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Press Releases

For Immediate Release

May 03, 2007

Contact Information

National Association of Black Owned
Broadcasters, Inc.
(202) 463-8970
http://www.nabob.org

NABOB SAYS ARBITRON PHILADELPHIA PPM METHODOLOGY NEEDS IMPROVEMENT

( May 3, 2007) The National Association of Black Owned Broadcasters, Inc. says that the first Arbitron PPM data from Philadelphia raises serious questions about the PPM methodology and how that data should be interpreted and used. NABOB noted that, although the data reinforced the value of African American targeted radio as the best way to reach the African American consumer, the data reported questionable results regarding total African American average quarter hour (AQH) listening. On the positive side, the Philadelphia PPM results show:

•African Americans have the highest time spent listening of all consumer segments.

•Stations targeting the African American consumer are still the only efficient way to adequately reach that consumer.

•Listeners to stations targeting African American consumers have the highest level of loyalty of all formats.

In spite of the positive returns in the Philadelphia PPM report about some aspects of African American radio listening, for most stations, PPM AQH listening levels are lower than the diary data that Arbitron has historically developed. Arbitron asserts that, under the new PPM electronic measurement service, advertisers and agencies will need to change the way they interpret and use the PPM data when buying radio airtime. However, preliminary reports from NABOB members indicate that media buyers, who often only look at AQH rankings, have not changed the way they buy radio airtime.

The newly released PPM data reports lower AQH rankings for stations targeting the African American consumer in Philadelphia, and NABOB says this is because of deficiencies in the PPM methodology, which deficiencies include, the recruitment, composition and administration of the sample panel, the attribution of sporadic exposure, and the absence of a metric that reflects listener engagement.

“Several of our members have met with Arbitron during the past two years to suggest revisions to the PPM methodology, but Arbitron has been slow to consider any revisions,” said Jim Winston, Executive Director of NABOB. “NABOB as an organization recently met with Arbitron to address this issue, and Arbitron appears to be taking the issues we have raised more seriously. We will be working with Arbitron to review the PPM methodology to determine how it can be improved,” added Winston. “We believe that before the PPM data can be properly used for the buying and selling of radio airtime, Arbitron needs to refine the PPM methodology and educate advertisers on how to interpret and use the data,” Winston concluded.

PPM is an electronic measurement technology that will allow Arbitron to measure radio listening by providing a device to be worn by a panel of study participants. PPM is now being used by Arbitron in Philadelphia and Houston, and Arbitron will begin using PPM in New York later this year.

NABOB is the only trade association representing the interests of African American owners of radio and television stations across the country. The association was organized in 1976 by African American broadcasters who desired to establish a voice and a viable presence in the industry to address specific concerns facing African American broadcasters.


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