Posting Coalition Working On Industry Standards
April 30, 2008 at 8:00 AM (PT)
In the wake of CBS RADIO's announcement MONDAY that it will incorporate an aggressive outreach to advertisers, using PPM data as its choice of currency (NET NEWS 4/28), a coalition of various broadcast groups, the RAB, KATZ MEDIA GROUP, INTEREP and ARBITRON have said they have been developing guidelines for establishing posting rules for PPM markets.
CBS' announcement suprised COX RADIO CEO BOB NEIL, who said, "This process has been quietly proceeding and this greatly damaged the process. No one has ever discussed posting diary markets."
RAB president/CEO JEFF HALEY said, "The number-one thing we’re looking at is radio standing behind what it sells and that’s something radio does really well." HALEY added that the coalition is still smoothing out the details, but the standards they’ll bring to the industry won’t include a set performance goal. He says "This is not an absolute process. It’s about being upfront with what the pricing is and standing behind what you sell."
HALEY, in his conversation with ALL ACCESS, added, "Posting has been in the air for months now, and yes, our thinking is that this will apply to all markets. Specifically, we will have top-50 markets with multiple measurements and numbers of surveys. There will be some ratings instability as we roll forward, so it would be wrong to focus on one measurement criteria -- we need to look at this from the 30,000-foot level.
"Depending on the buy and the market, there could be significant margins of error and in other cases we will be able to guarantee specific numbers. The advertiser and station will agree to what's to be delivered, and radio will stand behind what it sells and what it said it would deliver.
"As far as PPM, there has been some positive movement and there is more good news. It's behavioral-based and we are finding that more people listen to more radio than ever before. I won't enter into the accuracy of it all and would expect some bumps in the road, and it's not my job to hold ARBITRON to what they have promised. Radio is doing a great job of holding ARBITRON to what they need. I think the best way to look at what's guaranteed is that it will be looked at more on a multi-month average in PPM markets. Plus, agencies will have a voice in this process, too."
The group is set to get a first look at the final draft MAY 12th. CLEAR CHANNEL RADIO CEO JOHN HOGAN commented they are "looking forward to concluding our work with advertisers and agencies, quickly finalizing an actual posting plan that allows us to deliver to advertisers what they contracted for."
The coalition will vote on the proposed guidelines at the RAB Board meeting MAY 21st.