TV Braces for DVR Ratings

[SOURCE: Broadcasting&Cable, AUTHOR: Anne Becker]
Beginning December 26, Nielsen will report three separate data streams: 1) “live” -- viewing excluding any DVR playback; 2) “live plus same day” -- live viewers and those who played back programs on a DVR within one day of their initial airing; and 3) “live plus seven” -- live viewers and those who played back programs on a DVR within a week of their initial airing. Changes in Nielsen ratings, the basis upon which networks and advertisers negotiate the value of ads, threaten to drastically alter how advertising deals are structured. Many ad buyers, not surprisingly, don't like the new streams and say they won't include DVR viewers in deals they make during next spring’s upfront; more viewers mean more money that advertisers could be asked to shell out. Viewers often use DVRs because the devices allow them to skip through ads, and buyers don't want to pay for viewers who aren't going to watch their spots. DVR viewers skip through as much as 90% of ads, according to research from Magna Global USA, Interpublic’s media-buying unit. In making these changes, Nielsen is responding to a long-voiced industry desire for more-accurate measurement of how many people are watching TV. DVRs have been around for almost a decade, and networks and advertisers still do not take into account viewers who record programs on the devices. Only about 7% of U.S. TV homes have DVRs now, according to Nielsen. But that percentage could jump to 37% by 2010, according to Forrester research.
http://www.broadcastingcable.com/article/CA6288758?display=Advertising&r...
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