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US Radio Seeks Alternatives

June 17 2005

US media group Clear Channel Radio this week issued a request for proposals for an upgraded radio ratings system. Current ratings-system provider Arbitron will be invited to participate in the RFP and says it is 'not worried' by the development, although Clear Channel says it is frustrated with the speed of current improvements.

Clear Channel called for a system that will 'accurately and credibly represent radio's true performance and value to advertisers' and pointed to a number of recent studies by companies including Millward Brown (whom it describes as 'venerable') and the Wirthlin Group, proving the efficacy of radio ads.

'Radio is a powerful, effective medium whose influence and reach have been underreported and diluted', according to John Hogan, CEO of Clear Channel Radio. 'In discussions with other radio groups, it's become clear that a different approach is needed to find an industry-wide solution. We want to investigate those options. Every time radio's performance and value is measured accurately, we absolutely shine. As an industry, we need to make quicker progress. Advertisers and media buyers deserve credible, accurate information on radio's value. Something as powerful as radio needs powerful, technologically current evaluations'.

'Ratings as they exist today are part of an antiquated system', said Kathy Crawford, President of Local Broadcast for media-buying company MindShare. 'Since there are new technologies available, we believe there must be a better way to build this mouse trap'.

Manual recording of listening in personal diaries has been the main recourse for media buyers for nearly 40 years, and results are received up to a month after the end of the data collection process, says Clear Channel, noting the 'increasing skepticism' in the industry. Arbitron's Portable People Meter has been in development since the 1990s but its spokesman Thom Mocarsky was quoted in the Wall Street Journal this week as saying 'We are moving as fast as the radio industry will allow us to move'.

Clear Channel Radio, a division of Clear Channel Communications, Inc., has more than 110 million listeners each week and operates radio broadcasting, syndication and independent media representation. The Group's web site is at www.clearchannel.com .

All articles 2006-23 written and edited by Mel Crowther and/or Nick Thomas, 2024- by Nick Thomas, unless otherwise stated.

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