Super Bowl LVII is upon us, but it’s not just football fans who are gearing up for the big game. Various companies are targeting the football field, aiming to reap substantial profits from their high-profile, multi-million dollar advertisements featuring famous stars.
A typical 12:30 a.m. spot costs around $7 million this year. That’s up from $2.5 million in 2010, according to Timothy Calkins, a marketing professor at Northwestern University’s Kellogg School of Management, who tracks the numbers annually. He says the costs only go up from there.
“If you do the 00:60 second spot, we call that $14 [million]let’s put $2 million in production…$2 million in social media…and $2 million in other promotions,” he said, for a grand total “easily $20 [million].”
Businesses don’t wait for their return on investment to materialize. Calkins said advertisers “should already be taking advantage of this [their] investment before the game really begins” by generating enthusiasm.
“It’s not just about releasing a teaser. A lot of advertisers are going to announce that they have a Super Bowl ad, then they’re going to announce that they’re going to use a particular celebrity, and then they’re going to announce that they’re going to pitch that creative idea,” Calkins said.
Bud Light (BUD) turned to Miles and Keleigh Teller to attract next-generation audiences. The two shared the ad in which they are featured on TikTok and received 1.5 million views in one day.
Bud Light teams up with Miles & Keleigh Teller to show how its iconic beer is “easy to drink, easy to enjoy” as the brand embarks on a new era (courtesy Bud Light)
Additionally, General Motors (GM) and Michelob ULTRA have decided to work with Netflix (NFLX).
Will Ferrell stars in a General Motors commercial that will air during the game. In the co-branded campaign, Ferrell drives GM electric vehicles through various Netflix shows, including Stranger Things, Love is Blind and a Squid Game.
Meanwhile, Michelob ULTRA featured a beer tap protruding from a golf bag with a television. On screen, Netflix’s new documentary, Full Swing, shows a short clip from the show, which is set to debut on February 15.
Allen Adamson, co-founder of marketing and branding consultancy Metaforce, said the two companies were likely trying to differentiate themselves.
“By trying to get closer to the hip side of Netflix and the current buzz among consumers, regardless of the program, advertisers hope to get out of the sea of equality where everyone is doing the same thing.”
Another partnership this year is the collaboration of Molson Coors (TAP) with sports betting platform Draft Kings (DKNG). Consumers are encouraged to bet on spot details before the game for a chance to win a grand prize of $500,000.
Calkins calls these partnerships, when done right, the “holy grail” of marketing.
And, of course, M&M’s is causing a stir even before its advertising with its splash campaign. In the teaser, Maya Rudolph, their new spokesperson, explains that M&M’s are changing their name, Ma&Ya’s, replacing the famous “Spokescandies” of the brand.
Many think it’s a huge publicity stunt, but it works, according to TV measurement and analytics firm EDO, which says viewers who saw the ad are 88% more likely to engage. with the M&M brand than the average M&M ad last year.
Captured by Yahoo Finance (Screenshot from ‘Ma&Yas YouTube)
Other consumer giants, including Kraft Heinz (KHC) and Hormel Foods (HRL), are forgoing in-game ads and launching game-themed products instead.
Kraft Heinz introduced the limited-edition LVII MEANZ 57 ketchup bottle, giving fans a chance to ditch the traditional Super Bowl Roman numerals.
Hormel Foods partnered with a small brewery, Modist Brewing Co., to create a limited edition HORMEL Chili Cheese Brew that sold out almost immediately.
Adamson said traditional packaged foods no longer stand out on the big screen like they used to.
“These traditional packaged foods, the staples, are really struggling here with social media where people are just sharing the extraordinary… No one is sharing a bottle of ketchup or a can of chili on social media. They really have problems in a world of social media. They did better when people were tied to their couches and had to watch commercials because there was no alternative.
Brooke DiPalma is a reporter for Yahoo Finance. Follow her on Twitter at @BrookeDiPalma or email him at [email protected]
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