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Sunday, May 16, 2010 4:56:08 PM
Well after researching how much a national infomercial costs, I would have to say that their sales, will, or at least hopefully be in the millions to cover their costs.
Here is a short quote from the following money.cnn.com site:
http://money.cnn.com/magazines/business2/business2_archive/2005/06/01/8263460/index.htm
"The fat margins are needed to cover production, telemarketing, and fulfillment--costs that generally range from $35,000 to $350,000 per spot, . . . Media buying is the other big expense, with prices from $20,000 for initial small-market testing to as much as $1 million per week for a nationwide cable rollout."
Here is another short quote from the same page:
"Successful pitches can generate annual sales of as much as $50 million, and breakout hits become gold mines: Ron Popeil has sold $1 billion worth of Ronco rotisserie ovens, while the Tae-Bo Workout infomercial (produced by Hawthorne disciple Mark Anuso) netted $300 million in its first year."
Numbers should be surprising one way or the other.
Hopefully to the good.
.
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