In a recent memo sent to executives at major ad-buying agencies, Paramount Global’s president of ad sales, John Halley, addressed the impact of a new product update by Nielsen on the ratings data for shows like “60 Minutes” and “Yellowstone” on Paramount-owned TV networks. The decision to not renew the deal with Nielsen was made due to pricing increases and the availability of other measurement technology, leading to a change in how Paramount ratings data will be accessed and understood by advertisers.
Halley assured that Paramount will continue to provide Nielsen with the necessary information to accurately measure viewership, including live events. However, Nielsen will be suppressing access to this data, affecting the value and utility of their Nielsen data and tools. Despite this, Nielsen stated that Paramount data will still be available to clients, albeit in a different manner than before.
The shift in measurement methods has led Paramount to rely on data from VideoAmp, a competitor to Nielsen, to track audience numbers across their media assets. There have been discrepancies between VideoAmp’s audience measurements for shows like “Yellowstone” and Nielsen’s tabulations, raising questions about the accuracy of Nielsen’s measurements in capturing diverse audience behaviors.
The issue stems from the evolving TV landscape, where audiences are increasingly consuming content through streaming and on-demand platforms, making it challenging for traditional measurement methods to accurately track viewership. As TV networks adapt to these changes, industry standards for audience measurement are also evolving, with the support of organizations like the Media Rating Council.
Amidst these shifts, Paramount is also facing pressure to cut costs as it prepares for acquisition by Skydance Media. The company’s management team is working to reduce operating costs significantly, aligning with Skydance Media’s plans for further cost reductions.
Despite the disruptions caused by the changes in measurement methods, Paramount’s Halley emphasized their commitment to keeping buyers and advertisers informed. They will continue to provide alternative currency data and collaborate with clients to navigate the evolving market landscape. Paramount aims to be a reliable partner in the industry, supporting advertisers in their upfront planning and decision-making processes.
