Cumulus Extends RFP for Audience Measurement Service

RADIO ONLINE | , , | :am CT

Cumulus Media and COO John Dickey said Monday that it had extended an invitation to qualified vendors to submit proposals for a new MRC-approved ratings service -- specifically for stations in markets ranked 100 and over. The company also announced that it would drop Arbitron from its fifty or so markets ranked 100+, effective January 1, 2009.

"We have reached the point where Cumulus recognizes that there is only one way to close the growing gap between needs of its stations/advertisers in these markets and the state of audience measurement -- and that is to initiate a fundamentally new approach," said Dickey. "As the underwriter of this effort, we will take the leadership role in solution design and vendor selection."

Among other things, Cumulus says the service must be a stand-alone and turn-key. Even though Cumulus will be its first customer, the service must function as an "independent, objective entity that is accountable to and can provide on-going support for the larger broadcast and advertising communities." Dickey adds that the company's plan is to work closely with leading researchers, other broadcast organizations, and advertisers to design a system that is credible, accurate, and comprehensive.

In response, Arbitron "welcomed the initiative" as an opportunity to enhance "the tools that radio broadcasters in markets 100+ need to compete for local ad dollars." Our mission has always been to serve broadcasters in all markets with audience measurement that is useful, reliable, effective, and credible.

Arbitron calls the RFP a "valuable source of marketplace input" that confirms what its heard from small market broadcasters. The ratings company has been working with its Small Market Owners and Operators Caucus and the Radio Advisory Council Diary Market Subcommitte and found sample sizes, retail clout and training were host issues.

Arbitron says this Fall, it will introduce an upgrade to its qualitative questions listed in the back of the diary. Additionally the company increased sample sizes last fall in 42 small and medium markets by an average of 30%.

As for its status as a customer of Arbitron in other markets, Dickey said that Cumulus is a "strong supporter of Arbitron's efforts to develop and implement the new PPM technology in our larger markets." "In all likelihood," Dickey added, PPM will not be available to these smaller markets, so we need a credible alternative solution."

The deadline for RFP submissions is May 14. Instructions for vendors, including question submission and direct communication with Cumulus and its employees are outlined in the RFP posted at ratingsrfp.cumulus.com.