for novelty and newness, despite less than perfect utility. The value seekers (all these are standard marketing terms) will not accpept a premise that fails on the utility vs. $ equation.
So far, personal music collection devices, starting with the 45 rpm player and including cassettes, 8-tracks, CDs and iPods have not impacted radio listening. This has been seen in the Arbitron numbers.
11 to 12 million satellite receivers, 90% of which are in cars, only creates the functional equivalent of 3.5 million radio listeners... about 0.6% of shares. And the Arbitron tabs show that satellite is getting somewhat below a 0.5 share, so the data matches. As we know, satellite listeners do not listen exclusively to satelle in the bulk of cases. Just look at the diaries, and you see that XM or Sirius listeners also listen to terrestrial radio.
The biggest two cometitors right now for free radio are longer work hours (more than half of all Americans can not listen while working) and video games... over 100 million installs, more than satellite by a factor of over 10, more than satellite TV, etc.
By the way, TV viewing is not up that significantly... it is just fragmented due to having more channels. Your car does not use more gas if there are 4 gas stations at an intersection, right?
You have an uncanny ability to disbelieve things that have considerable empirical evidence to support them. Did you have problems as a child obeying instructions?
zumahans said:----> Well having the media companies AND the advertisers involved is a system of checks and balances. Why would the advertisers agree to something that is self-serving to the media companies, and vise versa?
Good point. But look who is missing from the triangle: listeners, new technology (except our friends at Microsoft), etc.
Ratings are done for only one purpose, and that is to create a metric for the evaluation of advertising buys. It is not intended to "advance the art" as that is the job of research companies. The MRC only approves methodology and execution.
The MRC is made up of people who have one thing in common: doctorates or advanced degrees in sampling, statistics and polling. Many of them, like George Ivie, are also professors or lecturers at the college level in the subject.
The annual audits of electronic media are done by "auditors" with a thorough grouding in the disciplies involved. Listeners would have no clue about this.
Advertisers like Anheuser Busch have huge vested interests in preserving the status quo of big business media. Without a robust commercial delivery system, how can they sell trainloads of beer?
So what is surprising about this? Advertisers want to make sure that thier ad buys can be quantified correctly. Whether it is the ABC for circulation or Nielsen or Arbitron, they want a guarantee that the survey is done with approved methodology and that the day to day work is consistent with the approved methodolgy. That is all they want or need.
>I mean, if we can't trust America's largest broadcasting companies to be honest about how good they are at delivering audience, who can we trust?
----->I'm sorry, I'm not sure what you're referring to here.
We have here an industry that measures itself, and comes up with the brilliant, shining conclusion that Americans love their radio and consume just as much of it as they did in 1955.
Huh? Arbitron is not owned by the radio industry, and the MRC, as far as I know from the last list of the board, has nobody from radio on its board. Almost all the folks who approve methodology come from the marketing or academic side, and the audits are done purely by people who have no media affiliations. The reason for the MRC is to protect advertisers.
The radio industry - as represented by El Pluperfecto's posts, in this little corner of the world - proudly boasts that the sale of 14 million satellite radios by Christmas,
That figure has been scaled down considerably, and the Q2 earnings call for XM where it was discussed is available online. As one analyst said, satellite has milked the early adopters and trendsetters, and has hit a brick wall with value seekers, who should be the next group to adopt any new technology. The first two will pay for novelty and newness, despite less than perfect utility. The value seekers (all these are standard marketing terms) will not accpept a premise that fails on the utility vs. $ equation.
streaming internet audio, Cable TV audio, Sirius on DISH, XM on DirectTV, Music Choice on digital cable, 40 million IPods, MP3 ripping on computers, and a total abandonement of radio by college students and below ....
.... all of this has absolutely no impact on radio listening.
So far, personal music collection devices, starting with the 45 rpm player and including cassettes, 8-tracks, CDs and iPods have not impacted radio listening. This has been seen in the Arbitron numbers.
11 to 12 million satellite receivers, 90% of which are in cars, only creates the functional equivalent of 3.5 million radio listeners... about 0.6% of shares. And the Arbitron tabs show that satellite is getting somewhat below a 0.5 share, so the data matches. As we know, satellite listeners do not listen exclusively to satelle in the bulk of cases. Just look at the diaries, and you see that XM or Sirius listeners also listen to terrestrial radio.
The biggest two cometitors right now for free radio are longer work hours (more than half of all Americans can not listen while working) and video games... over 100 million installs, more than satellite by a factor of over 10, more than satellite TV, etc.
By the way, TV viewing is not up that significantly... it is just fragmented due to having more channels. Your car does not use more gas if there are 4 gas stations at an intersection, right?
I don't buy it. Anyhone with a brain wouldn't buy it.
You have an uncanny ability to disbelieve things that have considerable empirical evidence to support them. Did you have problems as a child obeying instructions?