Field Notes Inside an Integrated Communications Agency

radio

  • Will Portable People Meters Give Radio A Boost?

    Rock and classic rock are up. Men and those who are employed listen more. Urban takes a hit. Younger audiences are not measuring up.
     
    Some formats fare better than others, but radio overall looks to benefit from new data from Arbitron’s portable people meters. At least that’s the early take on results in Philadelphia and Houston where the PPM is in use.

    It should not be surprising to see radio audiences increase in PPM markets. The samples sizes are larger and the method of data capture is more reliable than a diary. What’s interesting is how the data can challenge some fundamental beliefs about radio.
     
    For example, marketers have often looked to radio as a frequency medium. Larger audiences and less time spent listening indicate that radio may have greater reach potential than previously thought.
     
    It’s probably too early to apply any broad generalities to local markets not yet measured by PPM. In our fall radio buys, it’s important to have a good mix of stations and formats to balance out the inequities due to different forms of measurement. These trends will vary based on market demographics and the specific target audiences for individual buys.

  • Portable People Meters Likely to Change Audience Estimates

    It’s about time. Radio audience measurement is emerging from the dark ages with the implementation of Portable People Meters (PPM) instead of diaries. Since most radio listening is done outside of the home and much of it in the car, this is a definite improvement. Radio experts are forecasting how this will affect an industry that went from being a local market cultural phenomenon to a homogenized, computer-programmed medium owned by conglomerates.

    One thing’s for sure. PPMs will clearly change audience estimates. Advertisers will have a better understanding of who’s listening and stations may have to adjust their formats and pricing. Will the dominant stations in each market be proven to be as dominant as they were under the diary methodology? I doubt it. Radio PPM may do for smaller-rated stations what television people meters did for independents and cable – show that audiences are even more fragmented that we thought.

    Stations will react to the new paradigm. They’ll have better real-time data on promotions, formats and personalities enabling them to make quick changes. The results? Listeners may need to get used to moving around the dial along with station format changes. The morning personalities that they wake up to may be here today, gone tomorrow. This could result in lower listener loyalty and lower time spent listening.

    As a media buyer, I’m looking forward to quick adoption of PPMs across the country. It’ll help provide a truer sense of what’s happening and produce smarter advertising plans.