Why Are The 'Super Bowl' Ads Costly Hot TV Commodities?

Super Bowl TV ads 

Super Bowl TV Ads

We get the previews online before the game, we see them during the game, and we'll be talking about them after the game.  These ads have developed a life of their own over the years.  But Super Bowl TV commercials are crazy expensive.  But as marketers would see it, it's an investment and they wouldn't pay the monies they do if that investment didn't pay off.

This year, the average cost for THIRTY SECONDS of TV ad time is booking around $3.8M.  (M for million.)  And that does not count what it cost to make the ads.

And that ad-time average is weighted against how the first half of the game is more prime property versus the 2nd half.  So watch the first half for some of the best ads?  Maybe.  But more than likely, it's just advertisers with much DEEPER pockets.

But some folk don't partake.  You won't see General Motors ads because they don't think it merits the cost.  But Audi, Chrysler, Fiat, Hyundai, Kia, Lincoln, Mercedes, Toyota and Volkswagen don't agree with GM.

As I noted in a previous post, movie studios will be advertising during the Super Bowl Those being Disney, Marvel Studios, Paramount and Universal.  And if $7m a minute seems pricey for a movie ad, consider this:  Movies see larger returns for their Super Bowl ads, where numbers suggest that those who advert during the game see double the opening weekend monies for their efforts.

And with the Super Bowl, because of the past and how these ads have been a focus for the game, almost as much as the game, tune-out rates for ads is super low, with only a 0.7% "tuneaway" versus up to 4% for other ad times.  Though I can't imagine that counts for folks who "walk away" or mute their TVs.  I've gotten into the habit of muting because other then CBS, most networks lock out their On Demand FFing options.

Also, this year, some ads will have options where you vote online to tell the folks who play the ads, how the ad should end.  (Coca-Cola and Audi.)

Of course, after the game, we will be sharing the "cute" and "funny" ads online.  We entertain ourselves and our friends.  But the advertisers will also be winning from what they call the long-tail exposure, and the advertiser will see a long living ad platform in this venue.

Over half the ads get exposure for more than a month after the game.  Hell, I just popped up the VW Mini-Vader ad in a post from last year... or was that the year before?

Eh, it's cute.  Who cares, right?  VW cares!

So this is what it's coming down to. Will the game play out and be notable, or will the ads generate more media chat?  (That would not be a good thing for the game itself, but hell, whose counting?)

[source: MediaLife