TV Funding

All channels get paid in different ways to broadcast their shows. BBC TV get their money from everyone’s TV licenses that they pay so they don’t need the money from commercial because they can't have any advertising. They are a public service so you don't have to pay extra for any of there channels so they have more ways to get money like merchandising,competitions and syndication. They make some of there content available on demand through other parties. This is referred to as syndication.
Channels like ITV and Channel 5 have advertising between there programmes so don't have to get paid with peoples license fees. For example, The X Factor is an extremely popular show and gets money by the audience ringing in to vote for the acts they want to stay in the competition, if nobody rang in then they wouldn't really have a show as they reliant on the votes they get. The show also holds competitions every show where they give the audience have a chance to win things, so this obviously draws them in even more which means more and more people will ring in, which means more money for the show. They both also use syndication competition and merchandising so it seems like they would earn more money from there channels. However BBC has allot more being a cross media channel including TV,radio and Internet unlike Channel 5 and ITV. These are both commercial channels.


Channel 4 gets the best of both because its a public service and commercial channel. They get there money and funding from the license fees,syndication,competitions,merchandising and advertising. Some of its funding came from the ITV companies in return for their right to sell advertisements. Nowadays it pays for itself in much the same way as most privately run commercial stations through the sale of on-air advertising, programme sponsorship, and the sale of any programme content and merchandising rights it owns, such as overseas sales and video sales.


Sky and Virgin Channels are subscriber channel. They get there main funding through people subscribing to pay extra to watch their channels, as well as the other public service and commercial channels. They also get their funding through syndication,competitions,merchandising and advertising just like all the others.
Certain programmes on channels makes them more money for example the X-Factor makes millions of pounds through its voting on the acts, because its a popular show therefore advertising revenue can be higher.