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Fox to push Super Bowl ads to $5MN per spot
Michelle Clancy
| 11 June 2016
Fox is expecting to push ad costs for the next Super Bowl to more than $5 million per 30-second spot – a new record for the most-watched TV event in the US.
apple super bowlAccording to Variety, Fox Sports is looking to price the ads at between $5 million and $5.5 million for a 30-second commercial slot, according to sources. Another source said it was looked to negotiate $5.6 million or higher in some cases.
The buy would include the TV spots as well as the ads appearing in Fox’s live stream of the game, according to one of the sources.
Outsized costs for Super Bowl ads are nothing new and the cost to advertise has gone inexorably up. A decade ago, the cost of a 30-second spot was just $2.5 million, according to Kantar Media. In 2014, NBC sought to sell Super Bowl commercials for $4.5 million, and CBS last year looked to extend prices to $4.7 million. Both of them achieved it.
Overall, the price of a 30-second commercial has risen 76% between 2006 and last year, Kantar said.
It makes sense, given the number of eyeballs the event attracts and the fact that it’s watched by many simply because of the ads – many brands use the event as a showcase for their creativity and for major product launches. The most famous example of this is Apple’s ‘Big Brother’ ad from the 1984 Super Bowl, introducing the Macintosh.
One ad buying executive does believe there’s a ceiling for this however. “They will not be getting $5.7 million a spot,” he told Variety.
What about those eyeballs? For one, the Super Bowl has remained the most-watched TV broadcast of all time for years now. The finale of M*A*S*H* on CBS held that distinction for decades (and still does, absent the Super Bowl). Hawkeye & co lured 105.9 million viewers in 1983. But since 2010, that benchmark has been surpassed in every year of the American football championship. The event set records in 2014 and 2015 with 114.4 million viewers and 112.2 million viewers, respectively.
The most recent Super Bowl 50 saw an audience of just 111.9 million, but the digital aspect – Fox’s apparent justification for the pricing hike – was significant.
A survey from YuMe showed that 37% of respondents watched the game on more screens than last year. And, Nielsen research showed that 15.2 million people in the US saw tweets about Sunday’s telecast of Super Bowl 50 on CBS, indicating that brand advertisers should make a pivot to multiscreen advertising.
About half (45%) of viewers said that they intended to follow players and/or teams on their smartphone, with 35% intending to download a Big Game-related app.
The YuMe survey also found that Hispanic viewers were excited about the game’s other major attraction: the ads. A full 79% of respondents cited advertisements as a major draw, with 34% planning to rewatch ads after the game on their smartphone.
Nearly eight out of 10 respondents in each survey were looking forward to ads during game time. No wonder then that a whopping 67% of respondents believe that game-time ads ignite brand awareness, and 26% looked up a product advertised during the game on their smartphone. About half (52%) planned to share any interesting ads that they saw.
Michelle Clancy
| 11 June 2016
Fox is expecting to push ad costs for the next Super Bowl to more than $5 million per 30-second spot – a new record for the most-watched TV event in the US.
apple super bowlAccording to Variety, Fox Sports is looking to price the ads at between $5 million and $5.5 million for a 30-second commercial slot, according to sources. Another source said it was looked to negotiate $5.6 million or higher in some cases.
The buy would include the TV spots as well as the ads appearing in Fox’s live stream of the game, according to one of the sources.
Outsized costs for Super Bowl ads are nothing new and the cost to advertise has gone inexorably up. A decade ago, the cost of a 30-second spot was just $2.5 million, according to Kantar Media. In 2014, NBC sought to sell Super Bowl commercials for $4.5 million, and CBS last year looked to extend prices to $4.7 million. Both of them achieved it.
Overall, the price of a 30-second commercial has risen 76% between 2006 and last year, Kantar said.
It makes sense, given the number of eyeballs the event attracts and the fact that it’s watched by many simply because of the ads – many brands use the event as a showcase for their creativity and for major product launches. The most famous example of this is Apple’s ‘Big Brother’ ad from the 1984 Super Bowl, introducing the Macintosh.
One ad buying executive does believe there’s a ceiling for this however. “They will not be getting $5.7 million a spot,” he told Variety.
What about those eyeballs? For one, the Super Bowl has remained the most-watched TV broadcast of all time for years now. The finale of M*A*S*H* on CBS held that distinction for decades (and still does, absent the Super Bowl). Hawkeye & co lured 105.9 million viewers in 1983. But since 2010, that benchmark has been surpassed in every year of the American football championship. The event set records in 2014 and 2015 with 114.4 million viewers and 112.2 million viewers, respectively.
The most recent Super Bowl 50 saw an audience of just 111.9 million, but the digital aspect – Fox’s apparent justification for the pricing hike – was significant.
A survey from YuMe showed that 37% of respondents watched the game on more screens than last year. And, Nielsen research showed that 15.2 million people in the US saw tweets about Sunday’s telecast of Super Bowl 50 on CBS, indicating that brand advertisers should make a pivot to multiscreen advertising.
About half (45%) of viewers said that they intended to follow players and/or teams on their smartphone, with 35% intending to download a Big Game-related app.
The YuMe survey also found that Hispanic viewers were excited about the game’s other major attraction: the ads. A full 79% of respondents cited advertisements as a major draw, with 34% planning to rewatch ads after the game on their smartphone.
Nearly eight out of 10 respondents in each survey were looking forward to ads during game time. No wonder then that a whopping 67% of respondents believe that game-time ads ignite brand awareness, and 26% looked up a product advertised during the game on their smartphone. About half (52%) planned to share any interesting ads that they saw.
