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Two Senators express concerns about Arbitron's plans for PPM rollout

From Radio Ink

(September 19, 2008) Sens. Daniel Inouye (D-HI) and Patrick Leahy (D-VT) have written to Arbitron Chairman/President/CEO Steve Morris to express their concern about Arbitron's plan to expand the commercialization of the Portable People Meter. They write, "We encourage you to take all steps available, prior to rolling out the PPM system in additional markets, to ensure that the system accurately measures the listening behavior in a market and no station is unfairly harmed."

Inouye and Leahy say that diversity in ownership is a "core tenet of broadcast policy" and that "recent federal and state proceedings have raised the specter that the PPM system may have an adverse impact on media diversity." They cite the FCC Advisory Committee on Diversity's and PPM Coalition's requests that the FCC open an investigation into the PPM methodology, and the investigations of the PPM opened by New York Attorney General Andrew Cuomo and New Jersey Attorney General Anne Milgram.

With the PPM rolling out in eight additional markets, including New York and Los Angeles, the Senators say that "it is vital that the use of any new survey methodology be accurate and fair prior to commercialization."

They note that the PPM is accredited by the Media Rating Council in Houston, saying that accreditation "helped to assuage many of the concerns raised by broadcasters." The letter continues, "If the methodology used in the unaccredited markets is underreporting listenership in certain urban or Hispanic-oriented programming, thereby distorting the market, it will harm the important broadcast policy of diversity."

Inouye and Leahy write to Morris that, in light of the potential harm to diversity, "we strongly encourage you to continue working with the MRC toward accreditation in all markets in which Arbitron plans to commercialize PPM as the sole ratings method."

The Senators add that the MRC Voluntary Code of Conduct discourages discontinuing an accredited method, like the diary, until its replacement is accredited. They conclude, "We ask that you please provide us with an explanation of your decision to use a different methodology in Houston than other markets in which Arbitron intends to roll out PPMS. Please also continue to update us to Arbitron's plans to commercialize the PPM systme and the status of the federal and state proceedings."


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