Nigeria’s new Television Audience Measurement system – paradigm shift
By Rotimi Pedro
Globally, audience research has been a long-standing activity in the media and advertising industries. It began in the 1960’s when the BBC commissioned the first audience measurement survey, and despite investing in it, the BBC chiefs of the day thought that they didn’t need research because they already knew who was watching what on their network.
That was a fallacy, as indeed they quickly realized after the results were out that the audiences were not necessarily those that they targeted with specific content, and that there were several other factors that affected TV viewership. Fortunately, that strongly held view has now changed and audience research today is the currency by which to buy/sell media, and curate content for the media industry globally.
Indeed, if we can agree that a liberalized media sector is sine-qua-non to sustenance of liberal democracies on the continent, it then follows that proliferation of TV and Radio organizations has to be sustained by private funding. Not only to deepen nascent democracies across the continent, but also to exhibit our culture as well as the creative sector. Private sector funding can mainly be sustained through availability and accuracy of data. That helps to track return-on-Investment (ROI). Audience research and measurement is therefore the lifeblood needed for the sustenance of a liberalized media sector.
Audience Research Today
Audienceresearchmeasureshowmanypeopleareinanaudiencewithrelationtoradiolistenership, TV viewership, newspaper readership, and increasingly online and mobile content consumption habits. It includes practices that help media and advertisers determine who is watching what at what time, rather than just how many people are watching. This in turn helps content development and targeting; production budget planning, AD placement and ROI tracking from both the supply and demand ends of the media value chain. It can be described as the currency that drives the sector’s efficiency.
In some markets, there are purely media driven associations focused on specific media channels, such as BARB in Britain, which is an association of Radio Stations that commission and fund the national radio audience research. We see the same for TV, print and the Internet in various markets around the world. Nigeria has now adopted a hybrid model, an NBC and APCON led initiative, but managed by the industry stakeholders and practitioners.
New Dawn
In practical terms, it is projected that this will see TV/Radio AD Spend grow from the current $430m/yr to match South Africa’s a t$1.2B within 5yrs. Other countries that have adopted the TAM (Television Audience Measurement) system like Bulgarian (in 2000) or Brazil have seen their TV markets quadruple within a decade of TAM adoption.
Nigeria’s TAM project will indeed be of global standard. Comparative only to Nielsen measurement in South Africa. Its reporting infrastructure will be immediate and real time. Overnight, subscribers will know the audience consumption of what went down on all measured TV channels the previous night. They will see the raw data on their subscription dashboard and integrate their media responses to real-time information. This is comparative to the TV/Radio ratings in the US or the UK.
Nigeria’s TAM’s proposed audience measurement survey will also focus on knowing who your audience is. For the advertiser, they have specific target groups for their products based on their affordability to that group, or in other words to understand the level of affluence of the target audiences so that they can plan to reach them efficiently with their advertising messages.
Benefits of such a robust audience measurement system
Benefit to Media Buying and Planning Agencies: With the ever-fragmenting media landscape, the benefits for media agencies are quite clear. They have a better view of where their target audience are and can therefore prepare strategies and plan to reach them efficiently with advertising messages. As the panel sample allows for reach and frequency optimization, the task of reaching their target audiences is simplified.
Benefit to the Advertiser: since advertising is one of the most important tools of the brand building set available today, the best brand communication strategies would be based on penetrating consumer insights and touching a deep-rooted emotion or belief, and then following through by reaching them effectively with compelling messages and efficiently too, through the media. Nigeria’s new TAM system will provide the useful insight needed to sustain continuous consumer insight.
Why this is needed
In Nigeria, the unreliability of this declarative system has arguably stagnated the promises of our relatively early (compared to the rest of the continent) liberalization of the media sector in the 90’s. Over the years of the operation of the highly unreliable Media Planning Services (MPS) declarative diaries system, we have noticed very strange but interesting trends taking place in TV advertising spend,particularlyasitaffectsthemarketsharebetweenthePayTVandFree-to-airoperators,for example. With the very low penetration of pay platforms in the country, the common thinking that Free-to-air TV offers the widest possible audience and therefore better ROI on advertising spend has been turned on its head, not by conflicting data, but rather by big-budgeted platform marketing efforts of the pay TV operators. Pay TV reach in Nigeria ranges between 18-20% of Nigeria’s 28m TV households, yet pay TV attracted approximately 65-72% of Nigeria’s total TV spend as of 2020.
Anecdotal confirmation of this rather unusual but dangerous industry trend comes from the acquisition and monetization of sports content in Nigeria. The last Africa Cup of Nations tournament on Free-TV provides a very useful insight. Despite MPS’ post-event report showing that Super Sport (the pay-tv rights holder) delivered approx. 5.5% of that tournament’s audience figures, compared to 71% viewership on the Free-to-air affiliate network (inclusive of NTA),the pay-tv licensee was however able to attract 75% of the tournament’s TV advertising spend. Both platforms offered comparative match fixture schedule and similar support programming. This perception or marketing – pushed currency continues to destabilize the ability of the FTA platform to curate or acquire competing or premium content. It also poses great danger to the very survival of the industry critical FTA TV operators. Their model survives only on ad funding.
Conclusion
The turn of the millennium ushered in a fresh narrative for our ten-maligned continent. Africa Rising was the new post millennium buzzword. Nigeria is the African renaissance with her economy and her culture taking global centre stage. The rebasing of our economy in 2013 saw our GDP lead the continent with the newly recognized creative sector at the core of this new economic dawn. The media is the shop window for the creative industry. But these shop windows are built on the simple principle of consumer/audience ADOPTION. An unmeasured media market is one that lacks the COMMON CURRENCY of trade. It can only operate on a scatter gun approach to media spend and investment.
To sustain this continuing global cultural relevance (some call it reverse imperialism) that our creative sector continues to attain, the media market at home needs to be deepened to provide the much needed economic scale to further propel this very promising and strategic sector. A key infrastructure to sustain our local media market for the ultimate benefit of our vibrant creative sector, is credible Audience Measurement data. That foundation has now been laid by the creation of the Joint Industry Council to birth a new Nigeria media landscape.
Due to the maturity of her fragmented media market, the best audience research for Nigeria is a single source (i.e. all media in one survey), adopting passive audience data measurement using relevant new technology, highly accurate with data collected and delivered in near real time, with a highly representative national panel with a sample size with minimal margin of error. Also but equally important, the generated data must be affordable to the stakeholders.
A paradigm shift has occurred, the foundation of data-driven TV and Radio has now been cemented for other building blocks to mount. The future of both the media industry and creative sector is indeed very bright.
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