

You needn't look far to see this website has zero respect for the methodology of Nielsen, the audience measurement giant whose television ratings decide where billions of advertising dollars get spent. Employing household panels who volunteer to have their viewing habits tracked (in exchange for a small fee), Nielsen relies on Americans to report back to the company what they watched; Nielsen then expands that sample data to tell media buying agencies and network executives how many people across America tuned in to their show. Nielsen's entire measurement panel includes just 14,000 households; in 2000, the U.S. Census Bureau clocked 105,480,101 households in America. That means Nielsen uses just 0.0132 percent of the population to determine this nation's viewing habits.
The whole thing is flawed.
Young people, especially college students, go under-counted. Same for minorities. Entire urban markets may be represented by a frighteningly small number of homes. And the whole phenomenon of recording TV and watching it later? Nielsen has a frail and inadequate solution for measuring DVR viewership.
And yet, Nielsen represents its data as accurate, continues peddling it to anyone who will listen (read: everyone), and thus has more power than even the TV studios in deciding which shows get canceled because they don't pull in enough viewers. You can imagine Brooke Shields' frustration with this whole charade.
And now, finally, a television network with the balls to say something about Nielsen's crapshoot analysis is … saying something.

Reports MediaPost:
The chief research executive for one of the fastest growing digital tier networks - Current TV - Wednesday made an impassioned plea to a group of top industry executives to help solve a vexing bias in the way TV households are sampled that handicaps smaller and emerging channels. The plea, made by Current TV Vice President Research Theresa Falcon in a joint presentation with EVADConsulting President Frank Foster during a meeting of MPG's Collaborative Alliance in New York, sparked a debate among several leading TV ratings developers in the room, but TV ratings giant Nielsen was conspicuously absent.
The plea followed the presentation of an analysis by Foster showing that smaller cable networks must reach disproportionately more of Nielsen's panel households to generate comparable ratings. Foster implied this was due to a methodological glitch, and the fact that Nielsen's total national sample of about 14,000 households is not nearly large enough to accurately represent smaller TV outlets as the medium continues to fragment.
"The drops in viewing can be precipitous," Foster said of the impact on smaller channels, and noted that it would become even more exacerbated in February 2009, when the federally mandated transition to digital broadcast spectrum occurs and many local broadcasters begin multicasting as many as six niche channels in their markets, fragmenting the ratings pie exponentially and putting an acute strain on Nielsen's sample households.
And how does this play out?
Current's Falcon offered a glimpse of that future yet to come, revealing her own frustration after subscribing to Nielsen's preliminary ratings for Current TV over the past couple of years, which she implied still is far from ready for prime-time.
"We noticed a lot of challenges with the numbers," she said. "There were crazy swings in household and demographic numbers in regards to concentration - really high highs and really low lows month-to-month."
She implied the dramatic fluctuations were due not to actual shifts in audience viewing patterns, but to instability in Nielsen's ratings methodology and the tiny base it uses to project national TV audiences.
So what's the solution? The one we've always been aiming for: Start measuring viewing habits directly. Most homes have at least one cable box, a technology that's already capable of displaying on-screen guides, HD programming, and digital recording. Why not add in anonymous viewership tracking? (Nielsen competitors like TNS are doing just this.) Nielsen's insignificant sample pool of 14,000 then explodes to tens of millions, providing a much clearer picture of who's watching what.
Fine, privacy advocates can scream "fire," but in exchange for the Time Warners and Cox Communications of the world keeping a blind eye on their customers' viewing habits, shows like Arrested Development might still be around while Knight Rider could finally be sent off to a farm to die and 30 Rock wouldn't be teetering on the brink. And those ads that TV networks force you to watch? Perhaps they could actually be better targeted and relevant.
Throw in some household demographic data tied to your anonymous ID — so they known whether NCIS is more popular among the 15- or 65-year-old set — and it's an advertiser's wet dream. More importantly for people like us, it's a viewer's wet dream.
So kudos to Current, for saying what few other networks — who fear Nielsen could get retribution by reporting a sharp decline in their viewers — will.
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Three people and a cross eyed cat watch Al Bores network.
Who gives a shit what his opinion is.
CurrentTv is awesome. Then again, I do happen to be a cross-eyed cat.
Yeah I'd much rather listen to a jerk who has some outdated stereo type for a handle.
Current TV is cool.
How kind of you lisano.1, but Hippiesmell.. it's clearly not about what al gore thinks or.his network. C'mon, are you serious? It's about a more true representation of viewership (c'mon man). The hard part would be demo data - as that's less than anonymous and would require specific input from the viewer, but if nielson can get "volunteers" so too could the cable operators at a minimum for a nominal discount on subscriptions which would more than be offset by the value of the reporting obtained. I've long since said, if they can cut my box, not my building's service, but MY box if I don't pay, they can then peek at what my viewing habits are - or would be silly not to have built that in or at least have that by incidence. It just makes sense to utilize that opportunity to it's fullest degree to keep the crap on "we" want and drop the crap "we" don't. This makes (and has made) perfect sense. Let's do it… Nielson, you should partner with all providers to get ahead of your own falter and own a piece this… although it would - and I'm sure this is the dreadful fear of Nielson and its proponents - highlight the inconsistency of your methodology for all these years, or if you're confident - which you're obviously not - bolster your findings/methods…
Let's see what happens
I love you for this post.
I've always thought this method was totally wired and geared for white, straight families and not an accurate sample of America.
Equal time for those of us who do not fit this mold!
Finally, TV execs are waking up.
Current tv is great, channel 254 here in Boston!
Their website is rockin' too!
Milkfat.com is hilarious!
RIP Arrested Development. I'm forever in love with Jeffrey Tambor's tone of voice.
The technology to look at aggregated click data is quite new and not all of it is oriented to give targeted ratings. You have companies like Axel-Springer and Rentrak, which know how to look at the click data, but they can't break it down to demographic. Then you have companies that provide demographics, like Experian or Axciom, but they don't have click data. (Privacy advocates can say all they want, but the data exists, and for the right price, anyone can purchase it.)
In other words, if you have 4 people living in a household, how can you know who is watching any particular program?
We've recently developed (and patented) some very interesting technology that can break down a household into individuals and provide much more accurate targeted ratings. For starters, it's not a "sample", but the actual data, as you propose here. It will take a while before this is widely deployed, but obviously, everyone in the industry has an interest in seeing this kind of thing succeed.