You are here:

Radio Industry/Radio Station Costs Per Hour

Advertisement


Question
QUESTION: Marc,

We have a 2 hour syndicated show that plays late 5o's and early 60's music that we're trying to "sell" to the general radio market.  The show comes "turn key" to the station with room for its advertising and is hosted by our DJ.

We are trying to determine what a fair price for "selling" this to a station should be.  Most of the market we will begin to sell to are smaller, FM stations that could use the programming as unique change of pace.

Your thoughts?

Art

ANSWER: Hi Art -

The best way to "sell" this station in 2015?  Offer it as a barter program for small market stations.  Unless you're a Rush Limbaugh, most stations don't even consider a program they have to pay for.

Now, before you shrug your shoulders in dismay - there is a possibility you can actually make money on this.  Start regionally.  Pitch local stations to carry the show with the understanding that you'll be adding sponsors as part of the deal.  Why regionally?  You can identify local and regional businesses that could benefit from regional advertising at a low cost.

Bug me if you need more details/assistance.

Marc

---------- FOLLOW-UP ----------

QUESTION: Not sure what the smaller stations would be bartering for.  If I add sponsors to a regional market and give the station our program, we would want the revenue from the ads.  How does the station benefit, beyond not having some of the costs of programming?  What am I missing?

Art

Answer
You would sell advertising to local/regional businesses in order to make/keep money. You would offer the program to small/medium market stations in a barter agreement - they agree to play your commercials in exchange for having the program.  The station benefits from space in the program which would allow them time per hour to sell/insert their own local commercials.

Potential hour:  (Your spots air in the Network slots)

:00 TOH ID/Program Begins
:18 First Commercial Break - Network
:20 First Commercial Break - Local
:22 Second Program Segment
:35 Second Commercial Break - Network
:37 Second Commercial Break - Local
:39 Third Program Segment
:51 Third Commercial Break - Network
:52 Third Commercial Break - Local
:53 Fourth Program Segment
:59:50 - Break for TOH

Network avails (Time you would have to sell into the program) 5:00
Local avails (Time local stations could sell to their local sponsors) 5:00

Self syndication is an uphill battle, between getting stations to sign on and getting network advertisers.  It's a vicious cycle - you won't get "major" advertisers without a bunch of stations and you may not get a lot of stations due to the changing world of radio in 2015.

Radio Industry

All Answers


Answers by Expert:


Ask Experts

Volunteer


Marc Lemay

Expertise

Can answer general radio broadcasting questions, voice overs, radio production, radio advertising, station operation, AM radio questions, programming questions, local radio questions, radio marketing, radio tech, radio formats, radio education, podcasting, radio and the internet

Experience

More than 20 years experience working for small and medium market radio stations in New England.

Education/Credentials
High school graduate, learned all I had through the School of Hard Knocks.

©2016 About.com. All rights reserved.