Overhaul needed in the current measurement system
As broadcasters seek solutions to ameliorate the current measurement system, the onus is now on the Broadcast Audience Research Council (BARC) to initiate the required structural reforms at the earliest.Failing to respond appropriately at this point would not only result in a complete loss of faith in the current measurement system but will also grievously impact the broadcast industry as a whole.
The recent arrest of Partho Dasgupta, the former CEO of TV ratings agency, in connection with the TRP scam case has further tarnished the veracity of the viewership data released previously. This has raised serious concerns for advertisers whose high-spending practices are determined by BARC data.
Needless to say, this is only just another brick in the wall. There are numerous other underlying issues that concern the measurement system. To begin with, high-granularity, high-frequency ratings have a corrosive effect on content. Pressured by the ebbs and flows in viewership, various broadcasters have often resorted to sensationalism and improbable hyperbole to retain their audiences. Plus, while BARC offers highly granular measurement, actual trading hardly ever uses it. Large proportions of inventory, even in huge sports and entertainment platforms, are sold on an ROS or RODP basis. This is perhaps the worst outcome from the commoditisation of inventories which has reduced them to common ‘CPRP benchmarks’ for ‘buying audiences’.
What’s more is that, BARC’s initial promise was to enable broadcasters improve monetisation of advertising inventories. In particular, this was expected to be achieved through an industry-wide switch in pricing from CPRP to CPT. Even this has failed to materialise over five years into the new measurement regime.
A look back & forth
2020 has certainly been an eventful year for the broadcast industry. From COVID-19 upending all assumptions of business-as-usual, to viewership numbers reaching a historic juncture during lockdown, followed by a TRP misconduct to top it all off – the industry has seen the best and worst of times this year.
Now, as the year draws to a close, the industry has once again found itself in a quagmire. While various broadcasters agree that ad dollars are dependent on a number of factors that go beyond rating points, such as perception, channel legacy, credibility repute, etc.; news channels are gradually starting to see the severe implications of the BARC Data Blackout.
The blackout has made it difficult to manage certain categories who consider the rating benchmark critical to their advertising campaigns. Plus, due to the absence of any criterion or indicator to measure the popularity of news channels – advertisers & media planners have been relying on preview equity and other reasonable assumptions to make investments. Ultimately, that can only last for so long.
Time for a reboot
It has been a while since BARC India has been facing uncertainty over its future course of action. It is time for the agency and its leaders to rise above the operational issues and start filling the gaps which are creating roadblocks to growth in the broadcast industry.
Considering the many challenges associated with the current system, as well as the possible solutions brought to light by many industry experts – it is high time that BARC India comes out to assure the industry of its future during these testing times.
Send Your Press Notes & Official Updates
mailus@audiencereports.com
