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Bartering and cash...please explain

R

radio8z

Hello all,

I am not a broadcast professional and I am seeing words which I think I understand , yet I am not sure.

Please explain to me how bartering and cash works in broadcast.

Thanks,

Neil
 
Barter = you play my content, but you also play my spots.

Cash = green paper with dead presidents
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> Barter = you play my content, but you also play my spots.
>
> Cash = green paper with dead presidents
>
Hi Sam,

I didn't expect a reply in two minutes. Thanks.

So, if I understand this, bartering is I play your program with your spots (I assume this is ads) and I don't pay for your program.

Otherwise, I buy you program.

Am I close?

Neil
 
Neil:

Check out the News/Talk forum. Most national and regional talk shows are cleared, or authorized for air, for free. The barter method was created years ago as a means for a syndicator get more clearances while most shows were sold for cash. With so many radio stations, many of them becoming low-rent talk operations, it's easy to pick up a whole slate of shows at no cost, automate them, and leave it to the syndicator to sell spots to make a profit. Of course, this makes some sense in that national organizations are a lot better at selling ads than KXYZ in Sioux Falls.

99% of syndicated morning shows are sold for cash. Since some of them are crap, I still haven't figured out why. Howard Stern got millions in some markets. Also, Rush and more recently Hannity charge for their show. It's a closed bid process. Read below and you'll see that large markets also pay ratings bonuses based on a show's performance in their market.
 
> > Barter = you play my content, but you also play my spots.
> >
> > Cash = green paper with dead presidents
> >
> Hi Sam,
>
> I didn't expect a reply in two minutes. Thanks.
>
> So, if I understand this, bartering is I play your program
> with your spots (I assume this is ads) and I don't pay for
> your program.
>
> Otherwise, I buy you program.
>
> Am I close?
>
> Neil
>

Sounds like a similar arrangement to a syndicated TV show I was co-producer on. Each 1/2 hour show had 12 avails (available slots for ads). We sold six slots plus the new products segment (basically 2-60 sec. commercials)and the cable network sold the others six plus got the show free (for the 1st season).

When the show developed an audience, we charged the cable network a modest fee for the show in its 2nd season and kept the same 6/6 split for the ads. In turn, the network got a banner ad on the show's website. We used this arrangement in Europe, Australia and New Zealand in addition to the U.S.

It's a typical arrangement for a cable series and I'm sure is one that's used in all media outlets, or something similar to it.

When you're trying to get content on the air, you'll find all kinds of ways to get it there.

db
 
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