![]() | The examples and perspective in this article deal primarily with the United States and do not represent a worldwide view of the subject. (October 2011) |
In the United States, commercial radio stations make most of their revenue by selling airtime to be used for running radio advertisements. These advertisements are the result of a business or a service providing a valuable consideration, usually money, in exchange for the station airing their commercial or mentioning them on air. The most common advertisements are "spot commercials", which normally last for no more than one minute, although extended versions, commonly running for up to 45, 60 or more minutes, are termed "informercials" because they delve deeper into detailed information on and stories about commercial product or service offerings.
The United States Federal Communications Commission (FCC), established under the Communications Act of 1934, regulates commercial broadcasting, and the laws regarding remain relatively unchanged from the Radio Act of 1927.[1] In 2015, radio accounted for 7.8% of total U.S. media expenditures.[2]