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Tag: ISA

  • Advertisers vs broadcasters: Peace pipe smoked finally

    Advertisers vs broadcasters: Peace pipe smoked finally

    MUMBAI: Phew! One can finally breathe a sigh of relief now that the three stakeholders – Indian Broadcasting Foundation (IBF), Advertising Agencies Association of India (AAAI) and Indian Society of Advertisers (ISA) – have come up with a consensus after almost two weeks of a standoff. Two weeks that drove everyone in the business into a tizzy whether it was the stakeholders or media or financial journos who merrily reported and misreported on the developments.

    To give a background of how it all started: the announcement by seven (earlier eight) broadcasters to go for monthly ratings created a lot of chaos when top 20 advertisers said that they would pull out their ads from TV, if weekly ratings weren‘t released or referred to.

    After numerous meetings and exchanges of emails, the three bodies along with TAM came up with the solution. Thanks to the core team comprising IBF president Man Jit Singh, AAAI president Arvind Sharma and chairman of Media Committee and Managing Committee of ISA Hemant Bakshi with numerous others.

    From now onwards, the media and public will get to know television viewership in thousands, colloquially referred to as TVT. TVT captures and reflects growth in TV audiences in the country in absolute numbers and will be the sole rating available in the public domain.

    For internal evaluation including planning and buying, percentage TVR weekly and all other data will be available to advertisers and advertising agencies as in the past. Broadcasters will also have access to this information, should they so desire.

    In addition an option of TVT as a four-week rolling average will be provided every week. The rolling average is a statistically more stable data on viewership, especially for smaller audiences in niche channels, regional languages, English language programs and news.

    The consensus puts everything – number, percentage, weekly and monthly ratings – on the platter for advertisers, agencies and broadcasters. So how is it any different from what existed?

    Explains a highly placed industry expert, “To be frank, even today, very few advertisers, broadcasters and planners understand how ratings work. And they worked according to whatever little knowledge or understanding they had. So, through this new agreement, the biggest change is that broadcasters will get the number of people who watch their channel and will help them do commerce better.”

    He goes on to elaborate with an example of a news channel which has limited audience. “Imagine if a news channel comes to know how many people watch the channel or a particular show through the four-week rolling average (as news channels have a lot of fluctuation) it will help them do sensible business. It will make the scenario robust. And remember in the case of a smaller targeted news channel or niche channel, advertisers would be more than willing to pay a premium for that audience, as it is extremely focused.”

    On the consensus AAAI ’s president, Arvind Sharma says, “We (advertisers and agencies) have always accommodated what broadcasters’ wanted. We are happy with the new system. However, for us to plan, sell, to find reach etc, weekly percentage is very important and will always be.”

    As per the agreement, TAM is scheduled to release the ratings for the previous three weeks tomorrow. However, for the other changes to come into effect, the ratings provider needs to update its software to be friendly to the new system.

    And, as for the cancellations sent by advertisers to the seven broadcasters, a formal withdrawal letter will be sent out by advertisers to the networks over the next few days.

    Another big development in the issue is that the three constituents have also agreed that TAM will make all future audience measurement changes based on inputs from the joint-industry BARC Technical Committee.

    On this Sharma adds, “The more important issue here is that now we have people on board who are technically more trained and have resources to help us with challenges we faced earlier. Even in the future, if there is any standoff, we already have a mechanism to help us.”

    TAM is also happy that a settlement has been reached as it was caught in the crossfire, almost like an innocent victim. “TAM is happy to receive a common brief from the three industry stakeholders (IBF, ISA and AAAI) and will work very closely with them to ensure its smooth roll out,” says the agency’s spokesperson.

    “All three bodies didn’t like the way TAM gave out ratings, but now we have a common ground for all so hopefully all will be well now,” says the media expert optimistically.

    However, one of the news broadcasters on the latest development says, “Nothing will solve the issue but BARC. BARC is the ultimate solution.”

  • “We hope to reach a mature solution on the TAM ratings issue” :MadisonWorld chairman & managing director Sam Balsara

    “We hope to reach a mature solution on the TAM ratings issue” :MadisonWorld chairman & managing director Sam Balsara

    There are two kinds of individuals out there. Those, who lead their lives on their own terms and others, who lead their lives according to the terms set by the rest of the world. And then there is Sam Balsara, who creates benchmarks for the rest through his feisty attitude!

    Rated as amongst the top media professionals in the world, MadisonWorld chairman & managing director Sam Balsara is no stranger to a challenging situation. He is known to speak his mind without mincing his words. The media vet has worn many hats in various industry associations and committees over his very long career, which began at Sarabhai’s in the late sixties, early seventies and ended with him setting up Madison 25 years ago.

    Here, in an exclusive interview, Balsara opens up on the heated issue of Broadcasters v/s TAM Media. Who else can give us a better perspective than the advertising genius himself. Sit back, read and enjoy his engaging responses from this free wheeling chat indiantelevision.com had with him.

    Excerpts:

    What is your take on Indian Broadcasting Foundation (IBF) members deciding to discontinue subscribing to TV ratings provider TAM?

    It is very clear ratings are very important not just for advertisers and agencies alone, but for the whole industry which includes broadcasters who have worked so hard to built the industry to Rs 12,000 crore. If there are no ratings the confidence in TV advertising will go down.

    Take a look at radio and out of home; they have no robust measurement system, hence they account for just five per cent of the media spends. Television does have a robust measurement systems and it accounts for a sizeable 45 per cent.

    You don’t have to throw the baby out with the bathwater. If there is something wrong, you fix it. We have to remember that the TV ratings that come out every week are a sample not a census. At times, if it does not do justice, you don’t shut it down. The long term solution is definitely BARC…till then we have to have TAM.
     

    But then how do you address the problems that the IBF and the government has with the ratings?

    Let the IBF put out a paper on what their view is on what is wrong with the ratings methodology and what needs fixing. We can give our view on what can be done or should be. The answer is not stopping a rating system.

    Why do you say that?

    Stopping a ratings system would hurt the broadcast leaders in their respective individual genres, they would lose their leadership perception and this would hurt them. I think it is a very unwise decision.

     


    Let the IBF put out a paper on what their view is on what is wrong with the ratings methodology and what needs fixing. We can give our view on what can be done or should be. The answer is not stopping a rating system.

    Let’s say the TAM meltdown continues and you don’t have ratings, is historical data a valid barometer for buying TV advertising time?

    Historical data around TV viewership is not an option and is unacceptable to the buyer. I would not work with historical data for buying. If I am buying IPL this year, why should I use last year’s data? Why should and how can I use historical data for how a serial is performing? We know that viewership habits move around.

    Then what is the solution?

    If there is something seriously wrong with TAM‘s data, methodology, we should sit together, highlight the problems, diagnose the imperfections and come up with answers. We need to give a patient hearing to each other as to why it’s going wrong too!

    I am aware that TV ratings have been going down because of the rejig of the sample, digitisation and also LC1. But every time you go for a change in a changing environment, the findings are also going to change.

    But the dropping ratings are hurting broadcasters and they are saying how is that possible when we are paying for the measurement?

    That brings us to the fundamental question: should media owners pay for the ratings system? Maybe you are right! Media owners should not be involved in media measurement. But the fact is that no media owner has found fault with the ratings system when they are at No 1.

    But Star India which is the leader in the GEC space is also likely to discontinue its TAM subscription…

    Hmmm. The only thing I have to say is that if there is no viewership data, the TV industry is going to suffer.

    Is making the advertiser/ad agency pay for the data a solution?

    As far as the advertising industry is concerned, we don’t really care who pays for the data, we are concerned that we get the data. We are absolutely certain that we need the ratings.
    I am aware that TV ratings have been going down because of the rejig of the sample, digitisation and also LC1. But every time you go for a change in a changing environment, the findings are also going to change.

    What if broadcasters continue to refuse to accept TAM as the currency and want to do transactions for TV adverts with agencies and advertisers?

    For a deal to take place, each seller has to make something available to the buyer and the latter has to see value in it to pay for it. Both parties have an objective and as long as it is met a deal happens. You see if Dove is priced at Rs 30, and you see merit in buying it you will pay for it, if you don’t, you won’t. Similarly with us, we need a measurement metric before we buy media.

    The IBF seems to be pushing the agenda on various fronts. For instance, in the case of net billings it was the IBF which had its way by forcing the advertising industry to accept net billings? Will it do so even in TAM’s case?

    There is no question of IBF having its way. The AAAI, ISA and the IBF found a mutually acceptable solution. Some of our full service advertising agency members wanted the 15 per cent mention to be in the bills and we got that in. It was a mature solution that met the needs of all concerned. We similarly hope to reach a mature solution on the TAM ratings situation too.
  • “We hope to reach a mature solution on the TAM ratings issue”

    “We hope to reach a mature solution on the TAM ratings issue”

    There are two kinds of individuals out there. Those, who lead their lives on their own terms and others, who lead their lives according to the terms set by the rest of the world. And then there is Sam Balsara, who creates benchmarks for the rest through his feisty attitude!

    Rated as amongst the top media professionals in the world, MadisonWorld chairman & managing director Sam Balsara is no stranger to a challenging situation. He is known to speak his mind without mincing his words. The media vet has worn many hats in various industry associations and committees over his very long career, which began at Sarabhai’s in the late sixties, early seventies and ended with him setting up Madison 25 years ago.

    Here, in an exclusive interview, Balsara opens up on the heated issue of Broadcasters v/s TAM Media. Who else can give us a better perspective than the advertising genius himself. Sit back, read and enjoy his engaging responses from this free wheeling chat indiantelevision.com had with him.

    Excerpts:

    What is your take on Indian Broadcasting Foundation (IBF) members deciding to discontinue subscribing to TV ratings provider TAM?

    It is very clear ratings are very important not just for advertisers and agencies alone, but for the whole industry which includes broadcasters who have worked so hard to built the industry to Rs 12,000 crore. If there are no ratings the confidence in TV advertising will go down.

    Take a look at radio and out of home; they have no robust measurement system, hence they account for just five per cent of the media spends. Television does have a robust measurement systems and it accounts for a sizeable 45 per cent.

    You don’t have to throw the baby out with the bathwater. If there is something wrong, you fix it. We have to remember that the TV ratings that come out every week are a sample not a census. At times, if it does not do justice, you don’t shut it down. The long term solution is definitely BARC…till then we have to have TAM.

    But then how do you address the problems that the IBF and the government has with the ratings?

    Let the IBF put out a paper on what their view is on what is wrong with the ratings methodology and what needs fixing. We can give our view on what can be done or should be. The answer is not stopping a rating system.

    Why do you say that?

    Stopping a ratings system would hurt the broadcast leaders in their respective individual genres, they would lose their leadership perception and this would hurt them. I think it is a very unwise decision.

    Let the IBF put out a paper on what their view is on what is wrong with the ratings methodology and what needs fixing. We can give our view on what can be done or should be. The answer is not stopping a rating system.

     
    Let’s say the TAM meltdown continues and you don’t have ratings, is historical data a valid barometer for buying TV advertising time?

    Historical data around TV viewership is not an option and is unacceptable to the buyer. I would not work with historical data for buying. If I am buying IPL this year, why should I use last year’s data? Why should and how can I use historical data for how a serial is performing? We know that viewership habits move around.

    Then what is the solution?

    If there is something seriously wrong with TAM’s data, methodology, we should sit together, highlight the problems, diagnose the imperfections and come up with answers. We need to give a patient hearing to each other as to why it’s going wrong too!

    I am aware that TV ratings have been going down because of the rejig of the sample, digitisation and also LC1. But every time you go for a change in a changing environment, the findings are also going to change.

     
    But the dropping ratings are hurting broadcasters and they are saying how is that possible when we are paying for the measurement?

    That brings us to the fundamental question: should media owners pay for the ratings system? Maybe you are right! Media owners should not be involved in media measurement. But the fact is that no media owner has found fault with the ratings system when they are at No 1.

    But Star India which is the leader in the GEC space is also likely to discontinue its TAM subscription…

    Hmmm. The only thing I have to say is that if there is no viewership data, the TV industry is going to suffer.

     
    Is making the advertiser/ad agency pay for the data a solution?

    As far as the advertising industry is concerned, we don’t really care who pays for the data, we are concerned that we get the data. We are absolutely certain that we need the ratings.

    I am aware that TV ratings have been going down because of the rejig of the sample, digitisation and also LC1. But every time you go for a change in a changing environment, the findings are also going to change.

     
    What if broadcasters continue to refuse to accept TAM as the currency and want to do transactions for TV adverts with agencies and advertisers?

    For a deal to take place, each seller has to make something available to the buyer and the latter has to see value in it to pay for it. Both parties have an objective and as long as it is met a deal happens. You see if Dove is priced at Rs 30, and you see merit in buying it you will pay for it, if you don’t, you won’t. Similarly with us, we need a measurement metric before we buy media.

     
    The IBF seems to be pushing the agenda on various fronts. For instance, in the case of net billings it was the IBF which had its way by forcing the advertising industry to accept net billings? Will it do so even in TAM’s case?

    There is no question of IBF having its way. The AAAI, ISA and the IBF found a mutually acceptable solution. Some of our full service advertising agency members wanted the 15 per cent mention to be in the bills and we got that in. It was a mature solution that met the needs of all concerned. We similarly hope to reach a mature solution on the TAM ratings situation too.

  • Advertisers rally around TAM; say TV ratings are imperative

    Advertisers rally around TAM; say TV ratings are imperative

    MUMBAI: It finally looks like the industry is rallying around TAM Media. First, the AAAI announced its support for TAM this morning. Now it is the turn of the Indian Society of Advertisers (ISA) which represents the interests of the marketing and advertising fraternity to do so.

    Bakhsi says: “Till the time we have BARC coming in, we need to continue to have TAM.”

    Speaking to indiantelevision.com, the ISA chairman media committee & HUL executive director Hemant Bakhsi emphasised that it is imperative that TAM continues with its TV ratings.

    He expounded: “TAM has been and is the currency which helps advertisers allocate their marketing expenditure better. While I agree that there is a need for a credible TV ratings system, we must remember that no measurement system is perfect. The industry has to work together to resolve the issues and move towards improved ratings. Till the time we have BARC coming in, we need to continue to have TAM. There cannot be a situation where we don‘t have ratings.”

    He pointed out that BARC is at a very early stage. “Yes we are putting together a very robust system under BARC which will be operational by next year at the timelines we have set for it. But we need TAM until that happens,” he emphasised.

    Bakshi said that he is very optimistic that the differences between IBF members and TAM – which have led to the former opting out of subscribing to its TV ratings service – will be sorted out. “Indeed things will get sorted. We will be working together to ensure they do,” he reaffirmed.

    To read the official release: Click here

  • TAM Media offers possible solution to broadcasters’ ratings woes

    TAM Media offers possible solution to broadcasters’ ratings woes

    MUMBAI: Even as the broadcast community gets ready to put the lights out on India‘s TV ratings, TAM Media CEO LV Krishnan has suggested that he is open to another conversation with the industry. He says that he is open to pulling out the people meters from LC1 markets and deploying them elsewhere where they are needed.

    TAM Media CEO LV Krishnan would like to sort out any confusion about the ratings.

    Krishnan agrees that reportage of the LC1 markets is pulling down the average TV ratings for broadcasters, but the broadcasters should have seen that coming before the data started emerging. He, however, says TAM is open to stepping back even if it is a retrograde step.

    “Let us all come to the table and sort out any confusion that has arisen,” says Krishnan. “If everyone wants TAM to pull out of LC1 markets – that is the IBF, the ISA and the AAAI – we will do whatsoever is in the interests of the industry and ratings. But someone has to answer the government which has been insisting that we expand our footprint.”

    Will the IBF, ISA and AAAI take up his offer?

  • IBF tells members to postpone net billing dispatch to agencies by a week

    MUMBAI: Advertising and media agencies in India have got a breather on the net billing issue. Even as the Indian Broadcasting Foundation (IBF) announced that its members would move towards net billing for advertising carried on TV channels from the first billing cycle in April, it followed it up with another circular dated 15 April asking them to “delay the generation and dispatch of bills on a net basis by a week in order to facilitate the discussion between the sub group of the IBF and the Advertising Agencies Association of India (AAAI) which is seeking to find a solution to the issue.”

    Members of the IBF are grappling with notices served on them by the income tax authorities for non-payment of TDS on the 15 per cent agency commission, which shows up in the gross bills they present to media agencies. The IBF had therefore decided to move to a net billing system without the agency commission being displayed in the bills.

    With another week in the bag, the IBF, AAAI and Indian Society of Advertisers (ISA) are planning to have a joint meeting in the coming days to plan their course of action and come up with solutions which work for all the three bodies.

    One of the measures being considered is a joint representation to the finance ministry on the issue once a common strategy is developed. KPMG and E&Y have been roped in to give their opinion and on the way forward.

  • BARC to set the tone for single TV measurement system

    BARC to set the tone for single TV measurement system

    Developing a new television audience rating system is a long, arduous and costly process. It has required as a prerequisite that the three major stakeholders – IBF, AAAI and ISA come together under one umbrella (BARC) and agree on a process acceptable to all three parties to ensure this major initiative is accepted by all stakeholders. The industry expects to be well along in implementing this new measurement system by the end of 2013.

    The goal of BARC is to bring about transparency in the measurement system, greater accuracy while maintaining cost efficiencies and more checks and balances by separating responsibilities in the measurement process as well as countering fraud through rigorous ground monitoring. The industry recognises that no sampling technique can be 100 per cent accurate but seeks to reduce the sampling error and overcome to the extent possible the laws of small samples.

    The first step in the process is to create a transparent establishment study from which the universe can be projected that will be owned by BARC and available to all stakeholders. To this end, an RFI has been issued and based on the responses, an RFP will follow. Once a firm is selected, approximate 350,000 to 450,000 households on a nationwide basis will participate in an extensive survey that will take 6 – 8 months to complete.

    The establishment survey will form the base for the required number of measurement homes which are likely to exceed 25,000 nationwide. Once the number is finalised, new RFPs will be issued to select a vendor for the measurement system, and vendors for data collection and analysis and reporting. Breaking apart these tasks amongst different vendors is expected to bring greater accountability and transparency and build the most robust audience measurement system in the world. Ongoing ground monitoring will ensure that the system is not compromised over time.

    Given the expense of setting up the system, the time required and the fact that all stakeholders buy into ‘BARC’, the industry expects the BARC measurement system will become the single measurement system in India. This is typical of worldwide audience measurement where generally a given market has only one accepted measurement currency.

  • TAM to release news channels’ data from 9 January

    MUMBAI: Viewership data for individual news channels from 7 October 2012 will be available on 9 January when TAM Media Research, the television ratings service provider, begins releasing ratings data as it used to before digitisation in the four metros.

    The decision was made Monday as the industry bodies – Advertising Agencies Association of India (AAAI), the Indian Society of Advertisers (ISA) and the Indian Broadcasting Foundation (IBF) – came to an agreement on this. Earlier, as reported in Indiantelevision.com, the News Broadcasters Association (NBA) had agreed for a release of TAM data on viewership of their individual channels for the suspended period from 7 October on 9 January.

    Meanwhile, TAM today released data for weeks 41-50 but without individual ratings for news channels. The news genre viewership data was clubbed with the ‘Others‘ category, which includes genres like shopping and religious.

    TAM will release data for week 51 on 27 December and for week 52 on 3 January, again without ratings for individual news channels. The news genre will continue to come under the ‘Others‘ category till 9 October.

    TAM had suspended data release from 7 October as was agreed by IBF, AAAI and ISA, as digitisation was under way in the metros of Mumbai, Delhi, Kolkatta and Chennai.

    TAM had to delay release of ratings data for the suspended period on 19 December on a request from the Information and Broadcasting Ministry and the NBA, in concurrence with IBF, AAAI and ISA. NBA wanted temporary suppression of viewership data for individual news channels.

    The decision by TAM to release ratings for individual news channels on 9 January is in accordance with the decision of the News Broadcasters Association (NBA) on Friday.

    TAM said the suppression of ratings data on news channels “is purely a temporary request from the industry.” The retrospective data for the period (weeks 41-52), for all the news channels, will be de-suppressed and released normally (individually) on 9 January with the data release of week 1 of the year 2013.

    TAM has released data for weeks 41-52 for digital homes in the three cities of Mumbai, Delhi and Kolkata, where digitisation has nearly happened. Chennai, which was the fourth city mandated to have gone digital from 1 November, is not included. Digitisation in Chennai, according to a TAM survey, is stuck at around 26 per cent, with the Madras High Court hearing a petition by cable operators against digitisation.

  • Govt pushes TAM to defer release of TV ratings data

    MUMBAI: The industry will have to wait longer to get to know how audiences watched television for the last nine weeks in a digitised environment. TAM Media Research will not release the data today following the request of the Information and Broadcasting Ministry.

    The decision to defer the data release was taken in concurrence with the Indian Broadcasting Foundation (IBF), Advertising Agencies Association of India (AAAI) and Indian Society of Advertisers (ISA).

    TAM said in a statement that the delay is for a couple of days. The three industry bodies, however, will meet with the I&B Ministry to take a final call.

    The News Broadcasters Association (NBA) particularly feels that the data of the news genre during these nine weeks should be kept dark.

    “At the request of I&B Ministry, Government of India, and in concurrence with IBF, AAAI and ISA, we are delaying the data release to Thursday/Friday. The reason for doing so is that the Govt. of India has requested us to withhold release of news channels data by two or three days. The industry is meeting with the ministry to take a decision,” TAM said.

    The fate of the data release will only be known after the I&B Ministry and the three industry bodies meet.

  • Sports least affected by TAM data suspension, say experts

    MUMBAI: The suspension of TAM data for nine weeks till 8 December will not have much bearing on the way advertisement deals are done, at least as far as sports broadcasters are concerned, according to industry officials.

    The reason why sports broadcasters would go unscathed is due to the fact that ratings for cricket properties are less static with the exception of big ticket events where ratings can change dramatically like ICC Cricket World Cup or an India-Pakistan match. The unavailability of viewership ratings data will not change the decision-making process of advertisers as they also have historical data at their disposal.

    Cricket has a strong pull particularly among males and youth which forms a bulk of the viewership and is a critical target audience for most advertisers.

    TAM had decided to stop reporting weekly viewership data for a nine-week period beginning 7 October till 8 December following an agreement between Indian Broadcasting Foundation (IBF), Advertisers Agencies Association of India (AAAI) and Indian Society of Advertisers (ISA) in order to avoid discrepancies in viewership data which would have arisen due to transition from analogue to digital cable.

    According to a top executive from a leading media buying agency, the decision to suspend viewership data for an interim period will not impact cricket.

    ESPN Software India executive vice president-sales Sanjay Kailash said, “Cricket ratings according to me have been static and there is not much room for error. For advertisers, cricket offers a very involved audience. They also look at engagement, impact and reach.”

    The only big ticket cricket property that falls during the period viewership data will not be available is the first three test matches of the India-England series comprising four Tests, five ODIs and two T20 matches.

    “The suspension of TAM data shouldn’t affect cricket as we have past data to look up to and make decisions. Ratings for cricket don’t change dramatically unless it is an India versus Pakistan series or a ICC Cricket World Cup. It also depends on who wants it more. Whether it’s the broadcaster or the advertisers will depend on the demand and supply issue,” the media buying executive who did not wanted to be named said.

    The executive also explained that cricket buying is not just about ratings and there are other parameters that they look into while buying cricketing properties.

    Very few clients advertise on cricket based only on ratings. In fact, many advertisers invest in cricket without ratings. While ratings is one of the factors, advertisers also look at other things like brand affinity, cumulative reach and impact. Cricket is a high-impact programme.

    Zeel chief sales officer Ashish Sehgal said, “I don’t think sports will be impacted much because unlike GECs where deals are done on the basis of CPRP (Cost per rating programme) cricket is not just sold on the basis of CPRP. The unavailability of data will impact planning process. It is a function of demand, supply and ratings.”

    Adds ESPN’s Kailash, “As far as we are concerned, we have not been impacted (due to suspension of data). We will not re-work any deals.”

    Though ad sales for sports properties particularly cricket will not be affected, advertisers are not too happy with the situation as their planning has got affected with the suspension of viewership ratings. The decision to suspend viewership ratings was that of the broadcasters.

    The advertising fraternity supported the “unilateral” move after a lot of heated discussions. “We supported this because we felt there was a genuine need since the four metros are moving towards digitisation. But this decision has come at a time when the festive season is around,” the media agency executive said.