Randy Kabrich responds to Mike Cavanaugh.
No one is saying going back to diary.
The points are:
1) PPM is the future – but as radio pays up to 90% more than the diary, instead of taking 2% of radio revenues, moving it upward to levels of 3.2%-3.6%+, we are not paying for flawed data. Arbitron tested this in real markets for the last 8 years. They said they had a product that was ready for the market, yet it fails the basics – not in performance – but in recruitment, which Arbitron has had 50 some years to perfect.
2) Get recruitment right and MRC approval. Then move forward with the rollout. They have yet to prove they can market correctly under their current conditions. How much more embarrassing for radio would it have been if NY and Nassau-Suffolk went live on 12/31/2007, then Arbitron announced its bid for MRC approval was rejected and also that they had lost their appeal to keep MRC approval in Houston? These are realities that COULD HAPPEN in 2008. How much damage would that do to the Industry?
3) Diary was not inaccurate, as can be shown by numerous examples now, the Don Imus return in NY and Bubba the Love Sponge’s return in Tampa being the latest. Others include Howard Stern’s departure from CBS Radio, the OJ verdict and countless others – including format changes and sign-ons.
Arbitron has done a major disservice to markets 50+ by the PR campaign against the diary by virtue of PPM.