New York attorney general to sue Arbitron over radio-ratings system

By Chad Bray
The Wall Street Journal
(October 6, 2008) New York Attorney General Andrew Cuomo said he intends to sue Arbitron Inc. over the planned rollout of a new electronic radio-ratings system in New York, saying it may drastically reduce advertising revenue at minority radio stations.

In a letter dated Thursday, Mr. Cuomo's office indicated that it intends to begin litigation against the New York media and marketing company over its Portable People Meter system, or PPM. Arbitron has until Tuesday to show why a suit shouldn't be initiated.

"The PPM methodology Arbitron intends to use beginning on Oct. 8 in New York has not been accredited by the Media Rating Council Inc., the primary accrediting agency for ratings services in the United States, and appears to contain design flaws that will disproportionately impact minority communities, broadcasters, and businesses," Alphonso David, deputy bureau chief of Cuomo's Civil Rights Bureau, said in the letter.

The PPM system uses an electronic measurement system, as opposed to paper and pencil diaries kept by listeners, to calculate which radio stations people listen to and for how long. The system is in use in Philadelphia and Houston and is being rolled out to eight other radio markets, including New York City, Long Island and parts of New Jersey this month.

The New York attorney general's office said the new methodology doesn't appear to adequately represent young African-American and Hispanic listeners, nor does it appropriately account for cellphone-only households, which affects the representation of young and minority listeners.

In a statement, Arbitron said it was "disappointed" by Mr. Cuomo's intention to pursue litigation over PPM, saying it is supported by "a majority of the radio industry."

"We intend to vigorously defend the company and its interests," Arbitron said. "We also fear that the radio industry will suffer continued harm and be placed at a competitive disadvantage if PPM is delayed further."


Go to Target Market News homepage

 

 4 Days for $50 Discount ! 



  ORDER THE WORKBOOK!  

 

 SEE WHAT YOU MISSED



Review Presentations From:
Arbitron
GlobalHue
Hunter-Miller Group
Nia Enterprises
Radio One
R. L. Polk
Starcom MediaVest
U.S. Census Bureau
Yankelovich
...and others!

Click here to order the 2008
MAAX Summit Workbook

_________________________________________________________________________________________

The African-American
Book Publishing Authority

Now in its ninth year of publication, Black Issues Book Review is the only nationally distributed magazine devoted exclusively to covering the latest news and reviews on black books. BIBR also provides up-to-date news on forthcoming author signings, book fairs and book clubs.
Want this issue? Get it with your new subscription.
Click Here

A TARGET MARKET NEWS PUBLICATION
_________________________