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Nielsen Bows out of PPM Measurement

Nielsen announced today that it will not go into business with Arbitron to deploy the PPM (portable people meter, which automatically registers radio and TV signals within a given range of the subject), choosing to take a “portfolio” approach to TV ratings. That approach will be a combination of its LPMs (local people meters, which viewers have to log in to) with DVR data and the expansion of its national sample to include out-of-home viewing by college students.

Nielsen has, however, talked to Arbitron about licensing the PPM technology to add to its portfolio to measure out-of-home television viewing, reports Broadcasting & Cable.  Arbitron has said that the split will allow the company to focus the PPM on radio ratings - its original, primary function. Said Arbitron spokesperson Thom Mocarsky, “The original vision was to build a system with PPM that does both radio and TV. We can now go forward and deploy PPM at the pace that radio wants and just for radio.”

In a letter to clients, Nielsen said that the company believes that television will change more in the next five years than it did in the previous 50. Digitization, time-shifting, internet video, mobile media, interactive TV, and home networking will all have a profound impact on the way that TV is consumed and therefore on the way that it is measured.

Nielsen’s decision will not affect ProjectApollo.