Nielsen Hits Pause On Commercial Ratings, Addresses DVR Playback

On the eve of a series of regularly scheduled national client meetings this week, Nielsen Media Research dropped another bombshell surrounding the controversial subject of commercial ratings. On Friday, Nielsen said it would delay the release of those ratings for a second time - this time indefinitely - until it can resolve a client battle over whether and how time-shifted viewing should be included in the new audience metric.

Nielsen had planned to review the subject of the new average commercial minute ratings, which had been scheduled for a Dec. 11 release, during the meetings taking place in New York today, Chicago on Tuesday and Los Angeles on Wednesday, and said it would hold a special meeting later this month to try and resolve the issue.

The issue has been brewing ever since the broadcast networks unveiled a plan in June for Nielsen to begin publishing commercial ratings this year. Apparently, the networks had envisioned using the new ratings as a means of re-integrating time-shifted viewing from digital video recorders - something they gave away as part of the trading currency for TV program ratings when they entered this year's upfront TV advertising marketplace - the first to be held following the release of time-shifted viewing data (MediaDailynews Oct. 20.)

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Most agencies have been adamant about negotiating TV advertising deals based on so-called "live" ratings due to concerns about commercial-skipping during playback, though some agency executives apparently have been discussing a compromise solution that might include upwards of several days worth of playback viewing in the new commercial ratings.

The discussion came to a head Oct. 30, when Nielsen released a special analysis of time-shifted viewing to its clients (see table below), which showed that a significant amount of viewing of network prime-time shows occurs within the first few days of being recorded.

"Accordingly, we concluded that the best course of action is to have, as soon as possible, further discussions with national clients regarding the possibility of a new data stream for commercial minute data in order to ensure that the data file that is released contains the information that clients need," Nielsen said Friday.

The time-shifted viewing debate is the latest in a series of hot potatoes to arise since the commercial ratings plan was first hatched. Some of emerged in backroom discussions between Nielsen and its clients. Others have been vetted during a series of ad-hoc industry meetings, including one convened at NBC Universal's offices, and an Advertising Research Foundation committee meeting, at which TNS Media Intelligence lobbied to play a role in the commercial ratings process and challenged Nielsen to an industry bake-off to see who's data is more accurate.

The debate will likely heat up again today, not just during Nielsen's New York client meeting, but during a previously scheduled Radio and Television Research Council luncheon in New York today.

Meanwhile, Nielsen will attempt to get its clients focused on some other important topics on the agenda for this week's client meetings, including:

* Extended home measurement, including college campuses and vacation homes. * Fusion of Nielsen Media Research and Nielsen/NetRatings data, and a plan to create a single-source panel that would measure both TV and online viewing. * A first look at Nielsen's new iPod owner panel.

Prime-Time DVR Playback Increments


ABC CBS NBC FOX
Same Day 50% 41% 47% 45%
1-Day 66% 58% 64% 57%
2-Days 81% 73% 76% 74%
3-Days 88% 83% 85% 78%
4-Days 94% 90% 91% 88%
5-Days 97% 96% 95% 94%
6-Days 99% 98% 98% 97%
7-Days 100% 100% 100% 100%

Source: Nielsen Media Research. Special analysis conducted the week of Sept. 25 to Oct. 1 for DVR playback by viewers 18-49. The table represents the amount of time after telecast that the playback of the prime programs occurred for each individual. Same day playback is playback that occurs by 3am. the day after telecast. One-day playback occurs up to 24-hours after telecast. Two-day playback occurs up to 48 hours after. And so on. Nielsen reports all playback that occurs up to 168 hours from telecast in its national ratings as well as live viewing and live viewing plus same day playback.
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