The $5 million cost of 30 seconds of Super Bowl ad time is especially steep if you’ve never aired an ad during the big game before.
Yet the National Football League knows it will get Super Bowl newcomers every year, mostly because they don’t have better options.
According to Kantar Media, the Super Bowl has generated $2.59 billion in ad sales since 2007. Total ad spending climbed from $162.5 million a decade ago to $369.6 million just last year.The cost for a 30-second ad also jumped from $2.5 million to $5 million during that time.
Meanwhile, first-time Super Bowl advertisers becoming increasingly prevalent. As recently as 2011, only 4 of the 33 companies (or 12%) with Super Bowl ads were first-time big game advertisers. Last year, 10 of the 43 companies that bought ads for the Super Bowl did so for the first time. That constituted 23% of all advertisers and included Amazon, PayPal and LG. Last year, Avocados From Mexico spent 24% of its annual ad budget on just one $4.8 million spot. In all, seven Super Bowl advertisers, or 16% of the field, dedicated 10% of their 2016 ad budget or more to a Super Bowl commercial.
Unfortunately for those advertisers, most of those who go through the experience don’t have a great time with it. Of all first-time Super Bowl advertisers, more than 60% don’t make it back the next year. While other companies still have time to announce their ads, here are just five companies making their first Super Bowl appearance this year:
Top Games USA During their one 30-second ad Top Games USA is going to be spending $5 million for a spot featuring yet-unnamed celebrities pitching a yet-unnamed strategy game.
Bai Brands Justin Timberlake will serve as “chief flavor officer” for Bai’s ad campaign and was given a role in the ad’s production.
84 Lumber Their one 15 Million dollar 90-second ad will focus on recruiting workers through career development and job training.
Mr. Clean and Febreze Mr. Clean is the official cleaner of this year’s Super Bowl.
GNC In their 30-second ad GNC is hoping to broaden its customer base and updating it’s brand personality.
Read More at: TheStreet