New England Patriots fans erupt as the Seattle Seahawks Russell Wilson’s pass is intercepted at the goal line to ensure the victory for the New England Patriots in Super W 49.
Bob Berg | Moment Mobile | Getty Images
In a fragmented media landscape, events like the Super Bowl are prized by advertisers for the exposure they offer.
More than 100 million people are expected to tune in this Sunday when the Philadelphia Eagles take on the Kansas City Chiefs. Many watching the game will be just as attentive to the commercials as they are to the action on the field. These commercials are an institution in and of themselves, with the ads generating conversation for weeks ahead and days after the Big Game. Well-crafted Super Bowl ads may be recalled by consumers years after their debut.
But capturing those eyeballs comes at a steep cost. This year companies are paying about $7 million for a 30-second spot — and that’s just for the air time. Layer on top of that, the cost of hiring the talent needed to produce the ad, and the costs spiral even higher.
Advertisers come and go
ចូរយក Coinbase, another cryptocurrency exchange. Its bouncing QR-code commercial was hailed as wildly successful. It drove so many viewers to Coinbase’s app that it crashed on the night of the Super Bowl.
Coinbase’s stock is down 64% since that evening. And the company said it won’t be back for this year’s game.
The Super Bowl ad curse
FactSet ការបញ្ចាំងជាសកល | ||||||||
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និមិត្តរូប | ឈ្មោះ | ផ្សារភាគហ៊ុន | វិស័យ/ឧស្សាហកម្ម | តម្លៃទីផ្សារ | Price change since 14/2/2022 | $ lost/made if invested $10,000 | Upside to avg PT (%) | (%) Buy Rating |
ស៊ី។ អិន។ អេ។ អេ | Carvana, Class A | NYSE | វដ្តអ្នកប្រើប្រាស់ | 2,645.8 | -90.0 | -9,000.0 | -23.4 | 11.1 |
VRM | កូនកំលោះ | ផ្សារហ៊ុន NASDAQ | វដ្តអ្នកប្រើប្រាស់ | 163.0 | -82.9 | -8,290.0 | 13.7 | 0.0 |
កាក់ | Coinbase Global, Class A | ផ្សារហ៊ុន NASDAQ | ហិរញ្ញវត្ថុ | 15,760.5 | -64.4 | -6,440.0 | -5.0 | 26.7 |
អេអឹមខេX | AMC Networks, Class A | ផ្សារហ៊ុន NASDAQ | សេវាកម្មអតិថិជន | 775.4 | -57.4 | -5,740.0 | 7.4 | 0.0 |
FVRR | Fiverr អន្តរជាតិ | NYSE | បច្ចេកវិទ្យា | 1,599.6 | -47.6 | -4,760.0 | -8.4 | 60.0 |
EXPE | Expedia ក្រុម | ផ្សារហ៊ុន NASDAQ | សេវាកម្មអតិថិជន | 18,598.2 | -39.6 | -3,960.0 | 5.1 | 46.7 |
ម៉នឌី | Monday.com | ផ្សារហ៊ុន NASDAQ | បច្ចេកវិទ្យា | 6,423.8 | -37.1 | -3,710.0 | 1.4 | 88.2 |
សម្រាប់ | Paramount Global Class B | ផ្សារហ៊ុន NASDAQ | សេវាកម្មអតិថិជន | 14,696.1 | -36.0 | -3,600.0 | -14.9 | 24.1 |
AMZN | Amazon.com | ផ្សារហ៊ុន NASDAQ | Consumer Non-Cyclicals | 1,025,238.0 | -35.5 | -3,550.0 | 32.3 | 76.8 |
Alphabet, Class A | ផ្សារហ៊ុន NASDAQ | បច្ចេកវិទ្យា | 1,276,392.0 | -26.7 | -2,670.0 | 29.2 | 74.0 | |
DKNG | DraftKings, Class A | ផ្សារហ៊ុន NASDAQ | សេវាកម្មអតិថិជន | 14,875.7 | -20.4 | -2,040.0 | 13.9 | 48.4 |
អ៊ិនធី | វិចារណញាណ | ផ្សារហ៊ុន NASDAQ | បច្ចេកវិទ្យា | 118,477.5 | -20.3 | -2,030.0 | 10.7 | 71.4 |
CRM | ការលក់ | NYSE | បច្ចេកវិទ្យា | 169,630.0 | -17.8 | -1,780.0 | 6.7 | 66.7 |
META | Meta Platforms, Class A | ផ្សារហ៊ុន NASDAQ | បច្ចេកវិទ្យា | 475,590.5 | -15.7 | -1,570.0 | 8.8 | 56.9 |
GM | ក្រុមហ៊ុន General Motors | NYSE | វដ្តអ្នកប្រើប្រាស់ | 57,975.1 | -14.1 | -1,410.0 | 11.2 | 54.2 |
MSFT | ក្រុមហ៊ុន Microsoft | ផ្សារហ៊ុន NASDAQ | បច្ចេកវិទ្យា | 1,985,486.0 | -9.6 | -960.0 | 5.1 | 72.5 |
ភីអិលស៊ី | Planet Fitness, Class A | NYSE | សេវាកម្មអតិថិជន | 7,456.9 | -9.6 | -960.0 | 11.6 | 88.2 |
NFLX | ក្រុមហ៊ុន Netflix Inc | ផ្សារហ៊ុន NASDAQ | បច្ចេកវិទ្យា | 163,366.5 | -7.5 | -750.0 | -3.5 | 42.2 |
BKNG | ការកាន់កាប់សៀវភៅ | ផ្សារហ៊ុន NASDAQ | សេវាកម្មអតិថិជន | 94,067.4 | -4.7 | -470.0 | -2.0 | 50.0 |
PEP | PepsiCo | ផ្សារហ៊ុន NASDAQ | Consumer Non-Cyclicals | 235,808.7 | 2.7 | 270.0 | 10.0 | 34.8 |
K | Kellogg | NYSE | Consumer Non-Cyclicals | 22,934.1 | 3.8 | 380.0 | 7.6 | 9.5 |
WMT | ក្រុមហ៊ុន Walmart | NYSE | Consumer Non-Cyclicals | 378,145.3 | 4.7 | 470.0 | 13.9 | 54.8 |
យ៉ុម | យូ! ម៉ាក។ | NYSE | សេវាកម្មអតិថិជន | 37,019.4 | 8.3 | 830.0 | 7.2 | 33.3 |
TMUS | ក្រុមហ៊ុន T-Mobile US | ផ្សារហ៊ុន NASDAQ | ទូរគមនាគមន៍ | 178,921.8 | 14.6 | 1,460.0 | 22.9 | 75.8 |
ហូលីច | ហ៊ីឡូក | ផ្សារហ៊ុន NASDAQ | ការថែទាំសុខភាព | 21,107.5 | 21.8 | 2,180.0 | 3.3 | 38.1 |
Source: CNBC; FactSet
Shares of online auto sellers កាវ៉ាណា និង កូនកំលោះ have fared even worse. Their stocks are down 90% and nearly 83%, respectively. Neither will advertise during the game this year.
Of course, the steep declines of some of last year’s advertisers speak to broader declines in the market last year, with a number of tech names on the list faring the worst.
‘Not a good look’
Deb Gabor, CEO and founder of Sol Marketing, said given the high cost of advertising during the game, companies need to be mindful of the broader economy. For the most part they are, she said, citing តូយ៉ូតា as an example, since the automaker is skipping the game for the first time since 2017.
This year’s list of advertisers is filled with snack food and booze, she said. “People are going to need comfort,” she said. “And snack food and booze are one place they are going to find it.”
Gabor is watching Bay Area tech company ថ្ងៃធ្វើការ closely. The maker of human resources software doesn’t seem like a natural fit for a glitzy Super Bowl commercial, but it’s spending big on a 60-second spot that riffs on how companies often call their top employees rock stars. Its ad is chock full of music legends, from Ozzy Osbourne to Joan Jett and Kiss frontman Paul Stanley, among others.
Gabor said she’s not sure how the company will leverage this multimillion dollar spot beyond the Super Bowl. However, she said, the company has attracted some bad press since word of the commercial came out around the time that it announced plans to កាត់បន្ថយបុគ្គលិកប្រហែល 3%.
“It’s not a good look,” Gabor said.
Source: https://www.cnbc.com/2023/02/10/the-stocks-of-these-super-bowl-advertisers-didnt-fare-so-well.html