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The Future of TV Ratings: Addressing Viewership Gaps

The past few years have brought about a remarkable level of change. The advent of the internet has especially affected viewing habits. From cable and DTH, people have now largely moved to smart TVs, mobile applications and OTT platforms. But the system for measuring viewership – Television Rating Points (TRP) – has not changed. In an attempt to modernise the system to capture the new viewership patterns, the Ministry of Information and Broadcasting has rolled out a new TRP policy draft

On July 2, the Ministry of Information and Broadcasting proposed amendments. These were made to the Policy Guidelines for Television Rating Agencies. The guidelines were originally issued in 2014. These reforms aim to enable fair competition. They aim to generate more accurate and representative data. Additionally, they ensure that the TRP system reflects the diverse and evolving media consumption habits of viewers across the country.

Outdated TRP System

Currently, there are approximately 230 million television households. Only about 58,000 people meters are used to gather viewership data. This figure represents a mere 0.025% of total TV homes. This limited sample size may not accurately reflect the diverse preferences across India’s vast regions and demographics.

The Ministry said in a press release that the technology used doesn’t adequately capture viewership on newer platforms. These platforms include smart TVs and streaming devices. This creates a significant gap in accurate data collection. “This inaccuracy can impact revenue planning for broadcasters and advertising strategies for brands,” it stated.

Limitations of the Platform

Broadcast Audience Research Council (BARC) is currently the sole agency providing TV ratings in India.
The existing system fails to track connected TV (CTV) device viewership, a growing trend in the country.
The existing policies included entry barriers that discouraged new players from entering the TV ratings sector.
Cross-holding restrictions prevent broadcasters or advertisers from investing in rating agencies

Proposed Reforms

The Ministry’s statement included the following amendments.

Modification of Clause 1.4. The earlier requirement stated that a company’s Memorandum of Association (MoA) shall avoid including any activity like consultancy. It shall also not include advisory services. This has been replaced with an easier-to-comply provision. The new provision states that “The company shall not undertake any activity like consultancy. It shall not engage in any advisory role. These activities could lead to a potential conflict of interest with its main objective of rating.”
Remove restrictive clauses (1.5 and 1.7) that were acting as barriers to entry.

These amendments will allow healthy competition among rating agencies. They will encourage the adoption of new technologies. They will also generate more reliable and representative data. The Ministry aims to build a more transparent and inclusive TV rating ecosystem. It will be technology-driven and accurately reflect the nation’s dynamic media landscape.

The Ministry has invited feedback from stakeholders and the general public within 30 days of the issuance of the draft.

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