• by Erik Sass  @eriksass1, September 19, 2008

Nielsen formally launched its new division for measuring out-of-home video with the unveiling yesterday of Nielsen On Location Media. On Location's measurements will essentially combine traffic estimates from Nielsen InStore and a variety of other quantitative data, including "health club membership swipes, gas pump transactions, ticket sales, and interactive plays," says Paul Lindstrom, the senior vice president of the new division.

It will also draw on the expertise and resources of Nielsen Strategic Media Research, which has conducted custom studies for place-based video networks for over two decades.

Over the last couple of years, Nielsen has expanded its capabilities in out-of-home media measurement. In addition to On Location, its out-of-home divisions include Nielsen InStore, which is focused specifically on in-store advertising and marketing vehicles (including place-based video); Nielsen-IMMI Out-of-Home, which focuses on measuring traditional television programming viewed outside the home (e.g., sports bars); and Nielsen Outdoor, which measures exposure to billboards with GPS-enabled electronic meters.

The new service debuted with a number of network clients already signed up, including Health Club TV, owned by IdeaCast, Gas Station TV, the Arena Media Network, Buzztime, OnSpot and Airline TV, also owned by IdeaCast.

The first report from Nielsen On Location will cover Health Club TV's displays in 1,000 health clubs around the country. In addition to the place-based networks, Nielsen On Location has also signed up Hotel Networks, which delivers a package of 10 premium cable channels to hotels, selling national and local advertising across these channels.

In developing the On Location service, Nielsen worked closely with the Out-of-Home Video Advertising Bureau, which has been developing a common metric for the industry to use as currency for media buys.

Suzanne Alecia, the president of OVAB, said: "We are pleased that one of the most recognized brands in media measurement is providing a solution that is intended to be consistent with them." However, OVAB has not bestowed an official endorsement on Nielsen or any other research firm.