Prompt Cast
The Inaccuracy of TV Ratings and the Need for Innovation
TLDR The Nielsen TV ratings system, which relies on diaries and a small sample size of TV sets, is outdated and does not accurately reflect viewership in the modern era of streaming and DVR. Advertisers are finding new ways to reach audiences and other companies are competing with Nielsen to track viewership across multiple platforms.
Timestamped Summary
00:00
TV ratings, specifically the Nielsen TV ratings, are an antiquated system that does not accurately reflect viewership in the modern era of streaming and DVR.
05:16
The Nielsen TV ratings system relies on diaries, set meters, and people meters to track viewership, with plans to have over 6,200 TV set meters and 35,000 people meters in the US and Canada by 2015.
09:47
The Nielsen TV ratings system uses a small sample size of TV sets to extrapolate viewership data and determine advertising rates for TV shows based on the number of people watching the commercials.
14:26
The podcast discusses the history of TV ratings, starting with the use of TV diaries in 1954 to collect viewership data from households across the country.
18:57
Sweeps week, which originated in 1954, is a week where TV executives set their advertising rates and try to get high ratings by doing crazy things, but it has lost its significance due to changes in media consumption.
23:28
Due to changes in media consumption and the ability to fast forward through ads, advertisers have found ways to still get their message across, such as using pop busters and on demand shows that cannot be fast forwarded, leading Nielsen to innovate and include DVR ratings in their measurements.
27:49
Broadcast networks have lost 17% of the most coveted demographic, 18 to 49 year olds, between 2012 and 2013, partly due to the outdated format of broadcast television and Nielsen's ratings, leading to a push to advance technologically and take into account other ways people consume television.
32:28
Nielsen is trying to figure out how to effectively track viewership on mobile devices and is considering using third-party apps or software, while also facing competition from cookies, which can track watching habits across multiple devices and provide valuable demographic information for advertisers.
36:42
ComScore and Rintrack are two companies that are trying to compete with Nielsen in tracking TV viewership across multiple platforms, and Nielsen is facing pressure to improve its tracking methods in order to account for the 15% of TV viewing that is currently unaccounted for.
41:11
TV shows that don't have a large national audience may have a longer life and shows like "Freaks and Geeks" could still exist.
Categories:
Society & Culture
