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The Reasons why Radio Stations give so much Money and how they Afford this

Most of you who love listening to radio have noticed how presenters are giving away a lot of money almost every show; you all have wondered how they can afford this for that long. Also most people might want to know if all this is true or just a scam. We did some research and here are the answers to your questions. 

How it works

Many contests on Radio give away a lot of cash and prize that are mostly contributed by sponsors who are participating in the whole idea. 

The contest are expected to increase the number of listeners through various ways one of them being 'word of mouth'. In this case a listener will inform another person about the promotions and the prizes. 

In simple terms, a station gives away money to attract audience who in turn attracts the sponsor to purchase advertising. These stations usually follow three rules; tell them you are going to do it, tell them you are doing it and lastly tell them you did it. 

In rare cases, the winner might not come to the station you are actually listening to because several large companies own a variety of radio stations belonging to the same group. 

This huge amount of money may be a company wide contest with many stations broadcasting the same contest and the winner will be chosen from all the stations

How the stations make money

The main source of income for radio stations and even TVs is advertisement. They sell air time to companies so that they may advertise their goods and products, They also sell the right to sponsor certain programs so companies get prominent advertising before, during and after popular programs.

Other ways include subscription where you are only allowed to watch or listen after making some payments and also selling their programs to other channels or stations. 

Is the contest true? 

The contest is basically real but of course the chances of winning are very low because thousands of listeners are also participating. 

We hope we cleared your doubts and answered your questions. Have you ever participated in any of the contests and won? 

Leave you comment below and hit the follow button just above you screen. 

Content created and supplied by: NastieEddie (via Opera News )


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