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Q: TV Show Ad Revenue from iTunes vs. Traditional ( No Answer,   1 Comment )
Question  
Subject: TV Show Ad Revenue from iTunes vs. Traditional
Category: Arts and Entertainment > Television
Asked by: jeffbridges-ga
List Price: $10.00
Posted: 12 Dec 2005 10:32 PST
Expires: 11 Jan 2006 10:32 PST
Question ID: 604865
How much money do tv shows (the producers, not the networks) make per
person who watches a TV show?  In other words, are TV shows making
more money from selling on iTunes for $1.99 than they do from
traditional advertisers?
Answer  
There is no answer at this time.

Comments  
Subject: Re: TV Show Ad Revenue from iTunes vs. Traditional
From: chicagobrain-ga on 16 Dec 2005 11:51 PST
 
Producers of a TV are paid to produce. They do not share
in the advertising dollars paid to networks who air the show.
Therefore, they do not get paid when the ratings are good
or poor. Ratings help producers make more money when
a show is "picked up" for another season or for more episodes.
If a show does well and goes into syndication (reruns),
producers make additional revenue based on residuals.
How much a producer makes depends on if he/she is an
executive producer, associate producer or producer and what
is stated in their contract.

As for TV vs. iTunes, it depends on who owns the content.
Selling programming to iTunes is the same as selling it
on a DVD or selling it for syndication. Producers will get
a share/percentage of proceeds based on their contract. But you have
to remember, the TV show is already produced and paid for
before it goes on iTunes. So every penny they get from an
iTunes purchase is in addition to what they got just for
producing the show for TV. 

So, are TV show (producers) making more money from selling on iTunes
for 1.99 than they do from traditional advertisers? Yes. 
Because they get nothing from traditional advertisers - they
are paid by the production company for making the show - and
they get residuals from iTunes for every episode purchased.
TV show producers' pay is not tied to number of people watchin on TV.
It is tied to the number of episoded ordered through iTunes.

does that help?
hope so.

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