Nielsen to Split Ito Two Companies, Splitting Commerce Data From Media Ratings #Kenny_SaidNovember 8, 2019
Nielsen will split into two separate public companies, breaking apart its Watch media measurement and metrics business from Connect, which provides market share analytics and attribution in the CPG and retail category.
The decision, announced during the company’s Q3 earnings report Thursday, comes after a yearlong strategic review, where Nielsen considered sales offers or other spinoff and exit opportunities.
The company is conducting a search for a new CEO of the Connect business.
The media measurement group grew almost 4% year over year to $870 million in Q3.
The businesses are also more efficient and will have higher growth potential operating separately, Kenny told investors.
For years, Nielsen and clients pursued a thesis that they could multiply marketing ROI by consolidating measurement for what people watch and what people buy, Kenny said.
The Connect business’s focus on retail data meant that the Watch business was necessarily over-indexed to that category.
Watch will also look for more measurement opportunities beyond advertising.
The Watch group will partner with outside data providers if customers use other vendors to match media to store sales or other business outcomes.
Kenny said Nielsen is “pushing forward with digital initiatives” and sees a chance to be a comprehensive cross-platform audience rating.
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