Securing a prime spot for big game costs companies up to $4m
Some advertisers this year will fork out an incredible $US4 million ($3.85 million) for a 30-second spot during the most-watched US television event of the year: the showdown between the San Francisco 49ers and the Baltimore Ravens in the National Football League championship game, aired at 10am on Monday morning in Sydney.
That's a record for Super Bowl advertising, with the average cost of an ad sitting at $US3.75 million, up from $US3.5 million last year. Back in the first Super Bowl series in 1967, advertisers paid $US42,000 to air their commercials. And with the multimillion-dollar price tag, and an estimated 111 million pairs of eyeballs on television sets, the pressure is on to make a lasting impression on advertising's biggest day.
Featuring in this year's advertisements will be South Korean rapper Psy of Gangnam Style fame, who will be flogging Wonderful Pistachios, comedian Amy Poehler endorsing electronics company Best Buy, as well as actor Tracy Morgan, Dwayne "The Rock" Johnson and swimsuit model Kate Upton, among others.
Many companies are already trickling out their ads on YouTube, including Volkswagen, Century 21, Taco Bell and Mercedes-Benz. Volkswagen has come under fire from some critics, who labelled one of its Super Bowl ads racist for depicting a cheerful white office worker speaking in a Jamaican accent.
Other companies, including Gildan, Kraft and Anheuser-Busch, have released teasers to create hype, with the full-length ads to be a surprise on game day.
One of the most popular of this year's Super Bowl commercials viewed online so far features Upton watching a new Mercedes being washed in slow motion. It has already drawn more than 5 million views.
Doritos is continuing with its commercial contest for the seventh year in a row, asking amateur filmmakers to submit self-produced ads. The winner's ad will be aired during the Super Bowl, and the winner will get the chance to work on the next Transformers film with director Michael Bay.
Wonderful Pistachios said Psy will perform his signature horse dance move while wearing a pistachio-green tuxedo.
Les Moonves, chief executive of CBS, which is televising the game, said many companies were prepared to pay so much because their ads could become internet hits.
"That is absolutely a factor in the cost of the ads," Mr Moonves said. "The advertisers expect they'll get a nice bump online, so it's well worth the increase."
Super Bowl rates have risen about 60 per cent over the past decade, underscoring the value marketers place on reaching the largest TV audience. Last year's game, with 78 commercials, produced ad sales of $US262.5 million, according to Kantar Media, an industry researcher.
Super Bowl campaigns are designed to work across media, from TV to the internet, smartphones and tablets, said Jonathan Taplin, director of the Annenberg Innovation Lab at the University of Southern California.
"We've been talking about this coming for quite a time, and it does seem to finally be a reality," Taplin said.
with Bloomberg
Frequently Asked Questions about this Article…
This year a 30-second Super Bowl advertising spot is selling for about US$4 million (around A$3.85 million), with the average cost at roughly US$3.75 million—up from US$3.5 million last year. The article notes this is a record price compared with early Super Bowls, when a 30-second spot cost as little as US$42,000 in 1967.
Companies pay millions because the Super Bowl delivers the largest TV audience of the year (the article cites about 111 million viewers) and the potential for ads to become internet hits. CBS chief Les Moonves said advertisers expect a big online bump, and experts note Super Bowl campaigns are designed to work across TV, internet, smartphones and tablets.
The article highlights brands and stars including Wonderful Pistachios (with Psy), Best Buy (Amy Poehler), Mercedes-Benz (Kate Upton), and commercials from Volkswagen, Century 21, Taco Bell, Gildan, Kraft and Anheuser-Busch. Other celebrities mentioned include Tracy Morgan and Dwayne “The Rock” Johnson.
Yes. The article gives the example of a Mercedes ad featuring Kate Upton that had already drawn more than 5 million online views. Executives say advertisers expect TV exposure to translate into online attention, increasing the overall reach and impact of their campaigns.
The article reports that Volkswagen came under fire for one ad some critics labelled racist because it depicted a white office worker speaking in a Jamaican accent. Controversial ads can attract negative attention, which is a reputational risk for advertisers.
Super Bowl ad sales can be substantial: last year’s game produced about US$262.5 million in ad sales from 78 commercials, according to Kantar Media. The article also notes Super Bowl rates have risen about 60% over the past decade, reflecting the premium marketers place on reaching the largest TV audience.
Yes. Doritos has run a commercial contest for several years asking amateur filmmakers to submit self-produced ads. The winner’s ad will be aired during the Super Bowl, and the winner even gets a chance to work on a major film project with director Michael Bay.
Big Super Bowl ad buys indicate a company is investing heavily in mass exposure and digital buzz. According to the article, advertisers expect TV spots to drive online attention and broader campaigns across devices. Investors might view such spending as part of a company’s growth or brand strategy, but it’s also worth watching how ads are received online and whether they generate positive engagement or controversy.

