Monday, 13 February 2012

Arbitron hits back at calls for official PPM investigation

Ratings firm under pressure from broadcasters, NYC council, state officials and senators

US-- Arbitron has said that calls for the Federal Communications Commission (FCC) to investigate its portable people meter (PPM) radio ratings system are based on misunderstandings and “overheated rhetoric”.

New York City Council has now joined a group of Hispanic broadcasters in calling for an FCC investigation into PPM and its potential effect on “the diversity of radio”. The council issued a resolution saying the system “could put the livelihood of New York City's urban and ethnic radio stations in jeopardy”.

In comments filed with the FCC, Arbitron reiterated its view that the FCC does not have jurisdiction to investigate PPM, saying “the reliability and methodologies of audience ratings services are best left to private industry groups such as the Media Rating Council (MRC)”.

It added that the petition for an FCC investigation “is replete with misstatements of facts, unsupported speculation, and overheated rhetoric”.

PPM has recorded audiences around 30% lower than ratings from the old diary system, leading some broadcasters and advertisers – particularly those targeting minority ethnic audiences – to claim the system is not properly representing their listeners.

The attorneys general of New York and New Jersey both launched investigations this month into the system, and the chairs of the Senate's commerce and judiciary committees have also taken an interest, urging Arbitron to “continue working with the MRC toward accreditation in all markets”.

Arbitron's CEO Steve Morris said in response to the senators that the firm would continue to follow the MRC's code of conduct, and that he was pleased the senators recognised “the preeminent role of the MRC process”.

The firm said its PPM samples effectively represent black and Hispanic populations, with representation higher in many cases than in the diary sample. It has also recently begun sampling cellphone-only households, which it said show “comparatively high levels” of black and Hispanic listeners.

Author: Robert Bain

Related links:

New Jersey joins New York in investigating Arbitron's PPM

Hispanic firms want probe of 'flawed' PPM

NABOB calls for congressional probe of PPM system

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