Forrester Research To Study Portable People Meter Economic Impact.

A special committee of the Radio Advertising Bureau’s (RAB) Portable People Meter (PPM) Task Force has selected Forrester Research Inc. to conduct the PPM Economic Impact Study. The study is funded by Arbitron and will examine the economic impact of PPM electronic measurement on the Radio business, as well as assess the possible consequences of not moving forward with electronic measurement.

The study will explore how implementing the PPM system as the basis for audience ratings might affect Radio, including the medium’s share of total ad revenue; how Radio sells, programs and promotes itself; and the possible fallout to Radio if the industry does not advance to electronic measurement. David Pearlman, President, Pearlman Advisors, will coordinate the project with oversight provided by the RAB.

“The study will provide clarity on the economic effects of the PPM by examining both the risks and opportunities of electronic measurement on the Radio business,” noted Gary Fries, President and Chief Executive Officer, RAB. “The study will also analyze the consequences of transitioning and of not transitioning to the PPM from the paper diary system. This will enable Radio to make an informed decision and prepare us for the future. I commend Arbitron for its commitment and follow-through in funding this study.”

“The study is designed to help the Radio industry, and Arbitron, by exploring the benefits and challenges that electronic measurement may bring to the day-to-day business of Radio,” Pearlman stated. “The study will help insure that any transition from a purely paper-based diary system that Arbitron and the industry makes will be fair, reliable, and smooth.”