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Do radio stations get paid to play songs?

Radio stations always, as well as television channels, are an income source for the founders. There is a lot of earnings sources for radio.

First, it is advertisement. The more audience at radio station, than the large territory becomes covered by her signal, the more regions is captured by network of radio stations of a certain brand, the cost of second of advertisement on such radio is higher. It is possible to say that advertisement revenues are the main source of earnings for radio safely.

Secondly, besides usual advertisement, sponsorship and commercial plots with a mark «as advertisement» radio stations are earned also on various special projects. The speech can go, for example, about prizes to participants of quizzes, the paid interviews or comments and other so-called denim. And at colloquial stations of opportunities for additional sources of income it is much more, than on musical. About 51% of all revenues of radio station can fall on such special projects. An indicator of power ratio which is a share ratio in the advertisement market to a share of audience and which just reflects, simply speaking whether the radio station earns on each listener, is one of key parameters when choosing by the advertiser of radio station. Successful the station is considered when power ratio is equal or exceeds 1.

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Pays a royalty for playing of music and songs of radio to copyright owners. And here radio receives a payment for playing of songs too, but already from record companies, promoters or just certain performers. In this case it is about a peculiar advertisement of compositions – their promotion. All relationship in this case is made out documentary.

Radio gains also considerable income for playing of songs to order. Some radio stations have congratulatory air during which listeners can present the song or music, for example, as a gift for a birthday. Such music is surely paid by the customer.

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