1. PR5 Commercial Finances
Negotiated productionbudgets.
When the radio advert is in the pre-productionstages people who are
making the advert and the ones funding it have to go through everything
and what the most effective ways that they can fund the advert without
becoming bankrupt in the proses.With that in mind they need to decide
what the bestway to go forward with the production financially, deciding
what they should and shouldn’t provide for the production.
Music royalty payments.
when a radio company puts any kind of music on air to the public it could
catch the attention of the artist or the company that made it and they will
want to know why their music is being used on a radio station with no
financial transactions provided by the very people who broadcasted the
song so it could result in a court case, to avoid this, before all this gets
aired to the public terms need to be discussedwith the music or
productioncompany that designed the song or the product and
exchange funds that are acceptable forthe rights to the song to be
transferred. It is this method which stops many issues accruing in the
radio industry.
Voiceoverartists’ fees.
when a person who does voice overs comes to your studio for a
certain amount of time they will be requiring a fee for every hour
that they spend in that studio otherwise it won’t happen the artist
would just leave and find another station that will pay, it is the
same with any performance job suchas voice actors, singers or
screenactors.
2. Trafficking costs.
when the productis released it is going to be put up for sail to
other radio stations who would want to buy the advert and so fees
are discussedto determine what the advert is going for and
depending on how new the advert is, for instance when the advert
gets a few years old then the pricing for it will drop and the advert
will either get more and more commonor just get taken of air all
together.
Rate cards
rate cards are documentations containing placements forthe radio
adverts and how much it will costfor the establishment to broadcast the
advert and the price may vary on how public the establishmentmay be,
whether it is a hotel or a shopping center.
