Jennifer Lopez throws an official NFL game ball during the Pepsi Super Bowl LIV Halftime Show press … [+]
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Celebrities and music have long played an important role in Super Bowl advertising. An article I published with colleagues in the Journal of Consumer Affairs found that over a recent 10-year period, 36.5% of Super Bowl ads featured celebrities and that a strong majority included music, either as a major element of the ad or in the background. So, it is not exactly bold to suggest that celebrities and music will be widely used in this year’s Super Bowl. However, according to Tim Hale, Chief Talent Officer of Extreme Reach, a cloud technology platform for TV and video ad workflow company that has managed the traffic and delivery of 70% of Super Bowl commercials in recent years, this year’s game will see a significant increase in the use of celebrities and music as a central element of ads.
Tim Hale, Chief Talent Officer, Extreme Reach
Extreme Reach
Hale, a seasoned advertising industry executive who is finishing up an MBA at DePaul University, notes that trends related to Covid-19 are driving increased use of celebrities and is predicting a 10-20% increase in celebrity use, while the use of non-celebrities will decline by 15% or more. “The pandemic has also forced smaller cast sizes in productions, which partially supports the higher dollars going to individual celebrities,” says Hale, “In some cases, commercials can be done with a minimal setup, so the commercials are easier to produce.” He also believes that because some brands significantly reduced their number of productions and spending during the early months of the pandemic, they may be applying those ‘savings’ now to hiring expensive celebrities. Moreover, it is also possible that the pandemic is leading to some additional access to and availability from celebrities since the production shutdowns and restrictions have affected them as well.
Hale observes that the increases in production costs for such high-profile ads can be significant. Producers are sometimes quarantining cast and crew, meaning more days of work and paying hotels and other expenses. Extra talent and crew are being hired for some ads in case anyone tests positive before production and cannot perform. Moreover, protocols require more space, more prep, more maintenance, and cleanup to keep various groups safely distanced. And social distancing can also slow down communication and the ad production process as a whole. To top it off, productions generally require a COVID safety officer onset, testing, etc. As Hale mentions, “Even food service is affected – what used to be a buffet now need to be individually prepared and packaged meals, drinks, etc.”
According to Hale, a small number of advertisers are bucking this trend by employing large groups of extras and over a dozen principal performers and celebrities – a logistical challenge under COVID restrictions and quarantines, especially since more production staff may also be needed. However, this is the exception rather than the norm. In either case, it is clear that production costs are up for this year’s Super Bowl ads. Given the $5.6 million media space cost, plus production costs that can reach $1 million or more, these ads truly represent an investment. However, with few opportunities to reach a mass audience of roughly one hundred million U.S. consumers, such ads do have the potential to produce a return on investment if they have appropriate objectives are effectively conceived and executed.
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Just as celebrities can gain viewer attention quickly and establish a connection, Hale notes that some of this year’s Super Bowl advertisers are hoping to strike the right chord via using identifiable, relatable music in the ads. He states, “In the same way that celebrities are used to grab attention, a song can grab attention and establish a relationship with the audience quickly,” and that “Rates vary significantly, and both buyer and seller are usually aware of the value in a commercial or campaign.” Because of Covid-19 related issues, it appears that some advertisers will be able to pay a considerable amount to use a song that they believe reinforces the advertising message.
So, what is the upshoot of these Covid-19 related trends toward using more celebrities and songs? On one hand, it is very likely that the advertisers striving to connect with viewers will result in some great ads. On the other, it may make it just that much harder for some advertisers who are employing these techniques from standing out in a very competitive. Stay tuned as February 7th promises to be a very interesting day for the advertising field.
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