Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-03-01
CHAIN BROADCASTS
SHOW 1880 GROWTH
Networks Also Become Big
Field for Talent Book
ing Agencies.

Chain broadcasting in America not
only weathered the stormy financial
seas of 1880 but came through the year
with fiscal colors flying.
Increasing their revenues from the
sale Of time on the air" by AZ per cent
over 1929, the National Broadcasting
Co. and she Columbia Broadcasting
System together show gross income
from that source alone of $26, 667, 391
in 1880. This is exclusive of revenues
from other sources, such as program
talent-for today the networks are
among the largest booking agencies in
the show business.
Gross Income Announced.
Gross income to the N. B. G. from
time sold to advertisers during 1880
was $40 1902, TIL, an average of about
81 ,671 ,148 per month. Columbia gross
income from time sold was $6,704, $50,
an average of about $558,718 per month.
Though their choice broadcasttng
hours are now largely occupied by COM
mercial sponsors, neither has sold all
its available time, and both continue
to furnish far more sustaining or nom
commercial programs than sponsored
programs.
the value of $10,729,5 ST., forging 80 per
cent ahead of 1928, when their COM
bined income from time sold was $l0,-
252, 497. In 1927, when the N. B. c..
was alone in the field, network time
brought in $3,760,0l0.
These gross figures for time sold fur
nish the first inkling of the tremen-
dous economic advances made in broad
casting during the year just ended.
Though it is the parvenu of the show
business and the advertising fields,
A 1-1a AOn 49, rryHH ho-
cause of the novelty of audible adver-
Using or its intrinsic soundness as a
sales medium, increased its business
by leaps and bounds while most other
industries cried depression.
While the figures represent network
income alone, the proportion Of in
crease by individual broadcasting sta
tions-and most stations devote far
more time to programs Of their own
staging than to chain programs-is be-
lieved to be about the same. The
broadcasters everywhere, including the
little fellows who have no chain afilia-
year Of prosperity in 1880.
Radio Rates Compiled.
While the network income figures are
official, no such figure is available for
the aggregate income from time sold
by the Independently owned and operated
stations. Only one estimate has come
to the attention of the writer-that Of
the Bureau Of Advertising Of the
American Newspaper Publishers Asso-
citation, which says that advertisers are
spending between $50 1000. 900 and $780,
600. 900 year for local and spot broad
casting, talent not included.
Nor are figures available to show how
much income the chains and broadcast
ing stations derived from commissions
on talent provided for their advertising
clients, which in many cases Is very
substantial.
In view Of the big national networks
gross of nearly SGT ,000, 900 from time
sold alone, the $50, 00o, 900 to 1000, 900
estimate for time sold by local stations
and the various smaller networks
throughout the country would seem to
outside figure, 1t would appear that
more than 100000 was spent last
year for chain and local sponsored
broadcast hours. For the network time
the advertisers paid from about $500
to Sill 900 an hour, depending upon the
size of the network. For individual sta
ton time they paid from few dollars
to 81 $3.50 an hour, depending upon the
size Of the station, its powers and its
area OF coYerage.
with the cost of talent in many pro-
grams far exceeding the charges for the
use of network and station time, 1t is
fair to assume that the SIS, 00O, 900 fig
ure can be doubled to represent the
amount of money spent on broadcast
advertising In the United States. This,
however, is entirely guess; definite fig
ures are not available anywhere. Neither
have the chains or the stations given
out for any national compilation their
expenditures during 1880.
That the networks both earned the larg-
est profits in their history is well known
throughout the radio industry, although
each has spent large sums in promotion