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AAAA Spot Contract

Source: Investopedia
This Article has been Edited for Accessibility

AAAA Spot Contract

What is 'AAAA Spot Contract'

A standardized contract drawn up by the American Association of Advertising Agencies that governs the purchase of television or radio spots. The AAAA Spot Contract is generally between the advertising agency that represents the client and the television or radio station. The contract spells out all relevant details of the purchase, such as the number of spots and the duration of the advertising campaign, the date and time of airing the spots, and the cost to the advertiser.

Explaining 'AAAA Spot Contract'

This type of contract is more likely to be used when the advertiser is buying spots in individual markets as opposed to buying spots on all the stations affiliated with a network in a large geographical region. While purchasing spots in individual markets is time-consuming, it is likely to be more targeted than buying spots on a network. Moreover, the standardized features of a AAAA spot contract make it easier for the parties involved to process them quickly.

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