Welcome to RBR's Daily Epaper
Volume 24, Issue 239, Jim Carnegie, Editor & Publisher
Monday Morning December 10th, 2007

Radio News ®

Lots of initiatives to improve PPM
In Arbitron's monthly calls with reporters and clients Friday for a PPM update, the company said lots of things are being done and considered to improve PPM sample performance. One idea is to shorten the length of panel participation from the current two years to one to see if that makes it easier to recruit people to carry the devices, especially people in the critical young and ethnic demos. And the devices themselves are being examined. There are already designer "skins" to make the PPM a fashion accessory and Arbitron is studying whether some people would carry PPM more if the technology was embedded in a cell phone, audio player or other device. Much of that is under examination for the future, but Arbitron is also working with various incentive mixes to try to improve its delivery of PPM data across all demos. The major shortcomings in November were, again, in the 18-34 demos for both New York and Philadelphia. But while there are lots of initiatives underway, Arbitron President of Sales and Marketing Pierre Bouvard insists that while they may improve confidence in PPM as ratings currency, "they're not gonna change the ratings - in other words, the rankers, the shares that you see in Philly, New York and Houston are gonna stay the same - the numbers are the numbers."

Hush-Hush on Houston MRC accreditation
There was, of course, no confirmation that the Media Rating Council MRC has moved to withdraw PPM accreditation in Houston and that Arbitron is appealing through the MRC's secret proceedings, but Arbitron President, Technology, Research & Development, Owen Charlebois told reporters that the company is still using the panel recruitment methodology in Houston which won it MRC accreditation nearly a year ago. Philadelphia and New York, which have not won accreditation, are using a different method which Arbitron hopes to use in all PPM markets. The address-based Houston methodology costs more because when phone calls and mailings fail to make contact, Arbitron sends someone out to knock on the door. That does, indeed, result in a higher acceptance rate to participate in the PPM panel, but Charlebois said that is a two-edged sword, since it also results in a poorer compliance rate when the PPM equipment is installed.

RBR observation: Mark your calendars. The next monthly PPM conference calls are set for January 3rd. Will Arbitron still be able to say then that PPM is accredited by MRC in Houston? If it can't resolve the issue in Houston and somehow move on to get accreditation in Philadelphia and then New York, how is delaying the rest of the roll-out a few months going to help?


MRC, A few words, and only a few,
The Media Rating Council (MRC) is famed for its extreme secrecy, but RBR did receive a response from MRC Executive Director George Ivie to our questions about PPM. Not that he had much to say. This is very brief, so here are the questions and answers in full:

Q. Does MRC have any response to the call yesterday (12/5) before the House Telecommunications Subcommittee by James Winston, Executive Director of the National Association of Black Owned Broadcasters, to have Congress investigate the MRC accreditation process regarding Arbitron's Portable People Meter?
A: "I have no comment on this matter."

Q: Can you confirm that Arbitron is currently appealing an MRC revocation of its accreditation for the Portable People Meter in Houston?
A: "The MRC does not disclose details about audits or audit results publicly. Our web-site (www.mediaratingcouncil.org - under "About Us" and then under "Accredited Services") presents the accredited status of research products we audit."

RBR observation: The End. Now sit and watch the movie credits roll down the screen at the end of the movie, which of course nobody ever sits in anticipation for that long list to roll.

Another big week for PPM
Lets briefly recap this soap opera. A week after announcing a nine-month hold on further commercialism of PPM, Arbitron had another news-filled week last week - mostly not of the happy news variety. After three intense days of meetings with its Radio Advisory Committee (RAC), Arbitron did agree to tighten its money-back guarantee for PPM from a delivery of 90% of the 6+ target to 80% of 18-54. But Arbitron also got a statement from the RAC endorsing further deployment of PPM even without Media Rating Council (MRC) accreditation. Meanwhile on Capitol Hill, NABOB Executive Director Jim Winston called for Congress to investigate PPM and the MRC accreditation process. His complaint was about how PPM ratings are almost uniformly lower for Urban and Spanish stations than previously reported under diary ratings in the same markets. Hidden away in Winston's testimony was mention of Arbitron trying to win "reaccreditation" in Houston. What was that about? RBR soon got word that Arbitron had failed a routine re-audit of PPM in Houston and its accreditation had been revoked - although that is subject to appeal. But, since all MRC proceedings are super-secret, neither Arbitron nor the MRC will confirm or deny anything. Arbitron did state Friday in its monthly PPM conference call with reporters that the original recruitment methodology is still in use in Houston, not the cheaper methodology being used in Philadelphia and New York, so if the company has to stop using the MRC seal of approval there, it will really be back to square one.


4.4B in political dollars in the pipe
The crystal ball used by Marci Ryvicker and her crew at Wachovia Capital Markets seems to be tuned to the same key as other analysts who see a four and a half billion smackaroonies headed for the 2008 political wars. An incumbent-free, high participation presidential election, another hotly contested battle for Congress and newly unleashed watchdog issue ad cash all figure to enrich the pot. Local television is expected to be the major beneficiary, knocking down 2.7B. That still leaves plenty for other media, and direct mail, internet and radio outlets are all expected to benefit. Radio, which took in 175M in the 2004 presidential year, is expected to add a cool 100M to 275M this time around. Wachovia expects 18 states to achieve battleground status in the presidential election. It lists nine states with potentially hot senate races, nine with potentially hot House races, and three possibly contentious gubernatorial races. (Some states figure on more than one list.) RBR will shine a spotlight on various elements of the upcoming campaign season as the week progresses.

Shooting down big group backers
The National Association of Black Owned Broadcasters said that equity backer participation in certain large broadcast groups was granted contingent on divestitures in markets where local ownership or cross-ownership caps are implicated. But it wants to see properties spinning, not boardroom votes. NABOB notes that Providence Equity Partners, to get a chunk of Univision, had to "...either divest its interest in Freedom or Univision divest the broadcast station licenses that implicate the newspaper/cross-ownership rule in Los Angeles, Phoenix, Fresno-Visalia, Harlingen-Weslaco-Brownsville-McAllen and Odessa-Midland markets..." Likewise, Thomas H. Lee Partners, in order to get a piece of Univision, had to "...divest its interest in Cumulus Media LLC or Univision divest the broadcast station licenses that implicate the radio/television cross-ownership rule and the radio local ownership rule."

NABOB argues that keeping the stations while ditching the votes doesn't cut it. The association cites Commissioner Michael Copps' (D) contention that "...the growing control and influence of private equity firms in the ownership of broadcast licenses has not been adequately reviewed by the Commission." NABOB said, "Increasingly, the largest companies holding Commission licenses are becoming controlled by a very small group of private equity firms." In many markets, it argues, the same private equity companies are behind license companies that should be competing with one another. The Commission, it says, should stand firm on demanding meaningful property divestitures. "The eight hundred pound gorilla does no need to vote to get his way; he just needs to be in the room," concluded NABOB in opposing the proposed restructuring.

RBR observation: Many think it is a good thing to free broadcast companies from the tether of the quarterly Wall Street conference call, and it is certainly a good thing to have investment capital flowing into the business. On the other hand, NABOB has a point -- how hard will two step-sister clusters compete against one another in a market where they could instead silently agree to divide and conquer clusters and standalones owned by completely unaffiliated groups and local owners? We would love to get your take on this -- your thoughtful Bouncebacks are welcomed.


Ad Business Report TM

Additional meetings on PPM
The Arbitron Agency Advisory Council also met last week regarding the latest issues and disagreements on PPM. Brad Adgate, SVP/Research, Horizon Media, tells RBR they looked at various initiatives to boost the 18-34 response/in-tab sample. He said Arbitron still has the support of all of the ad agencies. On the PPM rollout delays for nine markets, Adgate said: "I think they could have gone forward with this and they chose not to do that. I think they didn't want to open themselves up to criticism. They decided to take the high road, do their due diligence and work on various initiatives to improve their response level for 18-34s." He said a lot of the data Arbitron presented made sense. They showed various presentations of the audience numbers with PPM in Philly, NYC and Houston. A lot of the data was intuitive-like how people listen to radio. He said he expects by the latter half of this year they will be rolling out in NY, LA and the adjacent metros. "Nielsen did the same thing with LPM."

We asked about the near-revolt with some broadcasters over PPM lately. Are agencies getting concerned? Said Adgate: "Arbitron issued a statement that they still have the support of the radio stations. The advertisers want this type of more granular methodology than diaries, and that's what the 20 billion dollars resides with." He said in the session they had with the radio stations last week, things were very cordial and respectful. There was good dialogue and the stations listened to the advertisers and marketers. "I said this [Thursday]: The radio group [at the meeting] really is very passionate about their medium, and yet we have to look at things in a more macromedia sense. This is happening in television and print too-there are more granular and changes in methodology in all media, in fact." He added, "It's not like radio is getting picked on. I think going forward, using a diary has served its purpose. I think Arbitron is taking this a step at a time. It's a big change, a very aggressive rollout schedule they announced-maybe it was too aggressive."


Media Business Report TM
Iraq beats out campaign for Q3 coverage
It has seemed almost impossible to avoid news of the presidential campaign, even back in the third quarter when the final vote was still over a year in the future away. Still, according to the Project for Excellence in Journalism, the many facets of the Iraq saga eclipsed campaign coverage, with reporting on the policy debate claiming the top spot all on its own. When you add in other Iraq categories, the conflict accounted for 16.1% of the total newshole. It's not unusual for a disaster to make it on to one of PEJ's weekly coverage charts, but it has to be special to make it on to the quarterly. Such was the case for two such events, the bridge collapse in Minneapolis-St. Paul, #5 with 2.7% of the newshole, and the Utah mine collapse, at #10 with 1.8%. And the ongoing coverage of the travails of Sen. Larry Craig (R-ID), which is still in the news after breaking in August, grabbed #8 with a 2% share.

Pittman booked for Radio Luncheon
The last time we saw Bob Pittman at an NAB convention in Las Vegas he was speaking to a "new media" gathering, but even there he managed to talk a bit about radio. NAB has announced that the former America Online COO will be the speaker for the NAB Radio Show Luncheon on Tax Day (!), Tuesday, April 15th. "His extensive background and diverse media experience will provide attendees with an in-depth look at the opportunities for the radio business," said NAB Exec. VP of Radio John David. That may be an understatement. Pittman has been a small market DJ, big market programmer, owned radio stations in various markets and, along the way, launched MTV and AOL. His investment company, Pilot Group LLC, is currently the backer of a radio group, Double O Radio, a TV group, Barrington Broadcasting, and several Internet ventures.

RBR observation: Jaded journalists that we are, we don't often get excited about any particular event that we'll be writing about, but we will be sure to have a seat for this one. Larry Lujack (inductee to the NAB Broadcasting Hall of Fame) and Bob Pittman on the same stage at the same time! It'll be like we've died and gone to radio heaven.


Media Markets & Money TM
First things second for Salem
At least it's possible that the acquisition of the station itself from First Broadcasting Investment Partners is the second priority for Salem Communications when considering its deal for WAMD-AM Aberdeen MD in the Baltimore market. Ownership of the station, which the Religious group is getting for 3M, will open up the possibility of upgrading Salem's WWDJ-AM Hackensack NJ in the New York market. It will be Salem's only property in Baltimore.


Washington Business Report TM
Political Portal: 12/3/07-12/7/07
The big event in Washington last week was the visit paid by all five FCC Commissioners to Ed Markey's Subcommittee on Telecommunications and the Internet, with Energy & Commerce Chairman John Dingell (D-MI) prominently in attendance. Dingell lectured FCC Chairman Kevin Martin on his bureau management style. Democrats in attendance generally objected to Martin's intention to eliminate the cross-ownership ban in the top 20 markets; Republicans, on the other hand, said that Martin's plan didn't go far enough, and both they and Andrew Levin of Clear Channel (who testified on a second panel) thought it was time once again to raise local ownership caps for radio.

* Meanwhile, the Senate Commerce Committee unanimously waved through a Byron Dorgan (D-ND)/Trent Lott (R-MS) measure which would bring Martin's plan to a at least a temporary months-long halt before it even comes up for a Portals vote (the Portals in SW Washington is the home of the FCC).

* Tribune, granted temporary waivers to keep broadcast and newspapers together in five markets pending resolution of the issue, sued in the DC Court of Appeals for either a better waiver or repeal of the cross-ownership ban in its entirety.

* A low volume exchange of words, mostly between engineers, is proceeding on the possible repurposing of TV Channel 6 (and perhaps 5 as well) for FM radio uses, including possible use for LPFM, elimination of grandfathered short-spacings, additional NCE station licenses and perhaps new commercial full-power licenses. As you might expect, in general radio engineers support the idea, while the MSTV has weighed in against it.

Another Hill roadblock for Martin
FCC Chairman Kevin Martin already has pending legislation in the Senate which would slow down his plans to ease restrictions on cross-ownership of print and broadcast media properties in a single market. Now Marsha Blackburn (R-TN) has rounded up a small posse in the House to prevent Martin from adding to the regulatory burden of the cable industry. At issue is a provision of earlier legislation which allowed the FCC to reconsider cable regulation when the service achieves both 70% coverage of the US, and 70% penetration into the territory it covers. Citing data from Warren Publications, Martin declared recently that this threshold has been achieved, opening the possibility of adding things like a la carte channel menu options and other new rules. However, the numbers are in dispute, and even Warren noted that they are based on an annual directory survey, which does not typically receive full response from the industry surveyed. Some observers have claimed the 70% penetration number is impossible given the number of subscribers to satellite added with those who get no MVPD service of any type.

Townsend's bill would repeal the 70/70 rule and prevent the FCC from re-regulating even if the threshold has been achieved. American Cable Association President/CEO Matt Polka applauded the move, saying, "It serves no good to impose more rules and regulations on independent cable companies that are fiercely competing with two satellite TV operators, and provide advanced video, broadband and phone services to customers living in smaller markets and rural America." A small bipartisan list of co-sponsors includes Energy & Commerce Committee Ranking Member Joe Barton (R-TX), Edolphus Towns (D-NY) and G.K. Butterfield (D-NC).


Internet Business Report TM
Looking at local online advertising
Borrell Associates has released a report taking a look at local online advertising expecting a 48% increase in local online ad spending in 2008, bringing it to 12.6 billion. Driving most of the growth is the popularity of local search and online video advertising. Local search advertising will more than double next year, to 5 billion, while locally placed online video will triple, to almost 1.3 billion. Key ad segments for 2008 will continue to be the "Big 3" classified categories of automotive, recruitment and real estate, with online political marketing holding promise for local sites as state and presidential campaigns heat up. The company generating the most local revenue from the Internet-Gannett, with more than 400 million in Internet ad revenues this year--saw its growth slip to 7.5% during the first nine months of 2007 even while the local online market grew at more than five times that rate. Idearc, which has trained its estimated 3,000 yellow pages reps to sell online products to the tune of nearly 300 million this year, has seen its Internet ad revenues increase 26%-well below this year's market growth rate of 48%. Convergence, or multi-platform sales, will continue to gain at least some traction for local media companies that are just launching those efforts.

Local broadcasters--radio and TV--have enjoyed 35% to 45% growth in Internet revenues this year, primarily by selling to their on-air advertisers. Borrell's 2008 projections contain a strong message from local advertisers. They are becoming less willing to purchase mass advertising on the Internet and are much more inclined to try paid search and video advertising formats. They are forecasting single-digit growth in local banner advertising next year. Borrell is also expecting very strong growth for the local online video segment in 2008, saying twice as much online video advertising will be placed locally as nationally. This is due to the fact that much of national video is in the form of 15-second "pre-roll" ads, while the majority of local video is longer-form "infomercial"-type advertising, which carries a higher price tag. Surprisingly, newspaper companies are at the forefront of online video sales. Many are up-selling print classified advertisers to online listings that contain 60-second video ads for jobs or homes for sale.

Free in-flight Wi-Fi
JetBlue, Yahoo Inc and Research in Motion (Blackberry maker) will offer free, in-flight, Wi-Fi web connections for laptops and PDAs. The service will allow passengers to access customized Yahoo mail and Yahoo IM services on their laptops or to access corporate e-mails on Wi-Fi enabled versions of the Blackberry from RIM. The first JetBlue flight offering the service will be tomorrow. The FCC's recent auction of air-to-ground communication links made the service possible. JetBlue's WiFi will be offered on select coast-to-coast flights including between Boston and San Francisco, San Jose, and Seattle.


Monday Morning Makers & Shakers

Transactions: 10/22/07-10/26/07
Yawn. Radio One sent a major market AM packing to Religious specialist Salem Communications. Otherwise, you might not know there was such a thing as station trading this week. Only five other transactions were filed with the FCC, with a total value of about 3.4M. No TV, either.

10/22/07-10/26/07

Total

Total Deals

6

AMs

5

FMs

4

TVs

0
Value
15.64M
| Complete Charts |
Radio Transactions of the Week
From on niche to another
| More...
|
TV Transactions of the Week
No go yet again



Transactions
100M WBT-AM/WLNK-FM & WBT-FM Charlotte NC (Charlotte NC, Chester SC) from Lincoln Financial Media Company to Greater Media Radio Inc. (Peter H. Smyth). 5M escrow, balance in cash at closing. Stock transaction. Existing duopoly. [File date 11/21/07.]

6.8M WFLI-TV Chattanooga TN (Cleveland TN) from Meredith Corporation (Stephen M. Lacy, Paul Karpowicz) to MPS Media of Tennessee License LLC (Eugene Brown). 300K escrow, balance in cash at closing. Station is a CW affiliate on Ch. 53/DT 42. [File date 11/20/07.]

12K WABG-AM Greenwood MS from Greenwood Broadcasting Company Inc. (Beverly B. Poston) to SPB LLC (Stephen C. Lavere, Bennie J. Wells, William O. Luckett Jr.). 10K down payment, balance in cash at closing. [File date 11/19/07.]


__FIRST__ __SECOND__,
here is another transaction brokered by Kalil & Co., Inc.


Stock Talk
Flat Friday to end the week
Wall Street ended an up and down week with hardly any movement on Friday. Continuing worries about credit countered any elation over falling oil prices. The Dow Industrials crept up six points to 13,626, but the Nasdaq Composite and S&P 500 were slightly lower.

Radio stocks were mostly a bit lower. The Radio Index declined 0.139, or 0.1%, to 99.407. The best performer was Radio One, with its Class D up 12.7% and Class A 11.8%. The worst was Regent, down 17%.


Radio Stocks

Here's how stocks fared on Friday

Company Symbol Close Change Company Symbol Close Change

Arbitron

ARB

42.00

+0.01

Google

GOOG

714.87

-0.39

Beasley

BBGI

6.65

-0.12

Hearst-Argyle

HTV

21.30

+1.36

CBS CI. B CBS

27.15

+0.02

Journal Comm.

JRN

8.90

-0.08

CBS CI. A CBSa

27.13

unch

Lincoln Natl.

LNC

60.91

-1.36

Citadel CDL
1.98 unch

Radio One, Cl. A

ROIA

2.27

+0.24

Clear Channel

CCU

35.83

+0.37

Radio One, Cl. D

ROIAK

2.31

+0.26

Cox Radio

CXR

11.64

+0.11

Regent

RGCI

1.52

-0.31

Cumulus

CMLS

7.92

-0.43

Saga Commun.

SGA

6.75

+0.06

Debut Bcg.

DBTB

0.95

unch

Salem Comm.

SALM

6.78

-0.34

Disney

DIS

32.79

+0.07

Sirius Sat. Radio

SIRI

3.61

unch

Emmis

EMMS

4.32

-0.15

Spanish Bcg.

SBSA

1.75

+0.01

Entercom

ETM

15.44

-0.50

SWMX

SMWX

0.01

unch

Entravision

EVC

7.59

-0.02

Westwood One

WON

2.15

+0.04

Fisher

FSCI

38.50

-0.13

XM Sat. Radio

XMSR

15.27

-0.08


Bounceback

Send Us Your OpinionsWe want to
hear from you.

This is your column, so send your comments and
a photo to [email protected]

Both Tom Sheldon
(12/7/07 RBR #238) and
Stan Campbell (12/4/07 RBR #235) have interesting but opposite views on the future of radio. Both have merit but show a lack of knowledge about the other's purpose.

Having been in radio sales in a major market for over 20 years, as well as national, I understand the marketplace and the need to find a way to make a client: believe in your radio product in spite of ratings, create a plan for him to succeed and nurture that into larger success.

It is also clear that programming can be the strongest or weakest link in a station and many program directors have little more than their own theory to go on. It seems to be a random thing to latch onto a new format. Yes, that is an over-simplification, but when you see how many stations sound alike and many fail to achieve ratings success, corporate is quick to change it.

There are strong arguments in both cases and they have to work in tandem for ultimate listener appeal and revenue success.

How many times has programming consulted with sales on the best balance of format and revenue?

Stan Elgart
President
Felsgart Media Services, LLC


Below the Fold
Ad Business Report
Additional meetings on PPM
Arbitron Agency Advisory Council met last week, still has the support of all of the ad agencies...

Media Markets & Money
First things second for Salem
Considering deal for WAMD-AM...

Washington Business Report
Political Portal: 12/3/07-12/7/07
The visit paid by all 5 Commissioners to Ed Markey's Subcommittee...

Internet Business Report
Local online advertising
Borrell Associates expecting a 48% increase in ad spending in 2008...




Stations for Sale

Silver City, NM
Powerful Hispanic FM
Lovington, NM
Heritage AM/FM Combo
Explorer Communications
E-mail: [email protected]

Seller Financing Available
Mississippi FM
Buy or Lease Studios, Tower
Gordon Rice Associates
(843) 884-3590
or E-mail Gordon Rice

Market your Stations For Sale
in our daily epapers.

Contact
Jim Carnegie
[email protected]


Radio Media Moves

Music City bound
Tom Tobia has been named Sales Manager for Clear Channel Radio's WLAC-AM Nashville. He had been with Northern Star Broadcasting in Traverse City, MI and was formerly a sales manager with Raycom Television.

Shifts in Denver
NRC Broadcasting announced that Ken Tomczak has been named Promotions Director for KCUV-FM Denver. Tomczak recently accepted the Promotions Director position for NRC sister station KJAC "Jack-FM" in the market. Prior to NRC, he served as marketing manager for Jones Media Group. Market veteran Oz Medina, who has been with KCUV since June 2006, will exit the station for personal reasons. Former KCUV morning host G Brown will move from the midday shift to morning drive and Zak Phillips will rejoin the full time air staff in middays.




More News Headlines

Dial-Global to handle ad sales for Climax production library
Rick Allen of Rick Allen Creative Services and Geoff Rich of Take on The Day, have teamed up again with Climax--a redesigned radio imaging production library. The improved service debuts on over 100 stations worldwide and provides PDs with content solutions. Dial Global will handle the ad sales arm for network barter, and all commercial inventory, network traffic instructions and affidavit processing will be transitioned to DG. 16 years ago, Rich and Allen launched "Continuous Climax," a multi-award winning production imaging service that served over 1,000 radio stations worldwide. Climax has been redesigned, reorganized, and will be reissued by Take On The Day, hitting the airwaves New Year's Day. The library will launch with a base catalog of over 5,000 digitally remastered tracks and previously unreleased material.

Focusing on the trends
TNS Media Intelligence has added media information and services of Media Monitors as part of their mission to provide intelligence for analysis of ad trends. Media Monitors will provide station-level occurrence detail on local radio advertising, covering 31 markets and 500 stations.

Galaxy Comm. settles suit for 1 million
A woman, Athena Andrikopoulos, severely burned as a child will receive 1 million dollars to settle a suit she filed against Syracuse-based Galaxy Communications and two DJs who repeatedly ridiculed her scarred face during a four-hour broadcast, reported The AP. The settlement followed Andrikopoulos' testimony Wednesday in an Albany court, where she recalled feeling devastated hearing the 2/15/06 on the "JR in the Morning" show on WRCZ-FM Pittsfield, MA, broadcast by J.R. Gach and Shawn Bolts. Bolts had seen Andrikopoulos working at her family-owned restaurant in suburban Albany the day before, the story said. They identified her on air as "Suzie Burns" and other offensive nicknames, and called her family's restaurant the "genetic mutant diner," court papers said.




RBR Radar 2007
Radio News you won't read any where else. RBR--First, Accurate, and Independently Owned.

RBR First Report
What's going on in Houston?
Houston is the only PPM market to thus far win Media Rating Council (MRC) accreditation, but there are now reports circulating that that lone seal of approval could be withdrawn. Arbitron isn't commenting and the MRC is as super-secretive as ever. Arbitron's Portable People Meter being up for "reaccreditation" in Houston because the company wants to switch to the same recruiting methodology used in Philadelphia and New York - and which Arbitron intends to use elsewhere. We hear that it is worse than that - that Arbitron failed a routine re-audit of PPM in Houston. The Houston PPM data reportedly failed to maintain minimum MRC standards even using the more expensive recruiting methodology dating back to Arbitron's efforts to enlist Nielsen in a joint venture to use PPM for both radio and television. Arbitron is said to be appea! ling that loss of accreditation and can continue to put the MRC double-check logo on its Houston PPM reports pending the outcome of that appeal. Like all proceedings of the MRC, the appeal process is totally secret - so secret that Arbitron won't confirm or deny that there is an appeal going on, or that there is anything to be appealed.

RBR observation: At its meeting this week, the Arbitron Radio Advisory Council supported Arbitron continuing to roll out PPM to more markets without waiting for MRC accreditation (12/6/07 RBR #237), but we hear that the vote was not unanimous. Some radio groups are absolutely outraged that Arbitron is not able to meet the accreditation standards, but is continuing to move ahead with PPM. But we also understand that the PPM contracts which the groups have signed with Arbitron don't mention MRC accreditations, so there is no easy out if MRC doesn't give its seal of approval.
12/07/07 RBR #238

Executive Comment: R.I.P - P.P.M.
Joe Pilotta, Vice President, BIGresearch - At this thanksgiving time we should all be thankful the PPM train is leaving the station and hopefully no one is aboard except the progeny Apollo and Prism, as it is out bound to a familiar destination of no return on investment. I am sure some will suffer PPPMD, post partum people meter depression. It was not that the PPM was a concept far ahead of its time; rather it was a concept whose time had past, more comfortable in the era of white belts, knit pants, pocket protectors and supply side economics. Read Joe's full comment
12/07/07 RBR #238

Advisory Council backs PPM,
but wants it fixed
Arbitron has agreed to tighten its money-back guarantee for its Portable People Meter (PPM) sample, moving to an 80% guarantee for the 18-54 target, rather than the previously announced guarantee of 90% of the 6+ target. In the conference call with reporters, a first for the RAC (which is usually less formal), DuCoty stressed that the RAC still supports the continued rollout of PPM while Arbitron works on winning Media Rating Council (MRC) accreditation. And he said the RAC "is supportive of the Philadelphia and Houston PPM measurement currently in the market" and has been assured by Arbitron that the ratings company will work to address concerns about sample performance and accreditation in those markets.

RBR observation: The RAC and Arbitron's biggest station group clients are clearly holding the company's feet to the fire. Although there have been lots of complaints and concerns about PPM, the bottom line is that the radio companies have a lot of revenues at stake and they want PPM to work. They want Arbitron to deliver what was promised, but they also know that electronic measurement is vital to radio's future. This week's meetings may have been heated, but the March 2008 RAC meeting in Orlando will be even more heated if substantial progress isn't made by that time.
12/06/07 RBR #237

Arbitron spells out new guarantee
"The Arbitron Radio Advisory Council has recommended that we narrow the guardrails of our current PPM sample guarantee to Persons 18-54. We have considered the Council's recommendation and believe that a Persons 18-54 guarantee is an appropriate next step in our efforts to enhance the quality of our PPM services," said Arbitron CEO Steve Morris - There is more in this report page of RBR
12/06/07 RBR #237


RBR Classifieds

New Positions
Available in RBR Classifieds.
See Radio Careers

Additional Positions
Available in RBR Classifieds.
See Radio Careers.

Find Your Radio Career

Post Your Companies Job Openings


Help Desk

Contact Us
Advertising Opportunities
Submit a news story

Having problems with our epapers?
Please send Questions/Concerns to:
[email protected]

If you wish to remove your name completely from our database use this link __UNSUB__

©2007 Radio Business Report, Inc. All rights reserved.
Radio Business Report -- 2050 Old Bridge Road, Suite B-01, Lake Ridge, VA 22192 -- Phone: 703-492-8191