Nielsen Moves Toward Cross-Platform Audience Measurement
December 01 2009 - 6:17PM
Dow Jones News
Nielsen Co. has told its media clients it will begin gathering
Internet usage data before the end of the year from some households
within the sampling that it uses for its traditional television
audience measurement product.
The initiative is part of an effort to begin measuring TV
audiences on the Web as more programming goes online and media
companies seek to monetize audiences with cross-platform
advertising.
The plan comes as online video usage on sites like Hulu and
TV.com is exploding with the rise of digital media, and advertisers
and TV network owners have voiced frustration over the industry's
inability to measure audiences effectively across media
platforms.
Meanwhile, major players in the cable TV industry, such as
Comcast Corp. (CMCSA, CMCSK) and Time Warner Inc. (TWX), are
testing an offering known as "TV Everywhere," which puts TV
programming online but makes it accessible only to pay-TV
subscribers. The plan amounts to an effort to preserve the TV
subscription model online.
Nielsen spokesman Gary Holmes said the firm's new
data-collection effort will allow it to measure audiences on TV and
on the Web.
"We'll have the ability to do cross-platform measurement for 'TV
Everywhere' shortly," said Holmes.
Holmes said Nielsen's new Web usage data will allow clients to
track how TV programming drives viewers onto the Web and vice
versa. The firm already offers a product that measures online
audiences completely separate from its TV data product, but the TV
industry has pushed for more data about the online activities of
its TV audiences.
By the end of next summer, Nielsen said it expects the be
tracking Web usage in 7,500 households from the sampling of 20,000
households that it uses to measure TV ratings.
In a potential threat to Nielsen's longtime dominance in
providing the industry-standard TV ratings, a group of major media
companies and advertising firms recently formed the Coalition for
Innovative Media Measurement, or CIMM, in an effort to support
third-party research into how audiences are consuming media across
technology platforms and find new and more effective ways to
measure audiences for advertisers in the digital age.
The group includes media giants such as Time Warner, Walt Disney
Co. (DIS), Viacom Inc. (VIA, VIAB), CBS Corp. (CBS, CBSA) and News
Corp. (NWS, NWSA, NWS.AU), owner of this newswire and The Wall
Street Journal. It also includes ad agency holding companies
Interpublic Group of Cos. (IPG), Omnicom Group Inc. (OMC) and WPP
PLC (WPP.LN, WPPGY), and major advertisers include AT&T Corp.
(T), Unilever (UL, UN) and Procter & Gamble Co. (PG).
Nielsen and its rivals, such as TNS Media, comScore Inc. (SCOR)
and Rentrak Corp. (RENT), have met with CIMM individually to
discuss business possibilities. CIMM has said it's not seeking an
alternative to Nielsen for audience ratings.
"One of the objectives of CIMM is cross-platform measurement,
and this is a form of cross-platform measurement," said Holmes.
Nielsen, formerly known as VNU, was taken private in 2006 by a
consortium of private-equity investors who are believed to be
planning to take the company public again.
-By Nat Worden, Dow Jones Newswires; 212-416-2472;
nat.worden@dowjones.com
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