Revenue Streams and Funding
Tuesday 18th October
-Every project needs finance this comes through streams of revenue. These come with risk, unpredictability and return.
-Things that effect the type of finance that can be used/attracted is:
- size of organisation
- Commercial/Government
Sponsorship: When a company buys part into a brand to have there logo seen or for the company to be talked about.Brand association with the final product made by a company.
Corporate Finance: Money injected by business convinced that the project is a good investment and will provide a good return over a long period of time.
Franchising: The property of the original product is licensed to other partners for a commercial use like merchandising in return for a fee or share of resulting.
Advertising: Payment for brand placement within a media product.
- There are different revenue strams, which provide a source of revenue for a media project.
-Revenue streams= ways for a company to generate money
Types of Funding:
A Corporate Funding advantage is the computers running it needs a disadvantage in corporate funding is that the company funding might not be able to fund the amount wanted.
The advantage of sponsorship is that the company being sponsored has extra income coming in for the brand and a good brand sponsor. A disadvantage of sponsorship is that recommends image will be heavily related to the sponsorships actions.
And advantage of advertising is more people can be introduced to the brand e.g. Through a TV ad. And a disadvantage of an advertisement is that the advertising a product cost a lot to make and put out and the product being advertised might not make you that money back.
A advantage of franchising is that the company now has business associates and brand recognition.But a disadvantaged of franchising could be that the companies cost and fees will be a higher amount than before.
Advertising & Sponsorship:
The gaurdian website has many avcadoo sponsorship shown on there website.This sponsorship is tailored more to there audience as it's for an adult.
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