Tuesday, September 21, 2010

super budget, super brand, super bowl

The Super Bowl is one of the most widely watched TV programs out there, and for sports fans it is the be all, end all of athletics.  Once February rolls around, regardless of your teams standing or your interest in the game, an average of 90 million viewers tune in.  But, are all the viewers putting on CBS for the game? NO. Sure there is the pre-show, the player/coaches interviews, the half-time performance, and of course the 2 halves full of touch downs, picks, and big hits, but what people really want to see...the commercials.  It is said that the Super Bowl is one of the few TV programs that has not been affected by audience fragmentation, meaning the new demand for social media, video games, movies, and pod casts, and commercials are partly responsible.

When researching Public Relations research results and how they can affect sports, I came across another blog that had some interesting facts about the Super Bowl and their commercials.

During Super Bowl XLIV, a 30 second ad on CBS cost a company between $2.5-$2.8 million dollars.  Now that doesn't include the cost to produce the ad, totaling nearly $4 million dollars for 30 seconds of brand recognition.  Why do companies continue to spend their annual budgets on those 30 seconds? Because they have to.  Certain famous ads, such as previous ones from Pepsi, Budweiser, and Snickers have created their own fan base.  People tune in just to see who the latest celebrity to endorse the product is, or what creative scene they will depict that year.  Whether they are trying to attract an audience, just get their name out there, or out-advertise competition, the ads are being seen by an enormous public.

In 2009, Pepsi decided for the first time in 23 years that they were not going to put an ad out during the Super Bowl, but rather do their advertising via social networks.  For the company it meant that their competitor, Dr. Pepper won that year in terms of hits.  The Dr. Pepper ads were seen by enormously bigger crowds than the Pepsi ads were.  Although the blog did not specify whether Pepsi sales decreased or Dr. Pepper increased, I would guess it did not help Pepsi.  Sure they are a highly recognizable and dependable brand, but that night Dr. Pepper was the name on top of everyone's mind.

Budweiser, another brand people are at the edge of their seats waiting for, decided to also cut back in 2009.  They did not produce the commericals they usually put out claiming they did not intend to gain awareness, but rather just keep their name circulating.  Well, the company instantly regretted this decision as shipments fell 9.5% from the previous year.  Their plan? Get as much time in the 2010 Super Bowl as possible.  The company realized that advertising during the game is an integral part of their success.

A success story arising from the Super Bowl is the instant fame of GoDaddy.com.  5 years ago they launched their first 30 second spot during the Super Bowl, and the game is being credited with building and launching the brand.  They have since then put reoccurring ads on TV, but continue to work the Super Bowl.

Not all commericals are beneficial to a company.  Subaru for example had a disastrous experience with their Super Bowl commercial.  Not having the budget their competitors such as Toyota, Chevy, and Honda have, their commercial lacked spunk and influence while trying to launch their newest Impreza model.  The company spent their entire yearly budget on that ad with nothing to show for it.  Since then they have pulled their ads from the Super Bowl and stopped advertising with such recognized events.

It is proven that sales growth can result from time on the Super Bowl, and year after year CBS sells out their advertising space.  So despite what athletes and devoted fans would like to believe, people are not watching the Super Bowl just for the football.  The annual event draws in a crowd of TV obsessed, brand loyal, couch potatoes that fuel the market.  Without the Super Bowl, company advertisement may not be as successful, but without the much talked about and highly anticipated commercials, the Super Bowl may not be the biggest TV program of the year proving it to be a Public Relations practicioners dream come true.

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