Measurement company Comscore on Thursday disclosed undertaking a restructuring plan that includes employee layoffs as it looks to improve cost efficiencies more broadly.
An 8-K filing with the SEC stated that the company “communicated a workforce reduction” as part of the restructuring, without saying how many employees would be impacted. It did state that terminations are expected to cost the company between $6 million to $8 million in severance, termination benefits and related costs for those impacted.
Additionally, Comscore expects the restructuring plan to reduce the company’s data center footprint, resulting in cash charges of around $6 million to $8 million. It also plans to reallocate commercial and product development resources, reinvest and modernize key technology platforms and reduce other operating expenses such as software and facility costs. Comscore may also decide to exit certain geographic regions “in order to more effectively align resources with business priorities.”
Overall, costs for the restructuring are anticipated to range between $13 million and $18 million, which in addition to the employee severance and data center reductions include $1 million to $2 million for associated costs such as legal, consulting and professional fees.
Comscore anticipates completing the restructuring plan in the fourth quarter of 2023.
Comscore is one of the measurement companies looking to serve as an alternative to Nielsen, embarking on tests to use its data as potential ad buying and selling currency. In June Horizon Media tapped Comscore data to provide local TV viewership data for buying and planning as it tests alternate currency. Just last week Comscore announced dentsu will be the first agency network to place buys in local markets using advanced audiences for its three U.S. media agencies Carat, dentsu X and iProspect. The partnership means dentsu is shifting local TV buying to a Comscore-based currency, supporting transactions on advanced audiences in all 210 local markets.
In July, Comscore named then-CFO Jon Carpenter as chief executive officer, replacing Bill Levik, who retired.