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FCT (free commercial time) vs non-FCT inventory

Business Model & Unit Economics · Contracting & revenue model

What it is

Free Commercial Time is conventional spot advertising sold by the second. Non-FCT covers everything else a broadcaster monetises - brand integrations, sponsorships, product placement, branded segments and co-created content

The distinction matters because FCT is capped by the 12-minute rule while non-FCT is not, so it is the only route to selling more of a programme

Impact on industries

  • The single available escape from inventory caps - integrations and sponsorships add revenue without consuming regulated commercial minutes
  • Commands premium pricing since integration is harder to skip than a spot, and works across linear, digital and social simultaneously
  • Sales cycles are longer and delivery bespoke, so it does not scale like spot inventory - and editorial independence strains where advertisers shape content
  • With ratings suspended, non-FCT deals are easier to justify commercially than spot rates, since they are priced on integration value rather than measured reach

Industries affected