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Chapter Summary| Audience measurement is an important part of the telecommunications business because it enables advertisers and media executives to estimate how many people are viewing or listening to their programs or commercials.
Many different methodologies are used to determine audience size and characteristics, but they all have flaws. Fan mail and prizes were used in early days, although not very scientifically. Telephone recall was used by the Crossleys, but this method suffers from the flaw that people do not always remember what they heard or saw in the past. Coincidental telephone technique, such as that used by Hooper, solves the problem of recall but has the additional problem of people lying about what they are doing. The face-to-face roster recall interview method can aid the interviewee's memory, but interviewer bias can influence the answers. All mechanical devices can break down. The audimeter was accurate in indicating whether or not the set was on but could not tell if anyone was watching it. Peoplemeters indicate whether or not people are watching, provided those people remember to push their buttons. Diary methods are only as accurate as the memories of the people who fill them out and are subject to both intentional and unintentional human inaccuracies. Obviously, no perfect method of audience measurement has been devised.
The two largest audience measurement companies are Nielsen and Arbitron, which publish numerous reports, such as overnights, sweeps, and NTIs, for advertisers, networks, and stations. The rating companies use sampling techniques, which are often criticized in terms of their accuracy. Nielsen reports on local and national television, whereas Arbitron handles local and national radio.
Numerous other rating companies exist, some of which specialize in particular audiences or particular forms of programming. Still other companies handle other types of research. This is often conducted through phone interviews, auditorium testing, or focus groups. Music preference research and program and commercial pretesting are examples. Marketing Evaluation Inc. measures opinions about people and programs; corporations and educators often undertake effectiveness research; psychographics sometimes figures into research.
The figures the companies collect can be calculated in many ways: ratings, shares, GAAs, AQHs, cumes, PUTs, HUTs, PURs. By using these different calculations creatively, stations can make themselves more attractive to advertisers than if only ratings were calculated. Audience measurement is also used to determine the health of the industry or paths of it, to calculate CPMs and CPPs, and to make changes in programs and talent.
Measurement information, with all its flaws, is still better than no information, but there are plans to improve ratings hardware and techniques.
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2003 McGraw-Hill Higher Education