Yes, a Super Bowl Ad is Worth 5 Million Dollars…Really!

For most of the nation’s advertisers, spending millions of dollars on a 30 second ad during the Super Bowl is out of the question. And honestly, many of them would ask why any advertiser deems this event worthy of spending that kind of money. However, as we all know, the big guys LOVE this media holiday for many reasons just as the public LOVES seeing who comes up with the best ads every year (many of us relish the ads more than the game itself)!

Leading up to game day on Feb. 7, CBS is reportedly holding back a handful of 30-second spots, priced “north of $5 million a spot,” for brands hoping to make a late entrance into the Big Game. Overall, ad prices for this year’s game have been up about 11 percent compared to 2015.

With the advent of DVR’s, very few of us gather around the TV in our living rooms at an appointed time to see the same program any more. And that is why a tract of airtime during Sunday’s Super Bowl is such valuable real estate for advertisers. There is also the replay value that these commercials receive everywhere after the big game via social media and other sources. The average spot gets replayed thousands of times—which really adds to the value for the advertiser.

But advertising and PR buzz is worthless if it doesn’t lead to sales. Let’s look at the brand Skechers.  Skechers sales since their Super Bowl effort in February of 2012 has increased its sales by an average of 26% and its stock price hit the point of tripling. Meanwhile, its performance shoe division was named “Brand of the Year” last year by the footwear industry’s largest trade magazine.

Can all of this success be attributed to the Super Bowl? No. Skechers has made a number of excellent moves during this period and they have really good products. But, according to media experts, there’s no denying that having the right Super Bowl advertising effort served as a lightening rod for the entire Skechers brand. And the magical power of the Super Bowl has also played a key role in redefining and jump-starting sales for brands such as Audi and Chrysler.

So buckle up everyone and get ready to enjoy some entertaining ads! This year’s list of advertisers include:

• Mountain Dewwill run its first Super Bowl spot since 2000.
• Kraft Heinzwill run an ad for Heinz Ketchup.
• Mini‘s Big Game spot will feature six celebrities including Abby Wambach and Serena Williams.
• Anheuser-Busch will run ads for Budweiser, Bud Light, Shock Top and Michelob Ultra.
• Acura:Not seen during the Big Game since its 2012 spot starring Jerry Seinfeld, Acura confirmed it will return this year.
• Doritos:This year marks the 10th and final year of the brand’s “Crash the Super Bowl” campaign.

We can’t wait to see who will have the best ads this year!