TRP stands for Television Rating Point . The TRP of a channel or program depends on the program being displayed. The TRP rate is the value at which the TRP of the TV channel is calculated. These numbers are considered examples of common television owners in various geographic and demographic sectors.
TRP allows advertisers and investors to understand people’s moods. Depending on the TV channel or TRP of the show, the advertiser decides where to show the ad and the investor decides to invest money.
What is TRP
TRP or target rating points are the benchmarks used by marketing and advertising agencies to evaluate this audience. TRP or Television Rating Point is a tool for determining which shows are most watched and indexing viewer selection. It helps you calculate which channels and shows are most watched and show the popularity of your TV channels and shows. Shows the number of times you have watched a particular channel or program.
How TRP is calculated
Currently, INTAM (Indian Television Audience Measurement) is the only institution active in the field of TRP calculation.This works in two ways.
1) Frequency Monitoring Method
To calculate the TRP this way, connect the device to the TV in the home of thousands of viewers to determine. This device, called a village meter, records the time and program a viewer is watching on a particular day. After that, it takes an average of 30 days to check the status of the exam. Peoples Meter is a very expensive device imported from abroad.
2) Picture Matching Technique
In this technique, a person’s meter always records a small portion of a particular television image. Data is then collected from the sample house and used to calculate the country’s valuation. This technique is more reliable and relatively new in India.
How TRP effects Income
TRP can be low or slightly higher due to fluctuations in the viewership of the TV channel. This has a direct impact on revenue as advertisers pay more for higher TRP channels than lower TRP.
Therefore, as TRP increases, so does revenue. At the same time, as TRP decreases, so does income. Therefore, TV shows are always focused on improving viewer participation in TV viewing.
How do TV Shows & Channels Earn From TRP?
To promote a product or service through ads that appear in the middle of the program within 2 minutes, you must pay a certain amount (mainly high) to each channel or advertiser.
For example, you’ve noticed that the program is always interrupted. Your ad is currently being displayed by an advertising agency.
There is an important link between the advertiser and the TRP. In fact, the channels with the highest TRP require more money to ask advertisers to show ads during the program, or during breaks. Companies are paying channel owners a lot of money to show ads in TRP programs. The main purpose of displaying ads for these businesses is to promote their products or services to more people. In this way, TV channels make good money.
RESULT OF TRP INCREASE OR DECREASE
Channel revenue is affected by changes in the program’s TRP. Since the main revenue comes from advertisers, they invest money in channels with high TV ratings that are entirely TRP. A high TRP means that more people are watching the show on a particular channel. Increasing the number of viewers means more reach for advertisers.
If the channel has a low TRP, the advertiser will serve them some ads. Therefore, the channel is less profitable. More TRP will show more viewers and lead to more advertisers and therefore more money. Advertisers try to schedule ads with a high TRP during the show.