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Internet Measurement Methodology - Television Bureau of Advertising

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<strong>Internet</strong> <strong>Measurement</strong> <strong>Methodology</strong><br />

There are several types <strong>of</strong> <strong>Internet</strong> audience measurement: panel-based, census-based, and<br />

survey-based. Similar metrics can differ dramatically among the types <strong>of</strong> measurement because <strong>of</strong> the<br />

wide variations in methodologies. The discrepancies among the measurement companies have caused<br />

a great deal <strong>of</strong> friction, especially since the numbers are used to set advertising rates.<br />

Panel-Based <strong>Measurement</strong><br />

Panel-based audience measurement tracks <strong>Internet</strong> user’s habits by developing and recruiting a panel<br />

that is representative <strong>of</strong> the population <strong>of</strong> Web users, and then installing s<strong>of</strong>tware on the panelists’<br />

computer for tracking. Participants receive several benefits for serving on the panel, like server-based<br />

virus protection. Information is compiled about the households and participants in the panel to provide<br />

a demographic pr<strong>of</strong>ile and to assure adequate representation <strong>of</strong> all segments.<br />

These companies project the usage and habits <strong>of</strong> the U.S. <strong>Internet</strong> population based on the data<br />

gathered from their panelists. Therefore, the size and diversity <strong>of</strong> the panel are essential for projecting<br />

statistically accurate numbers.<br />

The most recognized online panel-based audience measurement companies are Nielsen//NetRatings<br />

and comScore Inc.<br />

Census or Server-Based Audience <strong>Measurement</strong><br />

Web site analytics companies provide measurements directly from a website’s server or pages served<br />

from a website. <strong>Television</strong> station log file data is analyzed by these companies, which track the<br />

website’s traffic using two methods. One method involves placing a Java script tag on the pages <strong>of</strong> the<br />

website to send the traffic activity data back to the website analytics firm. The firm then produces<br />

reports on the activity and traffic.<br />

The second method allows the Web master to upload log files from the website. Data goes into a<br />

s<strong>of</strong>tware program that then produces summary reports.<br />

Server-based measurement methods track almost 100% <strong>of</strong> traffic on the website but may include some<br />

misleading activity such as internal traffic, duplication and spiders and robots. Filters can be set up to<br />

remove some <strong>of</strong> the misleading activity but this requires constant maintenance and updating due to the<br />

frequent new creation <strong>of</strong> spiders and robots.<br />

An additional problem with accurate measurement is the possibility <strong>of</strong> inflated traffic data due to user<br />

cookie deletion. Small text files called cookies are stored on the user’s computer to collect data that<br />

identifies the user. Users are deleting cookies more frequently or rejecting them as part <strong>of</strong> their Web<br />

browser settings. This means that since cookies identify unique users, cookie deletion can cause the<br />

same user to be counted numerous times, therefore inflating the website’s overall traffic. Cookie<br />

deletion may be <strong>of</strong>fset by users that reject cookies or multiple users accessing the same computer.<br />

Recognized companies in this area are Omniture, Google Analytics, Visual Sciences and WebTrends.<br />

Pros and Cons <strong>of</strong> Panel-Based and Server-Based <strong>Measurement</strong><br />

(Source: Editor & Publisher 10/11/07)<br />

ADVANTAGES<br />

Panel-Based<br />

• Panel participants can provide demographic data.<br />

• Panels may be better suited to eliminate duplicative traffic (home and work).<br />

• Panels are used by most large national advertisers and agencies, primarily for demographics.<br />

• Panels are a good option for measuring large sites with national audiences.


Server-Based<br />

• Tracks nearly 100% <strong>of</strong> actual website activity recorded at the server level, including workbased,<br />

military and foreign activity as well as mobile devices.<br />

• Server log files provide detailed user behavior actions such as top pages and section and user<br />

pathing through site.<br />

• Good option for sites not covered by panels.<br />

• Ad delivery and measurement are also server-based.<br />

DISADVANTAGES<br />

Panel-Based<br />

• Size and diversity <strong>of</strong> panel is imperative for accurate numbers.<br />

• Data may be volatile from month to month due to the number <strong>of</strong> panelists in survey.<br />

• Panels may report limited at-work activity, due to the number <strong>of</strong> at –work panelists.<br />

• Panels may not adequately measure smaller or geographically narrow sites.<br />

• Panels may not track traffic from many <strong>of</strong> the new mobile devices.<br />

Server-Based<br />

• User cookie deletion may inflate overall traffic numbers.<br />

• New spiders and robots can create misleading activity if not properly filtered.<br />

• One user accessing the <strong>Internet</strong> from multiple computers may create duplication<br />

• Does not provide audience demographic data.<br />

Survey-based <strong>Measurement</strong><br />

<strong>Measurement</strong> companies involved in survey-based measurement <strong>of</strong> local Web usage are generally<br />

companies whose primary measurement efforts are for other media. Two <strong>of</strong> the recognized local<br />

survey-based companies, The Media Audit and Scarborough, originally measured newspapers and radio<br />

and have added <strong>Internet</strong> usage to their surveys in recent years.<br />

Survey sizes for these companies are generally large and demographically diverse. Surveys are<br />

generally RDD telephone surveys with additional information in printed booklets. The disadvantage <strong>of</strong><br />

survey-based measurement for <strong>Internet</strong> usage is that the usage is based on the participant’s recall <strong>of</strong><br />

sites visited.<br />

New Developments in <strong>Measurement</strong><br />

Nielsen Combining TV and Online Ratings<br />

Nielsen announced a plan in December to accelerate the integration <strong>of</strong> its measurement <strong>of</strong> TV and online video<br />

viewing. The plans call for Nielsen to complete the addition <strong>of</strong> <strong>Internet</strong> measurement to its National <strong>Television</strong><br />

Panel by Aug. 31, 2010.<br />

The initiative, which is called "TVandPC," will create the industry's first single source measure <strong>of</strong> viewing to<br />

both TV and online. Once the rollout is complete, Nielsen will be able to report online video viewing from 7,500<br />

National People Meter homes, representing about 20,000 people and 12,000 computers.<br />

The new TVandPC service will serve as the foundation for a number <strong>of</strong> Nielsen’s cross platform measurement<br />

initiatives, including the ability to report an "extended screen" rating for programming and commercial content<br />

that air on both TV and online. According to Nielsen, Extended Screen Evaluation Data will be delivered by<br />

Dec. 31, 2010 and Extended Screen data will be included in the TV ratings currency in Feb. 2011.

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