News notes
New York-based DoubleClick Inc., hurting from a slumping advertising market, announced a deal through which New York research firm Dynamic Logic will take over its Ad Effectiveness research practice. In exchange for the Ad Effectiveness business, DoubleClick will receive a 10 percent minority stake in Dynamic Logic. DoubleClick also has the opportunity to earn additional equity in the practice in future. DoubleClick will, however, continue to provide media planning tools like @plan, as well as campaign reporting and analysis tools such as DART for Advertisers.
New York-based Arbitron Inc. has completed the first phase of the Portable People Meter (PPM) U.S. market trial with the release of a third round of ratings comparisons for its new television, cable, and radio audience measurement system. Since December of 2000, the Portable People Meter has been undergoing U.S. market trials in Wilmington, Del., which is within the Philadelphia TV market. The PPM is a pager-sized device that is carried by consumers. It detects inaudible codes that TV and radio broadcasters as well as cable networks embed in the audio portion of their programming using encoders provided by Arbitron. At the end of each day, the survey participants place the meters into base stations that recharge the devices and send the collected codes to Arbitron for tabulation. The meters are equipped with a motion sensor that allows Arbitron to monitor the compliance of the PPM survey participants every day.
In December, Milpitas, Calif., research firm NetRatings, Inc. and Jupiter Media Metrix, Inc., New York, announced that they had received a request for additional information (commonly known as a "second request") pertaining to the pending acquisition of Jupiter Media Metrix by NetRatings from the Federal Trade Commission.
The waiting period applicable to the pending acquisition under the U.S. Hart-Scott-Rodino Antitrust Improvements Act would therefore expire, unless terminated earlier by the FTC, 30 days after substantial compliance with the request for additional information. Subject to completion of the Hart-Scott-Rodino process and satisfaction of other customary closing conditions contained in the definitive merger agreement, including Jupiter Media Metrix stockholder approval, the companies anticipated the acquisition would close in the first quarter of 2002.
New York research firm Schulman, Ronea, & Bueuvalas, Inc. (SRBI) commemorated its 20th anniversary by introducing a new logotype.
Acquisitions
U.K.-based WPP Group Plc has acquired 100 percent of Penn, Schoen and Berland Associates, Inc., a Washington, D.C., research and polling firm. The company had revenues of $31.4 million for the calendar year 2000 and net assets of $4.3 million as of December 31, 2000. The company will operate within WPP as a standalone public affairs unit and will continue to be managed by company principals Mark Penn, Doug Schoen, and Michael Berland.
East Hanover, N.J., research firm NOP World Health has acquired Cozint in a cash transaction for $10.5 million. NOP World Health will integrate Cozint, a supplier of Web-based research services to the pharmaceutical and biotechnology industries, with the Promotional Effectiveness Group of Market Measures Interactive (MMI) to form a new division. Rob Sederman, Cozint’s current CEO, will become CEO of the newly-integrated division, reporting to Elaine Riddell, CEO of MMI and NOP World Health.
Nuremberg, Germany-based GfK Group has acquired a 19.9 percent share of Brazilian research firm Indicator Brazil. With 130 employees, the company was expected to generate sales of EUR 7.3 million in 2001. GfK plans a 100 percent takeover of the company in three stages by the end of 2004.
U.K.-based Cambridge Pharma Consultancy has been acquired by IMS Health, a Fairfield, Conn., research firm. Terms of the transaction were not disclosed.
Alliances/strategic partnerships
Wilton, Conn., research firm Greenfield Online has entered into a strategic alliance with Quick Test/Heakin, a Jupiter, Fla.-based network of research facilities. The agreement appoints Greenfield Online as Quick Test/Heakin’s preferred partner in the programming and hosting of Web-based interviews to be conducted at Quick Test’s 80 U.S. mall locations. The agreement also provides the framework for the two companies to develop a face-toface recruited Internet panel called Web-Mall.
Association/organization news
Bob Cohen of Scarborough Research has been elected chair of the Council of American Survey Research Organizations (CASRO). Also elected as officers at the annual CASRO conference in October were: Paul Talmey (Talmey-Drake Research & Strategy) as chair-elect; Dale Lersch (PERT Survey Research) as treasurer; Michael Errecart (ORC Macro) as secretary. Nick Tortorello will serve as immediate past-chair, and Diane Bowers as ASRO president. Dennis Gonier (DMS/America Online) and Mark Shugoll (Shugoll Research) were reelected to the CASRO board along with newly elected directors: Roger Bacik (Elrick & Lavidge), Simon Chadwick (NOP World), Kevin Mabley (Cyber Dialogue, Inc.), and David Richardson (Wirthlin Worldwide). All directors were elected for three-year terms beginning in 2002. Harry O’Neill (RoperASW) and Michael Sandier (Research 100) were selected to be CASRO’s first inductees into the newly formed CASRO Hall of Honors at the annual conference banquet. The distinction recognizes the honorees’ years in the survey research industry as well as activities on behalf of CASRO. Both received the Gold Star Award for Perfect Attendance at all 26 CASRO annual conferences since CASRO’s inception in 1975. O’Neill also received a Lifetime Achievement Award for his contributions to CASRO and the entire research industry.
The Qualitative Research Consultants Association, Rochester, N.Y., has formed a new chapter, the Western New York (WNY) State Chapter. Co-chairs of the WNY chapter are Lana Limpert, owner of TechniClarity, a qualitative research firm, and Betsy Friedman, an independent qualitative researcher. Michelle Soto, project manager at Harris Interactive, serves as secretary; Claire Heffernan, president of Claire Heffernan Associates, is treasurer.
Awards
London research firm Taylor Nelson Sofres (TNS) has received U.K.-based Marketing magazine’s Agency 2001 award for Market Research Agency of the Year. The Agency 2001 awards recognized excellence within marketing disciplines of media, design, telemarketing, PR, and market research. Entries were assessed according to a range of criteria including creativity, effective and efficient client service, and innovative product development.
New accounts/projects
Encino, Calif., research firm E-Poll has signed on Buena Vista Television, MGM Worldwide Television, the Scripps Networks, and Studios USA for the launch of The EDGE, a subscription-based environment that allows access to EPoll’s database of custom and syndicated research with report generating tools. These clients join the original development partners announced last June: Twentieth Television Distribution, A&E Television Networks, Carsey-Werner Mandabach Studios, and Warner Bros. Domestic Television Distribution.
New companies/new locations
London-based Web site usability testing firm Netusability has opened a U.S. division in San Francisco.
David Bottomley’s Asia Marketing Research Directions (AMRD) is now based in Central Hong Kong, having joined forces with ABS Research, headed by Stephen Cheung and Joe Wong. Cheung will serve as AMRD’s operations manger; Wong will be the firm’s project manager. The new Hong Kong address is 20 B, Eton Building, 288 Des Voeux Road Central, Hong Kong.
St. Louis-based Maritz Inc. has formed a new division called ONE, which will offer brand management and consulting services, including research and assessment, facilitation, measurement and feedback, and project management.
Sunbelt Research Associates Inc., Jupiter, Fla., has changed its name to SRA Research Group Inc.
Paris-based market research company, MV2 Group, has opened an office in New York: EFG Inc. The firm is located at 45 West 21 st Street, New York, N.Y., 10010.
Company earnings reports
Rochester, N.Y.-based Harris Interactive announced projections for its second quarter of fiscal year 2002, which ended on December 31. The company expected to report Q2 revenues of between $24-$26 million, and a net loss before one-time charges, of between ($0.08-$0.10) per share, a decline from the ($0.17) per share loss reported in the comparable period last year. For the quarter, the company expected to see an approximate $1.3 million cash loss as compared to a $4.2 million cash loss for the same quarter a year ago. These figures include the Harris Interactive subsidiaries MRSL in the U.K. and Harris Interactive Japan, as well a; two months of revenues from Total Research, which merged with Harris Interactive on November 1, 2001.