audience analysis midterm

What is a media analyst?

person who looks at the data on audiences’ and advertisers’ choices and behaviors and figures out what the numbers mean

Provide two examples of what a media analyst might do.

1. research analyst

2. associate research director

What is a KPI?

key performance indicators, often also called metrics

three examples of KPIs

1. ratings and shares (tv and radio)

2. impressions (tv, radio, and online)

3. stream starts (streaming)

compare and contrast the role of an audience analyst with that of a data scientist

audience analysts are standard researchers who know their sector well and know how to perform basic descriptive and statistical analyses using secondary or primary data. data scientists have more advanced training in how to evaluate data, many are seasoned with taking a very large dataset and formatting it in a way that the traditional audience analyst can pull it, analyze it, and create strategic insights for management to take action on.

what are the three primary entities/actors which make up the media analytics industry?

1. independent auditing firms

2. media companies and their media research groups

3. syndicated research providers

list and discuss two experts that nielsen and other syndicated data providers hire.

1. technical engineers to develop technologies and monitor to ensure successful capture of measurement 24/7.

2. software engineers focused on both the backend crediting engines and also client softwares tools used to pull data from data scientists.

what is the projected job growth for market research analysts as estimated by the u.s. bureau of labor statistics?

22%

what is sentiment analysis?

using chatter, such as on social media, to detect trends in consumer opinions about a brand, program, or other types of content then make strategic recommendations to management on what to do

discuss the three major challenges currently faced by media measurement suppliers.

1. accuracy vs cost

2. accuracy vs resistance

3. competition vs single accuracy

what was the impact of the introduction of people meters and local people meters on broadcast and cable network ratings?

When the technology was rolled out broadcast network ratings declined overall by an average of 4.5 rating points, while cable networks ratings rose almost 20%.

what are the two major audience measurement oversight bodies in the united states?

Nielsen and Comscore

what are the major goals of nielsen and comscore?

1. Nielsen is considered the currency for television or video advertising in the u.s., as the industry continues to rely heavily on their ratings for advertising transactions. They use primarily household samples and panels.

2. Comscore is a digital first enterprise that is best known in the u.s. for online and mobile measurement but has expanded into the linear tv measurement sector. Competes with Nielsen because of its census-level approach using cable and satellite set-top nbox return path data or rpd.

why are companies like nielsen and comscore focused on achieving and maintaining accreditation?

if and audit results in successful accreditation of the measurement tool or service, it increases the credibility of that tool or service with potential media and advertising clients. accreditation gives advertisers confidence in their media buying decisions

discuss the general data protection regulation (GDPR) and its importance to consumer data protection and privacy.

went into effect in 2018 and has altered the way businesses operate online around the world. it applies to any organization handling the personal data of european union residents regardless of the companies location. it includes stronger user consent conditions including more understandable language for data usage and privacy policies, mandatory consumer notifications, of any breaches within 72 hours, the right for consumers to access their data collected by the company, the consumers “right to be forgotten” or data erasure and other provisions.

what is an example of a question that a media researcher could answer for a producer/production company prior to being green lit?

is there a market for it? how do we convince advertisers to pay to reach these consumers? what kinds of appeals will induce people to pay to consume it?

what is a revenue/business model?

different methods companies use in order to make a profit

list the three key business models used by entertainment media companies.

1. advertising and or subscription revenue

2. subscription only revenue

3. direct sales of content to consumers

what are the three major audience factors that all media revenue models should be based on?

1. size of audience

2. demographics

3. psychographics

what is a joint commodity (dual product)?

two different products are sold simultaneously to two different sets of buyers

how does deficit financing for a tv series work?

1. broadcast network licenses a show from a major studio and during its initial life cycle has the exclusive window rights

2. program is produced by a major studio and they are responsible for the “high first copy cost” for each episode

3. studio hopes to produce a hit tv show which would yield significant revenue

4. airing network is poised to grow the show into a hit with the audience and this deliver a large audience that advertisers will want to buy into

5. once the broadcast network window is over, usually 3-5 years or once the program has over 100 episodes, the studio licenses the same program (in repeats) in off network syndication, to streaming services, and to international markets to recoup any financial deficits and to ultimately earn a sustained profit over time

how many episodes typically need to be produced before a network tv show can go into the syndication market?

100

discuss how advertising-based media is sold as a joint commodity.

sold simultaneously to audiences (the content) and advertisers or underwriters (messaging time or space). media managers and analysts must understand both of those markets and manage them separately to maximize total combined profits

discuss the interplay between the nbc network and the producers of friends throughout the network run of the immensely popular sitcom and in the years that have followed as the show has been in syndication.

nbc heavily backed the show but pushed for certain structural changes to the story. the producers pushed back and nbc ended up siding with the producers of the show. since the show had such good ratings, consistently maintaining a top five nielsen rating, the producers supported the actors who formed a mini-union demanding equal pay. by the last season of the show this forced nbc to pay each actor 1 million per episode. nbc reaped the benefits of the first run advertising money, but warner bros received syndication rights in 2004. in 2015 netflix made a deal with warner bros and gained the rights to friends. now warner bros has not renewed netflix’s deal.

media producers pay high first copy costs, what does this mean?

media producers pay almost all the costs of creating content. they have to pay the complete costs of production just to create the first copy of the content.

the amount of consumer or audience demand for any product is based in which three elements?

1. utility, usefulness of the product

2. supply, amount of it available

3. demand, desire for it

why are media products classified as intangible goods?

most media companies produce, sell, and distribute information products. information has value and you buy and sell it, but it does not have a physical form.

define revenue

money generated by business operations

define fixed costs

costs of doing business that management has little control over

define variable costs

operating costs over which management has some control over

define operating profit

the percentage profit a company makes from its normal business operations. a measure of management efficiency in controlling operating costs

define net profit/income

amount left after all expenses, including depreciation, amortization, and the taxes are paid

define roi or return on investment

percentage return made from the amount it cost to produce that return