Connect with us
BSM Summit
blank

Sports TV News

Study Estimates Nielsen Undercounting Out-Of-Home Viewership Cost Networks $350 Million

“We now know that error is tracking towards 60 billion lost TV impressions and $700 million worth of TV ads that marketers couldn’t buy.”  

Avatar photo

Published

on

blank

In December, marketing research firm Nielsen admitted that it had been undercounting “out-of-home” audiences for national TV programming since monitoring that viewership in September 2020.

Nearly a month later, how much money Nielsen’s error cost TV networks in advertising revenue has been estimated by a different research firm. According to the Video Advertising Bureau (as reported by TheWrap), which represents the major TV networks for advertisers, $700 million worth of unsold ad time was lost because of Nielsen.

That number is based on 60 billion lost TV impressions, according to VAB’s research and a task force the firm hired to examine the out-of-home data Nielsen said it undercounted over a 16-month span.

During an eight-month period that from May to December 2021, VAB’s study determined that Nielsen didn’t count nearly 30 billion ad impressions. That resulted in more than $350 million in advertising that networks couldn’t sell.

You can view the VAB report here.

“The only thing worse than Nielsen’s admitted error of 65 consecutive weeks of undercounting TV viewing was their claim of ‘no impact to minimal impact’ from that blunder,“ said VAB president and CEO Sean Cunningham (via Broadcasting + Cable).

“We now know that error is tracking towards 60 billion lost TV impressions and $700 million worth of TV ads that marketers couldn’t buy because of Nielsen’s second admitted case of 2020-2021 pervasive undercounting.”  

Nielsen stood by its previous assessment that its error had little effect on TV networks’ revenue.

“We reviewed the information shared by the VAB today,” Nielsen said in a statement to TheWrap, “and while we acknowledge the understatement in a portion of our National out-of-home audiences, we stand by our prior statements that the magnitude of the issue was very small for the majority of telecasts.”

Those findings likely won’t appease TV network executives who were already unhappy with Nielsen for delaying its rollout of out-of-home viewership measure. Nielsen cited the COVID-19 pandemic as the reason for the delay, but it looks more apparent that Nielsen knew it wasn’t ready to count out-of-home numbers properly.

Last August, Discovery president and CEO David Zaslav publicly criticized Nielsen in an investor call.

“I don’t have a lot of hope for Nielsen,” Zaslav said, according to the New York Times. “I think somehow, as an industry, we’re just going to have to work our way out of it from a technology perspective and leave them in the dust.”

VAB’s study quantifying a $700 million loss in ad revenue is sure to increase such a sentiment.

Sports TV News

Don Mattingly Joining Blue Jays Staff After YES Network Courtship

The former Dodgers and Marlins manager had been mentioned as a someone YES Network was interested in potentially hiring to be an analyst.

Jordan Bondurant

Published

on

YES Network

The New York Yankees regional sports network can take Don Mattingly off its talent wish list. Mattingly was announced Wednesday as a bench coach for the Toronto Blue Jays starting in 2023.

The former Dodgers and Marlins manager had been mentioned as a someone YES Network was interested in potentially hiring to be an analyst.

But Mattingly told Andrew Marchand of The New York Post this week that he had another opportunity in the works but wouldn’t elaborate.

YES also has been considering luring Yankees legend and Hall of Famer Derek Jeter into broadcasting. But no formal talks have taken place.

Continue Reading

Sports TV News

ESPN Paying Nearly $45 Billion For Rights Fees Through 2027

Currently, the network’s largest spending comes for its Monday Night Football package, which is $2.6 billion annually

Jordan Bondurant

Published

on

blank

The last year or two has been evident that the price of rights to airing major college and professional sporting events on television are only going up. But the various networks either with longstanding relationships with leagues and conferences or looking to break into the media rights landscape are willing to pay up. That’s no more evident with Disney, which will be shelling out tens of billions of dollars to have regular season and postseason events air on ESPN.

According to Sportico, which reviewed Disney’s annual filing with the Securities and Exchange Commission, ESPN is set to spend $44.9 billion on sports media rights through 2027.

Currently, the network’s largest spending comes for its Monday Night Football package, which is $2.6 billion annually. Additionally, ESPN will pay $1.4 billion through the 2024-25 season for NBA rights.

The Sportico report noted ESPN will generate more than $8.1 billion in affiliate revenue to help offset those costs. The network will soon be entering talks to renew its media rights deal to be the exclusive home for nearly all NCAA Division I championships, as well as engaging in new NBA rights negotiations.

Continue Reading

Sports TV News

Return of Bob Iger Puts Pac-12 ‘Not Exactly In A Great Place’

“I think it’s even more evident it’s not gonna happen. These places aren’t gonna spend big money on the Pac-12.”

blank

Published

on

Pac 12

The Pac-12 is currently in a media rights negotiation with partners for its next TV deal after the departure of USC and UCLA. The conference has remained committed to the stance that it feels it can match the dollar amount given to the Big 12 from FOX and ESPN. However, Andrew Marchand of The New York Post isn’t so confident.

During The Marchand and Ourand Sports Media Podcast, Marchand said the recent return of Bob Iger as Disney CEO, coupled with recent layoffs from Amazon, could spell bad news for the PAC 12’s quest to match what the Big 12 received.

“Do I still think they can get the same number as the Big 12? I do, but you start thinking about where this is going and that’s not exactly a great place to be if you’re the Pac-12. They might get the number, but the idea that they’ll get a lot more than the Big 12 — which I’ve already said is not gonna happen — I think it’s even more evident it’s not gonna happen. These places aren’t gonna spend big money on the Pac-12…I think there’s some rough waters out in the Pacific.”

Marchand said if the University of California Board of Regents won’t allow UCLA to join the Big Ten as expected, the conference would then set its sights on Washington and Oregon, which would continue to decimate the Pac-12.

Continue Reading
Advertisement blank
Advertisement blank

Barrett Media Writers

Copyright © 2022 Barrett Media.