With the Super Bowl being the biggest TV event of the year, it is no surprise that the cost of ads is going through the roof. Right now a 30 second ad during the big game is a hefty $4 million. After a rise in 60 second ads in 2008 and 2009, that trend is on the decline. With prices that high, it's no wonder.
What Does a $4 Million Ad Get You?
The exposure from that pricey 30 second ad can make a huge impact on your business. In 2011
GoDaddy.com saw a 41% increase in its business in the week following the Super Bowl. During that
same time frame, other Super Bowl advertisers like Groupon and Verizon Wireless saw only a 3% and 2% increase respectively in their business.
Depending on the size of your business and the value of a customer, even a 2-3% increase in business
may warrant the $4 price tag. It was certainly worthwhile for Mercedes-Benz who also advertised during
that game and saw a tidy 9% increase. However, if your market share is already high, your industry
competitive and there is little to distinguish you from competitors, costly Super Bowl ads may not be the way to go.
A Super Bowl ad is no guarantee of success in your business. Super Bowl 34 held in January 2000 had
19 .com advertisers. Of those, 8 no longer exist.
So What is An Advertiser to Do?
Every year companies spend more and more on advertising. The big names that consistently advertise
in the Super Bowl, like Anheuser-Busch, PepsiCo, Coca-Cola, General Motors and Walt Disney keepcoming back, so there must be significant value in doing so. In fact the exposure that comes from a Super Bowl ad comes down to about 3 cents per viewer, which is actually a very smart investment.
Opinions vary on whether or not the cost of Super Bowl ads is worth it. This infographic by iSatelliteTV takes a good look at some of the data for Super Bowl ads over the last 10 years. Take a moment and review the stats to see what you think.
Advertising investments, especially during events like the Superbowl, have always had an important role in the marketing strategies of big brands.
However, it is true, the cost for a few seconds of tv advertising is growing every year. It’s right and important then, reflect on the ratio between economic investments, number of people reached by the advertising message and the ROI (return on investment).
Moreover, it’s very important to consider that the new tools of communication, new apps and new technologies allow brands to invent new ways and new communication and marketing strategies..
Unlike traditional media, they can be more effective, creative, empathetic and above all economic.
So, rather than advertising on TV a Brand can do it on the main social media with a great costs saving.
In the end, I believe that what really matters is not only the “Return On Investment” but the “Return On Involvement” and the new social media play a great role in the consumer engagement.
Federica Fatale
Sales manager of Hieroglifs Translations