Automakers — historically among the biggest Super Bowl advertisers — are mostly bypassing this Sunday’s NFL championship game to preserve cash or spend advertising dollars elsewhere.
The only automakers to advertise during Sunday’s game between the Philadelphia Eagles and Kansas City Chiefs on Fox General MotorsKia and stellarRam and Jeep brands. Porsche said it would air a spot in collaboration shortly before the game of great quality,
widespread resistance a year ago, when the automotive industry is a rapid shift from represented the largest segment for Super Bowl commercials, according to $99.3 million Vivix from Cantor Media. This total was more than $30 million by 2021, when web-based, media and film companies overtake the industry.
Automotive ads decline this year as automakers billions of dollars investment in electric vehicles Or try to conserve cash in preparation for a possible economic downturn. Companies also grapple with supply chain problems.
The average cost of a 30-second ad during last year’s Super Bowl was $6.5 million, up $2 million from 2016 rates. That cost is now approaching $7 million, according to Kantar Media.
“It has less to do with the Super Bowl and more to do with personal issues within the automotive industry,” Erik Hagstrom, director of business intelligence for Advertiser Perceptions, told CNBC. “The auto industry has been hit by supply chain issues, inflation eating into consumer budgets, and rising interest rates making car payments dramatically more expensive.”
Hagstrom noted that many automakers scaled back advertising spending in recent years — a result of selling fewer products due to tight inventories caused by supply chain problems during the coronavirus pandemic. Hagstrom said newer automakers have also traditionally advertised little or none at all, as they attempt to emulate Tesla’s ad-free model.
eight auto brands or companies Advertised during last year’s Super Bowl, Including returning companies GM and Kia. distressed car retailer caravan And vroom Advertised during last year’s games amid record used vehicle demand but not returning to this year’s games. EV Startup pole Starwhich had success with an ad last year, did not immediately respond to multiple requests for comment.
Auto accessories company WeatherTech will air a 30-second commercial for the 10th year in a row. The Illinois-based company is the longest running automotive business to advertise continuously during the Super Bowl.
Those placing the ads say they are taking the opportunity to reach a captive audience that is expected to number around 100 million. The games are historically one of the most watched events of the year, providing an opportunity for advertisers to capitalize on viewership amid declining television viewership.
GM’s 60-second ad features actor and comedian Will Ferrell driving a GM EV through the popular Netflix Shows and Movies to promote the streaming service for its upcoming efforts to include more EVs in its production.
“This is a big moment,” GM CMO Deborah Wahl told reporters during a briefing about her ad. “Doing something like this is really different.”
Ferrell also appeared GM’s Super Bowl ad promoting an EV two years ago.
Those not getting back in the game this year largely attribute the decision to business priorities or the products and capital available. toyota motorOne of the top Super Bowl advertisers in recent years said its product plans are not in line with this year’s game.
“We look at the Super Bowl very strategically, and we want to make sure we have a purpose for being at the Super Bowl,” Lisa Materazzo, group vice president of Toyota Marketing, told CNBC. an event of the week for the Chicago Auto Show. “We definitely think the Super Bowl has a place. It just wasn’t the right time or place for us this year.”
hyundai motor, In an emailed statement, the decision not to advertise was “based on business priorities and where we felt it was best to allocate our marketing resources.” Audi, which last advertised in 2020, said it is “focusing on other efforts within our electrification and sustainability commitments.”
stellar, formerly known as Fiat Chrysler, has been one of the most successful advertisers during the Super Bowl for more than a decade and is returning after a one-year hiatus. The company’s CMO, Olivier Francois, is known for attracting top talent for commercials like Bruce Springsteen, Bill Murray Clint Eastwood and Eminem.
Stellantis has not released its ads, while GM, Kia and WeatherTech released theirs earlier this week.
Kia’s 60-second “Binky Dad” ad featuring a father driving a 2023 Telluride X-Pro SUV is going viral for racing to retrieve a forgotten binky for his kid. It is set to the 1976 song “Going Fly Now”, best known as the theme to the “Rocky” films. Notably, the commercial has three alternate endings that will be available exclusively on TikTok.
The ad has drawn some criticism online, as Kia and its parent company Hyundai have come under fire for at least four Suppliers allegedly violating child labor laws, Both Hyundai and Kia have condemned such practices. Reuters this week informed of The parent company is in talks with the US Department of Labor to address concerns about child labor in its US supply chain.
A 30-second ad for WeatherTech promotes the company’s US-made products, featuring bank executives and others criticizing the company for American investment and production.
Porsche’s ad is a collaboration with Paramount for this summer’s “Transformers: Rise of the Beasts” movie. This is the second year for such a tie-up after an advertisement last year for “Top Gun: Maverick”.
Hagstrom said there has been a general “cautiousness” around advertising in the automotive industry.
“They’re really looking at what is the value of advertising today? How does it affect my top-line, how does it affect my go-to-market,” he said. “We have observed a general trend in accountability in consumer advertising.”
– CNBC John Rosevear contributed to this report.