Problems with TAM ratings system resurface as Sony uncertain to renew its subscription

Multi Screen Media (MSM) — owner of the Sony network of channels is examining whether to renew its subscription with Television Audience Measurement (TAM) Media Research. While broadcasters across the board have expressed concerns about TAM, channels continue to rely upon its data.
MSM has called TAM a bad currency indicating ‘unfair trade practices’ and ‘flawed methodology’ employed by the TAM in generating data.
As per Telecom Regulatory Authority of India (TRAI) problems with the TAM system included:

• A non-transparent methodology
• Limited sample size
• Cross-holdings b/w rating agencies and broadcasters and advertising agencies
• Lack of a credible complaint mechanism.

About TAM:
TAM Media Research is one of the two Television Audience Measurement analysis firms of India (the other being aMap). Appointed by the Joint Industry stakeholders of Indian Society of Advertisers (ISA), Indian Broadcast Foundation (IBF) and Advertising Agencies Association of India (AAAI) in 1998, the reason for being for TAM is to be the central Industry provider of Media and Consumer Insights to the various stakeholders of the Indian Media and Entertainment Industry – Advertisers & Marketers, Media Owners, Media Agencies and the Academia.
Besides measuring TV Viewership, since the year 2000, TAM has been monitoring Advertising Expenditure of various Advertisers, Brands and Product Categories across Television Channels, Print & Radio through its division AdEx India.

Month: Current Affairs - June, 2013