Question NW46 to the Minister of Communications and Digital Technologies
18 April 2023 - NW46
Kohler-Barnard, Ms D to ask the Minister of Communications and Digital Technologies
Whether the sales management of the SA Broadcasting Corporation requests advertisers to pay upfront in order to pay for staff salaries and in return give up to 700% added value; if not, why not; if so, what are the relevant details?
Reply:
I have been advised by the SABC as follows:
The SABC Sales division uses various standard trading models with associated payment plans to commercialise inventory and generate revenue. In the case of unsold inventory for prime and shoulder time, the SABC offers advertisers who pay upfront an 86% discount or a 700% exposure deal in order to boost sales revenue. The exposure deal implies that advertisers who buy exposure and pay upfront for, example, R100 from the SABC get value of R700 or an 86% discount.
The respective models are mutually agreed to by the client and the SABC based on the nature of the requirements and deals, and the revenue generated is used for various business operations.
Thank You.
PQ 46: Hon.D Kohler (DA) to ask the Minister of Communications and Digital Technologies, NW 46E