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Arbitron Lowers Guarantee; Familiar Call on Congress

December 6 2007
Facing pressure from clients, Arbitron yesterday said it would guarantee delivery of 80% of the target size for its panels, down from 90% previously. Meanwhile, minority broadcasters' association NABOB has reawakened memories of the Nielsen Media controversy of two years ago with talk of a Congressional Investigation.

Arbitron also said it will narrow the range for its Portable People Meter (PPM) ratings systems to cover people aged 18 to 54, from the previous range which included everyone above the age of 6. The decisions were made after consultation with the Arbitron Radio Advisory Council, which represents its radio broadcasting clients, and follows last week’s agreement to delay PPM roll out in order to resolve a number of recent issues (www.mrweb.com/drno/news7637.htm ).

‘The revised guarantee is keyed to persons 18-54, where most radio selling is focused,’ said Chairman and CEO Steve Morris in a statement. ‘If we meet our targets, there will be no need for rebates’. The latter issue was raised in September - see www.mrweb.com/drno/news7282.htm.

Morris added that he is confident that PPM can meet these targets on the schedule provided in the new sample guarantee programme. However, at a meeting held yesterday to discuss media ownership rules, Jim Winston, Executive Director for the National Association of Black Owned Broadcasters (NABOB), told the House Subcommittee on Telecommunications and the Internet that PPM has a ‘critical flaw’ that has ‘resulted in clear bias against the reporting of minority audiences.’ Winston called for a Congressional investigation into the PPM to ensure that minorities are properly represented by the ratings system.

Web site is www.arbitron.com.