Wish you were one of those advertisers bathing in the glory of one of those $4 million ads that aired during the big game? Actually, you’re probably smarter and richer for not doing it. Investing $4 million in a 30-second TV commercial (plus the huge production costs) is not a sound investment for your business because:
• Advertisers rarely see a long-term increase in sales as a result of this huge investment. Pepsi’s huge expenditure – commercials and their $50 million halftime sponsorship – isn’t going to make a dent in the current cola wars.
• At least one week after the game, most of the ads that aired are forgotten and the “buzz” disappears.
• The ads create consumer confusion: Which beverage was that?
• Humor and the cute factor, which is a big part of the ads, do not resonate with everyone. Sometimes the gimmicks or characters are remembered – but not the actual product.
• The expense of the ads and even the creative message can leave your company wide open to criticism from various interest groups: Mercedes-Benz started to take a beating for their tasteless ad two weeks prior to the game.
• The dollars spent on the Super Bowl ad can create employee and shareholder dissention, along with questions about the company’s budgeting priorities.
When promoting a product on a single-event platform cluttered with other mega-produced spots – with little hope of moving the sales needle – not spending the $4 million is a wise business decision. You are smarter and richer for it.