Television's broad reach makes it a powerful and attractive medium for advertisers. Many television networks and stations sell blocks of broadcast time to advertisers ("sponsors") in order to fund their programming.
United States
Since inception in the U.S. in 1940, TV commercials have become one of the most effective, persuasive, and popular method of selling products of many sorts, especially consumer goods. U.S. advertising rates are determined primarily by Nielsen ratings. The time of the day and popularity of the channel determine how much a television commercial can cost. For example, the highly popular American Idol can cost approximately $750,000 for a thirty second block of commercial time; while the same amount of time for the World Cup and the Super Bowl can cost several million dollars.
In recent years, the paid program or infomercial has become common, usually in lengths of 30 minutes or one hour. Some drug companies and other businesses have even created "news" items for broadcast, known in the industry as video news releases, paying program directors to use them.[18]
Some TV programs also weave advertisements into their shows, a practice begun in film and known as product placement. For example, a character could be drinking a certain kind of soda, going to a particular chain restaurant, or driving a certain make of car. (This is sometimes very subtle, where shows have vehicles provided by manufacturers for low cost, rather than wrangling them.) Sometimes a specific brand or trade mark, or music from a certain artist or group, is used. (This excludes guest appearances by artists, who perform on the show.)
United Kingdom
The TV regulator oversees TV advertising in the United Kingdom. Its restrictions have applied since the early days of commercially funded TV. Despite this, an early TV mogul, Roy Thomson, likened the broadcasting licence as being a "licence to print money".[19] Restrictions mean that the big three national commercial TV channels: ITV, Channel 4, and Five can show an average of only seven minutes of advertising per hour (eight minutes in the peak period). Other broadcasters must average no more than nine minutes (twelve in the peak). This means that many imported TV shows from the US have unnatural breaks where the UK company has edited out the breaks intended for US advertising. Advertisements must not be inserted in the course of certain specific proscribed types of programs which last less than half an hour in scheduled duration; this list includes any news or current affairs program, documentaries, and programs for children. Nor may advertisements be carried in a program designed and broadcast for reception in schools or in any religious service or other devotional program, or during a formal Royal ceremony or occasion. There also must be clear demarcations in time between the programs and the advertisements.
The BBC, being strictly non-commercial is not allowed to show advertisements on television in the UK, although it has many advertising-funded channels abroad. The majority of its budget comes from TV licencing (see below) and the sale of content to other broadcasters.
Republic of Ireland
The Broadcasting Commission of Ireland (BCI) (Irish: Coimisiún Craolacháin na hÉireann)[20] oversees advertising on television and radio within the Republic of Ireland on both private and state owned broadcasters. Similar to other European countries, advertising is found on both private and state owned broadcasters. There are some restrictions based on advertising, especially in relation to the advertising of alcohol. Such advertisements are prohibited until after 7pm. Broadcasters in the Republic of Ireland adhere to broadcasting legislation implemented by the Broadcasting Commission of Ireland and the European Union. Sponsorship of current affairs programming is prohibited at all times.
As of October 1, 2009 the responsibilities held by the BCI are gradually being transferred to the Broadcasting Authority of Ireland.
Taxation or license
Television services in some countries may be funded by a television licence or a form of taxation which means advertising plays a lesser role or no role at all. For example, some channels may carry no advertising at all and some very little, including:
- Australia (ABC)
- Norway (NRK)
- Sweden (SVT)
- United Kingdom (BBC)
The BBC carries no advertising on its UK channels and is funded by an annual licence paid by all households owning a television. This licence fee is set by government, but the BBC is not answerable to or controlled by government and is therefore genuinely independent.
The two main BBC TV channels are watched by almost 90 percent of the population each week and overall have 27 per cent share of total viewing.[21] This in spite of the fact that 85% of homes are multichannel, with 42% of these having access to 200 free to air channels via satellite and another 43% having access to 30 or more channels via Freeview.[22] The licence that funds the seven advertising-free BBC TV channels currently costs £139.50 a year (about US$215) irrespective of the number of TV sets owned. When the same sporting event has been presented on both BBC and commercial channels, the BBC always attracts the lion's share of the audience, indicating viewers prefer to watch TV uninterrupted by advertising.
The Australian Broadcasting Corporation (ABC) carries no advertising (except for internal promotional material) as it is banned under the ABC Act 1983. The ABC receives its funding from the Australian Government every three years. In the 2008/09 Federal Budget the ABC received A$1.13 Billion [23]. The funds assist in providing the ABC's Television, Radio, Online and International outputs. The ABC also receives funds from its many ABC Shops across Australia. However funded by the Australian Government the editorial independence of the ABC is ensured through law.
In France and the Republic of Ireland government-funded channels carry advertisements yet those who own television sets have to pay an annual tax ("la redevance audiovisuelle").[24]
Subscription
Some TV channels are partly funded from subscriptions and therefore the signals are encrypted during broadcast to ensure that only paying subscribers have access to the decryption codes. Most subscription services are also funded by advertising.
Genres
Television genres include a broad range of programming types that entertain, inform, and educate viewers. The most expensive entertainment genres to produce are usually drama and dramatic miniseries. However, other genres, such as historical Western genres, may also have high production costs.
Popular entertainment genres include action-oriented shows such as police, crime, detective dramas, horror, or thriller shows. As well, there are also other variants of the drama genre, such as medical dramas and daytime soap operas. Science fiction shows can fall into either the drama or action category, depending on whether they emphasize philosophical questions or high adventure. Comedy is a popular genre which includes situation comedy (sitcom) and animated shows for the adult demographic such as Family Guy.
The least expensive forms of entertainment programming are game shows, talk shows, variety shows, and reality TV. Game shows show contestants answering questions and solving puzzles to win prizes. Talk shows feature interviews with film, television and music celebrities and public figures. Variety shows feature a range of musical performers and other entertainers such as comedians and magicians introduced by a host or Master of Ceremonies. There is some crossover between some talk shows and variety shows, because leading talk shows often feature performances by bands, singers, comedians, and other performers in between the interview segments. Reality TV shows "regular" people (i.e., not actors) who are facing unusual challenges or experiences, ranging from arrest by police officers (COPS) to weight loss (The Biggest Loser). A variant version of reality shows depicts celebrities doing mundane activities such as going about their everyday life (Snoop Dogg's Father Hood) or doing manual labour (Simple Life).
Social aspects
Main article: Social aspects of television
Television has played a pivotal role in the socialization of the 20th and 21st centuries. There are many aspects of television that can be addressed, including media violence research.
Environmental aspects
The 50 years of Television commemorative coin
With high lead content in CRTs, and the rapid diffusion of new, flat-panel display technologies, some of which (LCDs) use lamps containing mercury, there is growing concern about electronic waste from discarded televisions. Related occupational health concerns exist, as well, for disassemblers removing copper wiring and other materials from CRTs. Further environmental concerns related to television design and use relate to the devices' increasing electrical energy requirements.[25]
In numismatics
Television has had such an impact in today's life, that it has been the main motif for numerous collectors' coins and medals. One of the most recent ones is the Euro gold and silver commemorative coins (Austria) minted in March 9, 2005. The obverse of the coin shows a "test pattern", while the reverse shows several milestones in the history of television.