Is Super Bowl advertising worth it? Perhaps not.
More than half of first-time advertisers eschew the big game
January 17, 2017
Every year there’s a great debate over whether Super Bowl advertising is worth it.
Some say the price of the ads, up to $5 million for 30 seconds, is way too high to justify the investment.
Others argue the price isn’t too bad considering the massive audience, but the creative stakes have gotten so high that viewers often don’t remember the message, making the effort a waste of time.
Still others claim the time and money are worth it, because there’s no bigger platform on television.
This long-running argument perhaps would be settled by simply examining one telling stat from the Super Bowl, based on a recent report from Kantar Media.
It finds that, of the many first-time advertisers who plunk down money to appear in the game each year, the majority opt not to return.
That’s not a great endorsement for the game’s value
“Over the past decade, more than 60 percent of first-timers were on the sidelines the next year,” notes the Kantar report, issued in advance of the Feb. 5 game on Fox.
A high turnover rate
Whether they’re unable to afford the ad for a second year or they don’t think it generated enough return on investment, that’s definitely an argument that the game is not worth the massive outlay of money.
It’s a good stat to gauge the game’s advertising value on, because first-time advertisers make up a good portion of the game’s commercials. Last year, 23 percent of all companies were first-time advertisers. The year before, it was 28 percent.
Over the past five years, Kantar says, an average of 24 percent of advertisers have been first-timers.
So far, for Super Bowl LI, many from last year are either not returning or keeping their plans quiet.
More first-timers to come
Still, even when some brands step aside, there are usually others to take their place, because many companies want to see for themselves whether the Super Bowl is worth the price.
There will be plenty of first-time advertisers in this year’s game, including Mr. Clean and 84 Lumber, which bought a super-sized 90-second commercial.
Whether they’ll return next year, however, is anyone’s guess.
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