An NBCUniversal executive has publicly criticized Nielsen after the media-measurement firm delayed and then rolled back a methodological update to its Gauge report that would have temporarily boosted reported broadcast and cable TV viewership.
The February's report would have incorporated viewing data from the Advertising Research Foundation for the first time. Nielsen delayed the change last month after streaming services questioned preliminary numbers showing declines in their audiences. Instead of releasing the new figures, which reportedly showed traditional TV leading overall viewing in February for the first time in nine months, Nielsen canceled the report and pushed the update to this fall.
Mark Marshall, chairman of global advertising and partnerships at NBCUniversal, said the developments reinforce industry concerns that Nielsen systematically overestimates streaming viewership. He argued this hurts traditional TV owners in ad negotiations and damages company valuations.
“Every media company is valued on a multiple of something, right? The baseline for all of these is revenue, and if that revenue is understated due to incorrect measurement, then absolutely, the valuations of these media companies are being impacted,” Marshall said. “That is why a change needs to happen.”
He added that the consequences extend to employment and could force more media mergers and acquisitions.
Nielsen maintains that the Gauge, a monthly snapshot of platform viewing shares, is not the currency used in ad buying and selling. Its primary ratings service, Big Data + Panel, has already incorporated the Advertising Research Foundation data since January.
However, Marshall and other TV executives say the Gauge carries significant influence because its numbers frequently appear in news coverage, earnings calls, press releases, and analyst reports, shaping market perceptions and advertising decisions.