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The Cost of Superbowl Ads

SUPERBOWL ADS If you're going to spend $2.5 million on anything, you're going to want to make absolutely sure you're getting your money's worth. And if that princely sum is going to be used to buy a 30 second commercial spot during a Super Bowl, you have even more incentive to make sure your message gets across to consumers and that the immediate exposure generated by the spot actu- ally translates into increased recognition and/or interest in your brand. The following infographic serves to provide a little insight into the world of ad- vertising during one of the biggest television events every year. The Super Bowl reaches more than 90 million viewers every year. Super Bowl LIV became the most-watched Ameri- can television program in history, drawing an aver- age audience of 106.5 million viewers. Because of the high ratings, advertising rates typically cost millions of dollars. In 1990, a 30 second spot cost an advertiser $700,000. 30 seconds of advertising time during the 2010 telecast of the Super Bowl was about $2.6 million (this does not include the costs and fees for actors, equip- ment, ad agencies, directors, crew and other personnel). The high price tag of the commercials promises most of the ads will be innovative and highly entertaining. They're usually only broadcast on the originating American network because the cost of buying com- mercial time does not include ad time on foreign broadcasters, which sell their own advertising. | 18 The Super Bowl commercials are always highly anticipated, generating a lot of buzz, including non-football fans. Also, there's lower interest in American football outside of America and some of the companies advertising during the game have no presence in other countries. The invention of TiVo and other digital recording devices which allow viewers to skip over commercials has been a cause for concern for advertisers. TiVo reported that viewers were pausing and rewinding back to previous commercials that they enjoyed. There's also concern from marketers TiVo that Super Bowl advertising has gotten so expensive that it does not positively impact an advertiser's market share. The commercial approval process has come under heavy scru- tiny since CBS approved an ad sponsored by a conservative Christian group called Focus on the Family for Super Bowl LIV. Go Dadde BANNED .COM GoDaddy was one of the first adver- tisers who set out to capitalize on the fact that ads get rejected and find there's a PR opportunity in that. A rejection and the attention that it generates can be as valuable as paying for a network ad. A frequently misquoted figure from NFL press releases has led to the common belief that the Super Bowl has an annual global audience of approximately 1 billion people. The reality is is the 1 billion figure is the potential worldwide audience. This is comparable with the final European UEFA Champions League, Advertising costs in soccer, however, is lower as far as tv commercials go, as most of their advertising money AON making both the most watched annual sporting events. Super Bowl commercials say everything about American culture and tell us a ton about what's up, right now. goes into sponsoring the teams themselves and having the companies logo on the players' jerseys. For 2010, the underlying message in the commercials was: there's a reces- sion, we want to be distracted from it, and the Internet is helping. Thanks to social media, we can rate and evaluate Super Bowl ads in more ways now than ever. Apple Computer's "1984" commercial introducing the Macintosh computer in 1984 essentially created "event marketing". Directed by Ridley Scott, it was only aired one time on television and became the premier showcase for high concept and expensive commercials. It's a mesmerizing, direct allusion (and response) to the same fears expressed towards technology in George Orwell's 1984: cultural concerns about the personal impact of technology on identity and self-control. Coke's "Mean" Joe Greene commercial is credited as one of the best, most culturally iconic and significant commercials in all of advertising Coke's "Mean" Joe Greene commercial is cred- ited as one of the best, most culturally iconic and significant commercials in all of advertising. Coke offered a utopian moment of healing built around a "pause that refreshes"; drinking a Coke now provided a magical salve that symbolically healed the racial divide in American society. The ad offered a story of racial healing for a country that couldn't contain it's racial conflict at the time. Almost every single car advertised during Super Bowl LIV, Hyundai Sonata, Dodge Charger, Kia Sorento, Audi A3 TDI, Honda Accord Cross- tour and a generic ad for Volkswagen, all received positive feedback, based on next day traffic stats. Hyundai Sonata (3 30 second ads and in-game Dodge Charger sponsorships) Honda Accord Volkswagen (1 60 second ad) Kia Sorento Audi A3 TDI Crosstour (1 60 second ad) (1 60 second ad) (1 60 second ad) (1 30 second ad) KIA Sorento Super Bowl Traffic A3 Super Bowl Traffic Change: +47% Sonata Super Bowl Traffic Change: +56% Accord Cross- Change: +166% Charger Super Bowl Traffic Change: +24% tour Super Bowl Traffic Change: +14% Hyunda Super Bowl Traffic Change: +24% Dodge Super Bowl Traffic Audi Super Bowl Traffic Change: +13% Honda Super Bowl Traffic Super Bowl Traf- Change: +3% fic Change: +3% Volkswagen Kia Super Bowl Traffic Change: Change: -7% -12% *All traffic percentages are Super Bowl Sunday's traffic compared to average daily traffic over the past 30 days. information provided by: Sources: Bowl Holt. How Brands Become Icons, p.25-26 Bowl advertising#History CBS looking for $2.6 million for a 30-second Super Bowl ad - Jan. 3, 2007 "Brand Winners.. And Losers: GM and Congress" Marketing Doctor Blog. October 4, 2008. Super Bowl Commercials: Hit or Miss?" Fox Business News, Happy Hour. January 31, 2008. Bowl#Television coverage and ratings "Super Bowl dethrones 'M*A*S*H,' sets all-time record". The Live Feed. February 8, 2010. Hoffarth, Rex (2009-02-01). "NBC's Super Bowl history". Los Angeles Newspaper Group. Retrieved 2010-02-07. Rushin, Steve (2006-02-06). "A B Super Bowl XL to Attract Close to 1 Billion Viewers Woridwide, Voice of America, February 3, 2006 People Can Be Wrong". Sports Illustrated. Rotrieved 2007-01-16. Super Bowl XLI broadcast in 232 countries, NFL press release, E "Champions League beats Super Bowl". BBC News. January 31, 2010. Retrieved May 24, 201o. htp:// details.php?news 3, 2007 details bn://wou x.htm _id=8049&idCategory=37 28-maney x. nip:// y superbowl-ads-matter/ http://www. b 456536.html /story/company-news/do-super- x.htm bowl-ads-still-work-yes-if-you-sell-controversy-or-j/19341468/

The Cost of Superbowl Ads

shared by maggie on Apr 18
Ads during the Superbowl are the most expensive and elaborate ads that are produced on television. Learn about their history and how much they cost.


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