The Ministry of Information and Broadcasting (I&B) has issued a new draft amendment to TV rating guidelines, proposing rating agencies to consider connected TV platforms as well to measure viewership, but exclude landing pages from the assessment. Landing pages refer to the channels that appear automatically when a set top box is switched on.
Once implemented, the amended guidelines will apply to the Broadcast Audience Research Council (BARC), the only registered audience measurement body currently in India, as well as any agencies that come up in future. The guidelines could significantly impact the broadcasting industry, as BARC currently measures only linear television viewing via cable or DTH.
Advertisers have long pushed for cross-media measurement. However, according to industry executives, global platforms such as YouTube, Netflix and Prime Video have not shown interest in joining a unified measurement panel.
Industry executives also said removing landing page viewership is a positive move because it will create a level playing field. At present, some cable operators use up to three landing pages, and TV channels compete to buy these slots to increase their ratings.
A senior media executive said cable operators may lose revenue if landing page viewership is excluded from rating calculations. According to market estimates, TV channels, especially news channels, spend more than Rs 100 crore every year to secure better visibility through landing pages.
Landing pages inflate viewership because some set top boxes are programmed to delay switching between channels. If a viewer stays on a channel for at least 30 seconds within a clock minute, that entire minute is counted as viewership for that channel.
Audience measurement data plays an important role in determining TV advertising spends of over Rs 30,000 crore a year.
The ministry has sought industry feedback within 30 days.
The draft also proposes strict cross ownership rules between rating agencies and broadcasters. BARC is exempt since it is owned by industry bodies: the Indian Broadcasting and Digital Foundation, Indian Society of Advertisers and the Advertising Agencies Association of India.
Under the proposal, no company or individual may hold 20% or more equity stake in both a broadcaster and a rating agency. Also, no company may hold 20% or more stake in more than one rating agency. Board members of a rating agency cannot be associated with broadcasting, and employees of broadcasters cannot sit on audience measurement panels.
A senior government official said the cross-holding restriction applies only to broadcasters because they stand to benefit more from owning a rating agency compared to advertisers or ad agencies. The official added that the ministry is open to additional changes based on stakeholder feedback.
The draft also requires that measurement be technology neutral and include data from all platforms, including connected TVs. Ratings cannot include viewership from landing pages, which may be used only as a marketing tool.
The proposal further mandates panel expansion. A rating agency must measure a minimum of 80,000 households within 18 months of registration and increase the sample size by 10,000 households every year until it reaches 1,20,000 households.
This draft marks a shift from the ministry’s position in July, when it proposed removing several restrictions, including cross holdings between broadcasters, advertisers, media agencies and rating agencies. That proposal was opposed by stakeholders who argued that allowing these entities to own or control measurement agencies could create conflicts of interest and lead to competing rating systems.
The ministry had also proposed amending Clause 1.4 to prohibit rating agencies from offering consultancy or advisory services that could create conflicts of interest with their core function of audience measurement. That restriction has now been removed.
Once implemented, the amended guidelines will apply to the Broadcast Audience Research Council (BARC), the only registered audience measurement body currently in India, as well as any agencies that come up in future. The guidelines could significantly impact the broadcasting industry, as BARC currently measures only linear television viewing via cable or DTH.
Advertisers have long pushed for cross-media measurement. However, according to industry executives, global platforms such as YouTube, Netflix and Prime Video have not shown interest in joining a unified measurement panel.
Industry executives also said removing landing page viewership is a positive move because it will create a level playing field. At present, some cable operators use up to three landing pages, and TV channels compete to buy these slots to increase their ratings.
A senior media executive said cable operators may lose revenue if landing page viewership is excluded from rating calculations. According to market estimates, TV channels, especially news channels, spend more than Rs 100 crore every year to secure better visibility through landing pages.
Landing pages inflate viewership because some set top boxes are programmed to delay switching between channels. If a viewer stays on a channel for at least 30 seconds within a clock minute, that entire minute is counted as viewership for that channel.
Audience measurement data plays an important role in determining TV advertising spends of over Rs 30,000 crore a year.
The ministry has sought industry feedback within 30 days.
The draft also proposes strict cross ownership rules between rating agencies and broadcasters. BARC is exempt since it is owned by industry bodies: the Indian Broadcasting and Digital Foundation, Indian Society of Advertisers and the Advertising Agencies Association of India.
Under the proposal, no company or individual may hold 20% or more equity stake in both a broadcaster and a rating agency. Also, no company may hold 20% or more stake in more than one rating agency. Board members of a rating agency cannot be associated with broadcasting, and employees of broadcasters cannot sit on audience measurement panels.
A senior government official said the cross-holding restriction applies only to broadcasters because they stand to benefit more from owning a rating agency compared to advertisers or ad agencies. The official added that the ministry is open to additional changes based on stakeholder feedback.
The draft also requires that measurement be technology neutral and include data from all platforms, including connected TVs. Ratings cannot include viewership from landing pages, which may be used only as a marketing tool.
The proposal further mandates panel expansion. A rating agency must measure a minimum of 80,000 households within 18 months of registration and increase the sample size by 10,000 households every year until it reaches 1,20,000 households.
This draft marks a shift from the ministry’s position in July, when it proposed removing several restrictions, including cross holdings between broadcasters, advertisers, media agencies and rating agencies. That proposal was opposed by stakeholders who argued that allowing these entities to own or control measurement agencies could create conflicts of interest and lead to competing rating systems.
The ministry had also proposed amending Clause 1.4 to prohibit rating agencies from offering consultancy or advisory services that could create conflicts of interest with their core function of audience measurement. That restriction has now been removed.
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