The debate over what constitutes TV measurement, such as how much longer than seven days should be considered currency, and how to quantify digital viewing, is heating up as executives for some television networks have said at their upfronts they’re getting into the measurement game themselves.
Where does that leave Nielsen? Where TV measurement is headed — and how that affects advertising — is a big topic that came up at a Needham investor conference Thursday.
Part of what Nielsen is doing with its Total Content ratings that measure C7, viewing over 7 days, is looking at time-shifting viewing beyond that time-fame.
Looking at DVR and VOD, with Video on demand accessed through apps or on an IP-connected TV or through a cable library, it found DVR viewing really is an extension of same-day viewing to 7 days and then it drops off. VOD viewing goes way beyond that and is attracting younger demos.
“Media owners can say digital is extending their audience and a younger demo is watching. It’s a new audience you can monetize differently,” explained Megan Clarken, EVP of Global Product Leadership for Nielsen.
To be clear, the bulk of viewing is still happening on live TV; but streamed viewing on different devices represents growing revenue opportunities.
NBC, Fox and Viacom have said they’re going to start offering advertisers their own measurement of their digital viewing because Nielsen is too slow. Clarken was asked to speak about the business environment when a traditional customer is competing with them.
Clarken says “There’s a big different between targeting and measurement. We bring accountability to the table. In a world where everybody is measuring themselves they’re marking they’re own homework.”
Advertisers are not going to put up with that, she says; they’ll want third-party validation to ensure they’re getting what they paid for. They want consistency and comparability like basics such as age/gender.
Nielsen does include streamed viewing on different devices for television now if the ad load for broadcast and streaming is linear.
Clarken says on-going discussions with customers and the advertising world now include how far out beyond 7 days should be considered current and where do you draw the line at including streaming viewing. “Is it 7 days or beyond? What about different program genres? How do you manage in a world where the rules are strictly 7 days and now your ad load is starting to be affected by viewing on other devices?”
Nielsen predicts having the new currency definition in place by the 2017 upfront cycle.
Program providers that are pushing for their own digital measurement tend to be sports-heavy. On average, some 80% of TV viewing is still live, but the number is much larger for sports.
CBS Corporation Chairman/CEO Les Moonves was asked about this at the conference too, and he said Nielsen isn’t “getting every viewer” but the company believes “they’re trying and making progress.”
“We think Nielsen will get better and others will join the game.”
