District's Efforts to Raise Ad Revenue Lag

Members of the Moorestown Board of Education are frustrated that, nearly a year after signing a $22,000 contract to generate advertising revenue, the district is still stuck in neutral.

The board approved a contract with Advantage3, a Millburn-based firm that helps school districts seek corporate sponsorships, last November. But since then, the company has only brought one proposal to the table, from a company vaguely interested in advertising with the district, said business administrator Lynn Shugars.

“The company was interested in moving in that direction, but the specifics of what that would be weren’t clear,” she said. “Really this is the only thing they’ve come forward with so far.”

According to Shugars, Advantage3 did indicate the district probably wouldn’t receive much interest in advertising until this fall, namely because of how new the concept of advertising within schools is in New Jersey.

She said there’s not yet any proven examples of this model working in the state, but Moorestown is one of roughly 20 districts in New Jersey that are clients of Advantage3, including Brick Township and Evesham Township. The company also has clients in several other states, according to its website. 

“We’re not in the business of doing revenue-generating-type things,” Shugars said, “but as budgets get tighter, we have to seek alternative sources of revenue.”

Members of the budget and finance committee met with Advantage3 last month and had what Board President Don Mishler called a “very frank discussion” about the board’s expectations going forward.

Vice President Kathy Goldenberg said the committee expressed its frustrations, and were told the company was working on recruiting businesses.

“We’re still holding out hope,” said Shugars. “But I think it’s just not happening fast enough (for the board).”

The district’s contract with Advantage3 mentions field signage and naming rights—not bus ads though, because the state regulations had not been released when the contract was approved and the board didn’t know what was permissible, Shugars said—but makes no mention of estimated revenue.

“They don’t estimate,” she said, “because the district has the right of refusal.”

Included in the district's contract with Advantage3 is a clause that the first $22,000 of revenue generated through advertising would be used to replace the money the district used to pay the firm. 

"It's a commission deal," Board Member William Van Fossen explained.

Shugars said she hoped to provide an update to the board within the next couple weeks.