The Local People Meter -

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• The Local People Meter -
• The Game Changer

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Local People Meter The Game Changer

• Local People Meter is an electronic
• measurement replacing the paper diary
• system that had been used for years to
• measure local TV viewing.
• LPMs which provide continuous
• demographic information overnight are
• being introduced into the top ten local
• Markets by 2006.
• Boston, New York, Los Angeles, Chicago, San
  Francisco, Philadelphia, Washington DC, Dallas,
  Detroit, Atlanta.

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Local People Meter The Game Changer
Old Measurement
New Measurement in Top 10 DMAs
One Measurement Source Electronic People Meter
Two Measurement Sources HH Meter HH
Level Diary - Persons
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Local People Meter The Game Changer

• INCREASED RELIABILITY/ACCURACY
• IMPROVED SAMPLE PERFORMANCE/MORE STABLE SAMPLE
• ELIMINATION OF ZERO CELL
• SINGLE PLATFORM FOR NATIONAL/LOCAL
• REDISTRIBUTION OF VIEWING
• IMPACT OF SWEEPS CLEARLY DISCERNABLE

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Local People Meter The Game Changer

• INCREASED RELIABILITY/ACCURACY
• LPMs are able to detect a larger number of
  viewers with
• greater precision because they electronically
  record the
• viewing of all household members on a continuous
  basis.
• Increased sample size coupled with a single
  measure
• for households and demographics will result in
  more
• stable viewing estimates.
• A more stable panel, with persons contributing to
  
• ratings for up to two years, in contrast to the
  diary
• design, where there is no sample overlap from one
  week
• to the next.

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Local People Meter The Game Changer

• IMPROVED SAMPLE PERFORMANCE/ MORE STABLE SAMPLE
• The LPM has a larger sample size.
• Younger demos are better represented in the
  sample.

CH2-11 T12-17 A18-49 A18-34 A25-54
Diary Avg. Weekly Intab 134 92 496 217 525
LPM Avg. Weekly Intab 255 134 852 379 829
Source Nielsen. New York DMA, avg week in May
05 v. 04
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Local People Meter The Game Changer

• INCREASED RELIABILITY/ACCURACY
• IMPROVED SAMPLE PERFORMANCE/MORE STABLE SAMPLE
• ELIMINATION OF ZERO CELL
• Zero cell is a phenomenon that occurs when there
  is HH
• tuning in meter but no corresponding diary
  entries for the
• same channel and time.
• With the onset of Local People Meters, an
  electronic
• measurement, zero cell phenomenon seizes to
  exist.

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Local People Meter The Game Changer

• INCREASED RELIABILITY/ACCURACY
• IMPROVED SAMPLE PERFORMANCE/MORE STABLE SAMPLE
• ELIMINATION OF ZERO CELL
• SINGLE PLATFORM FOR NATIONAL/LOCAL
• Major advantages of Local Market Integration with
  National
• Sample
• Increased sample sizes
• Advantage of common homes pulling double-duty
  by providing data on both the national and local
  side.
• Better representation of U.S.

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A More Accurate Representation Of The TV
Landscape Increased TV Viewing
LPM Markets With Largest Increases in Viewers
(P2) 5/05 (LPM) v. 5/04 (Diary)
Source Nielsen, Mon-Sun 7a-1a
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Increased Viewing Of More Channels
LPM Markets With Largest P2 Increases In Channel
Viewing 5/05 (LPM) v. 5/04 (Diary)
Source Nielsen. Mon-Sun 7a-1A
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Accurate Representation Among Advertisers Key
Target P18-49
LPM Markets With Largest P18-49 Increases In
Channel Viewing 5/05 (LPM) v. 5/04 (Diary)
Source Nielsen. Mon-Sun 7a-1A
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Local People Meter The Game Changer

• INCREASED RELIABILITY/ACCURACY
• IMPROVED SAMPLE PERFORMANCE/MORE STABLE SAMPLE
• ELIMINATION OF ZERO CELL
• SINGLE PLATFORM FOR NATIONAL/LOCAL
• REDISTRIBUTION OF VIEWING AMONG KEY TARGETS
• MIGRATION TO CABLE
• IMPACT OF SWEEPS CLEARLY DISCERNABLE

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Redistribution Increased Viewing To
Ad-Supported Cable
NEW YORK Avg RTG Gains/Losses 5/05 (LPM) v. 5/04
(Diary) Mon Sun 7A-1A
Source Nielsen, Broadcast 6 nets.
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Redistribution Accelerated Viewing
LOS ANGELES Avg RTG Gains/Losses 5/05 (LPM) v.
5/04 (Diary) Mon Sun 7A-1A
Source Nielsen, Broadcast 6 nets.
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Redistribution Viewer Migration
CHICAGO Avg RTG Gains/Losses 5/05 (LPM) v. 5/04
(Diary) Mon Sun 7A-1A
Source Nielsen, Broadcast 6 nets.
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Redistribution Significant Viewership Gains
SAN FRANCISCO Avg RTG Gains/Losses 5/05 (LPM) v.
5/04 (Diary) Mon Sun 7A-1A
Source Nielsen, Broadcast 6 nets.
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Redistribution In Primetime?
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Redistribution In Primetime Viewing Migration
To Ad-Supported Cable
Gains/Losses 5/05 (LPM) v. 5/04 (Diary) Mon
Sat 8-11P Sun 7-11P
Source Nielsen, Broadcast 6 nets, San
Francisco DMA.
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Local People Meter The Game Changer

• INCREASED RELIABILITY/ACCURACY
• IMPROVED SAMPLE PERFORMANCE/MORE STABLE SAMPLE
• ELIMINATION OF ZERO CELL
• SINGLE PLATFORM FOR NATIONAL/LOCAL
• REDISTRIBUTION OF VIEWING
• IMPACT OF SWEEPS CLEARLY DISCERNABLE
• Diary measurement takes place during sweep months
  
• when Broadcast telecasts its strongest
  programming.
• Sweep months are used to estimate rest of year.
• Today in Top 10 Markets, LPMs provide accurate
• continuous measurement throughout the year - not
  just

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Audience Shifts In Non-Sweep Periods Broadcast
Experiences Dramatic Drops
A18-49 Grps
Mon-Sa 8-11p Su 7-11p
Mon-Sun 7a-1a
Source Nielsen Pro-File DMA. Los Angeles DMA.
Includes all nets that meet a 2.5 cume
qualifier.
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Audience Shifts In Non-Sweep Periods Declines
Experienced Across All Markets
BROADCAST A18-49 Grps
Mon-Sa 8-11p Su 7-11p
Mon-Sun 7a-1a
Source Nielsen Pro-File DMA. Includes all nets
that meet a 2.5 cume qualifier.
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Local People Meter The Game Changer
ROLL-OUT SCHEDULE
DMA LPM ONLY START DATE INTEGRATION W/ NPM
BOSTON 4/25/02 1/04
NEW YORK 9/2/04 11/04
LOS ANGELES 8/5/04 8/04
CHICAGO 9/23/04 9/04
SAN FRANCISCO 12/30/04 3/05
PHILADELPHIA 6/30/05 TBD
WASHINGTON DC 6/30/05 TBD
DALLAS 1/06 TBD
DETROIT 1/06 TBD
ATLANTA 7/06 TBD
Source Nielsen.