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Media Industries

Funding: commercial, subscription and public money

  • 3 things to know
  • Components 1 and 2

Overview

Main ways a media product can be funded, commercial funding and subscription model.

What you need to know

Answer each one before you reveal it.

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Key term

How are media products paid for, and what does commercial funding depend on?

Key term

Name the main ways a media product can be funded.

Key term

What is meant by commercial funding?

Questions from this subtopic

Each one with the model answer underneath.

  1. 1

    Name the main ways a media product can be funded.

    Model answer

    Media products are funded by advertising, direct sale, subscription, public money and sponsorship. Many organisations combine several of these sources.

  2. 2

    What is meant by commercial funding?

    Model answer

    Commercial funding comes from the market rather than the state, mainly through advertising and sales. A commercially funded product must earn enough to cover its costs.

  3. 3

    How does advertising revenue shape a newspaper's content?

    Model answer

    Advertisers pay for access to readers, so a title must hold the readership they want. Content is shaped to keep that audience reading.

  4. 4

    What is a subscription model?

    Model answer

    A subscription model charges the audience a regular fee for continued access. Subscription video services and newspaper paywalls both work this way.

  5. 5

    Why have newspapers moved towards online paywalls?

    Model answer

    Print sales and print advertising revenue have fallen sharply. A paywall charges online readers directly to replace the lost income.

  6. 6

    What is meant by not-for-profit public funding?

    Model answer

    Public funding pays for media from public money rather than from sales or advertising. The organisation's aim is public service rather than profit.

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AWoman's Hour began on the BBC Light Programme in 1946.
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