Broadcast Ratings System in Sri Lanka: Issues and Implications

G.T. Madhubhashini* Department of Social Studies, The Open University of Sri Lanka, Nugegoda, Sri Lanka *Corresponding author: Email: [email protected]

1 INTRODUCTION

The media is one of the faster growing channels, 20 television channels and 200 industries in the world today. People today newspapers in all three languages. Two can access varied media content anytime market research companies only operate and from a multitude of platforms such as audience rating systems on radio and radio and TV sets, Smartphones, television broadcasting in Sri Lanka, computers etc. Having more pathways namely, Lanka Market Research Bureau available to more users than ever before (Pvt) Limited (LMRB), and Survey has drawn a greater number of advertisers, Research Lanka (Pvt) Limited (SRL). The marketing professionals, brand managers ratings data has a disproportionately high and media buying companies to the level of control over the economic industry. Way (2014) notes that these viability of broadcast stations, as well as professionals need media consumption on their programme scheduling decisions details to understand the audience and content creation action. behavior patterns. Once they understand audience behavior and preferences The ratings are used by corporate through the ratings, media owners, advertisers to determine much of their managers and content creators can advertising spending in the broadcast optimize their programming and also sell media. Naturally, all advertisers like to be advertising space/time more efficiently. associated with programming belts and content types that attract a greater The ratings data is used by media buyers, audience as evidenced by the ratings. managers, journalists/producers, Meanwhile, broadcasters use ratings data marketing and promotion officers and to judge their individual performance advertisers for their own purposes. They against their competitive stations. In addition, they too may commission all want to remain relevant, focused and customized market research to better effective in how programming content and understand how their audiences behave. advertising content are positioned and Yet the ratings systems operating in Sri delivered. This is a legitimate business Lanka have generally lacked transparency activity in today’s market based media in terms of their methodology and process. industry. Broadcast ratings data is the Apart from giving basic descriptions on trusted solution worldwide to understand their corporate websites, neither ratings media consumers’ preferences and company discloses details about their engagement with TV, radio, digital, surveying methodologies in public. In the mobile, out-of-home and social media absence of details, the methodology has content according to Way (2014). been questioned and even challenged by some broadcasters in recent years (Sri As far as Sri Lankan Media industry is Lanka. Secretariat for Media Reforms, 2016). concerned, there are more than 60 radio In other words, some key players in the

ISSN 2012-9916 © The Open University of Sri Lanka 313

Proceeding of the 15th Open University Research Sessions (OURS 2017) Lankan broadcast industry raised a Survey Research Lanka Ltd). Top 5 credibility issue and questioned the advertisers and advertising agencies were authenticity of the ratings data provided invited to identify the issues in broadcast by the ratings companies, arguing that ratings in Sri Lanka, but a few these do not necessarily reflect the participated, they are: Advertising public’s real viewing or listening habits. agencies - Association of Accredited In this context, few questions can be Advertising Agencies (4As), Group M identified: Why does the Lankan PHD Sri Lanka, PhD Sri Lanka and broadcast industry not satisfied with the Advertisers - Ceylon Biscuits Ltd and Sri current broadcast ratings system in Sri Lanka Telecom. Lanka? What are the issues in current broadcast ratings system and how to 3 RESULTS AND DISCUSSION overcome these issues? Therefore, the purpose of this study is to identify the issues in contemporary broadcast ratings The purpose was achieved according to system in Sri Lanka with a view to the results/ findings of the study. recommend solutions to overcome these Therefore, the data were analyzed in order issues. to identify the issues in broadcast ratings system in Sri Lanka. Based on the 2 METHODOLOGY findings, some significant issues can be identified as follows: Qualitative approach was used to collect the data of this study. Mainly in-depth Impact on programme content, format and interviews were conducted with scheduling: broadcasters, advertisers, advertising Broadcast managers emphasized that they companies, and rating companies within a use rating reports to decide on the placing specific 3 week period. It is important to of advertisements as well as the interview these key players in the scheduling of programmes. The input of broadcast industry to identify the issues in resources for various programmes is the ratings system in Sri Lanka. Semi- decided accordingly. Therefore, the rating structured questions were prepared and reports have a direct impact on the formal interviews were personally content, format and scheduling of conducted with the resource persons. programmes on radio and TV. This is an imperfect approach. Even the most There are 40 registered institutions for rigorously produced ratings system can Radio and TV licenses in Sri Lanka only provide relative rankings for (Rebuilding Public Trust 2016). broadcast timeslots and programme types Therefore, all the broadcasters in Sri that are favoured by more listeners or Lanka were invited for the interviews, but viewers, in other words, an indication of only 10 broadcasters were presented at the popularity. interviews (IWS Holdings (Art TV) ,The Buddhist TV ,Sri Lanka Rupavahini Lack of Transparency: Corporation (SLRC), Telshan Networks A clear majority of stakeholders (Pvt) Limited (TNL) , EAP Broadcasting mentioned that there is insufficient Company (EBC) – Radio , MTV Channel openness of the methodology followed by (Pvt) Limited MBC Networks (Pvt) Ltd the two ratings service providers with (popularly known as Sirasa Media Group), regard to key factors like sample size, data EAP Broadcasting Company Limited collection, analyzing and delivering (Swarnawahini) Power House Ltd, TV process. In the absence of transparency, Derana and FM Derana and ITN). Two there is room for omissions, errors and rating companies were interviewed biases. Some smaller broadcasters (Lanka Market Research Bureau (LMRB) completely ignore the ratings, and use

Proceeding of the 15th Open University Research Sessions (OURS 2017) alternative methods for generating producing broadcast ratings. advertising or sponsorship revenue. How do broadcast channels get listed and High equipment costs: covered in the broadcast ratings? This Ratings companies in many countries process is also not clear. Do they seek to have been automating the capturing of be added and, in return, do they need to audience behaviour by investing in subscribe to the services? Is there any modern technology. The technical correlation between a station being a equipment that measures the audience subscriber to ratings reports and its quantitatively are sophisticated and also channels being included in the ratings expensive. Therefore, it is not easy for coverage? These questions were raised by ratings service providers to make much some broadcasters. Reacting to these profit. One way to reduce capital and concerns, LMRB says that some operating costs is to manufacture the broadcasters seem to follow a “policy of equipment in Sri Lanka. SRL says it once using ratings only when they are explored the possibility of producing favourable” and that “ratings provider is people meters locally by collaborating used as scapegoat to cover up with the University of Moratuwa. So far, (broadcasters’ own) deficiencies”. however, such local manufacturing has not Methodology and Sampling issues: happened. LMRB has also explored this possibility, but says it “could not find any LMRB uses a type of People Meter local party with the necessary technical (known as Rapid Meter system) to knowledge and manufacturing determine the ratings for each TV channel capability”. in Sri Lanka. About 600 People Meters were installed all over the country and a sample size of 2,200 individual viewers is 4 CONCLUSIONS AND covered. Therefore, there is no RECOMMENDATIONS mechanism to cover island wide population by this method. Both LMRB As per the purpose of the study, research and SRL use the diary system to measure questions were answered according to the radio audience preferences. The diary findings /results. In other words, Lankan method has several inherent limitations: it broadcast industry is not satisfied with the does not reflect shorter listening periods, current broadcast ratings system in Sri and the diary is not likely to reflect tuning Lanka due to above issues and reasons. when no listening occurs, some sample Therefore, the following conclusions and members may not be able to provide the recommendations can be suggested to level of detail, or use the concepts that the overcome these issues. Broadcast ratings researcher is interested in and etc. are inherently contentious because they rank competitive broadcasters, who in Market Domination: return determine advertising revenue that impacts their economic viability. The big As mentioned earlier, there is a duopoly in challenge is to ensure the ratings have a the rating industry. Broadcasters, high level of integrity and credibility. It is advertisers and any other users have a clear from stakeholder interviews that simple choice between LMRB and SRL. there is considerable distrust and tension Of them, LMRB is owned by an between broadcasters and the ratings international market research group, while service providers in Sri Lanka. There SRL is fully locally owned. Both should be an independent monitoring companies have their niche products and body with multi-stakeholder participation niche services. Also, their scope of (i.e. with suitable representation from the activities is significantly broader than Media Ministry, state and private

Proceeding of the 15th Open University Research Sessions (OURS 2017) broadcast companies, advertising industry Alternatively, the frequency could be and broadcast rating service providers, increased installing People Meters every along with eminent researchers or three months’ time to another randomly academics). Such a body needs to be selected 6,000 households (on rotation independent of the state, as well as of the basis). The rating system should be ratings service providers and their audited and validated from time to time by subscribers. The scope and functions of an independent body outside the ratings such a body needs to be defined carefully. service providers and their subscribers. The overall mandate would be to: monitor There should be regular audience surveys and validate the existing and future rating by market research companies and/or systems; provide some technical oversight mass media researchers to better on ratings methodologies; carry out understand the qualitative aspects – the periodical audits of the ratings results; likes, dislikes, unmet needs and behaviour serve as a dispute resolution body and patterns of audiences. complaints investigation mechanism; and carry out audits on unethical promotions It is also important to understand the and attempted manipulations by requirements of niche audiences, as well broadcasters and report on findings. as nationally significant broadcast content that do not fall within the popular demand It is important to strengthen the current categories. Ways must be found to ratings service providers. This is to be accommodate these special interests. pursued through a more rigorous Measuring English and Tamil audiences methodology leading to more credible and and various genres independently may acceptable results; use of a sample more provide a better picture of the minority representative of the diverse and tastes. This will also help the advertisers multicultural audience; and better serving to make specific and targeted placement the needs of advertisers as well as of decisions. The quality of radio and TV broadcasters. Some other specific programming should also be assessed on recommendations can be also identified. a regular basis. For this, it is suggested There is a clear need for increasing the that the Media Ministry sets up a review sample size to represent the adequate panel that uses a transparent qualitative numbers, geographical distribution and method to assess and benchmark diversity of television viewers in Sri programming on an annual basis. Such a Lanka. The sample size should go up from process should be driven by a public the current 2,200 viewers to at least 8,800. service broadcasting perspective. There Sample distribution of households with needs to be a code of ethics for broadcast People Meters should be expanded based channel and programme promotion. This on a good sample frame. More efforts should ideally emerge from the broadcast should be made to enhance the industry itself, but media savvy civil transparency of the TV rating society groups and media researchers can methodology and outcomes without also play a role in drafting one. compromising the necessary confidentiality of the system. The independent monitoring body with multi- REFERENCES stakeholder participation can provide this. Sri Lanka. Secretariat for Media Reforms. Viewership should be averaged not daily (2016). Rebuilding Public Trust: An or monthly, as currently done, but once assessment of the Media Industry and every three months as well as on an annual profession in Sri Lanka. basis. If the People Meter is so expensive Way, H. (2014). Managing big data: Audience for LMRB to afford more units, the measurement and ad targeting. E- government should provide duty free Commerce Times, 2(1), 1-7. concessions for importing these meters.