As the National Football League (NFL) season approaches, automakers are seizing the opportunity to re-engage with advertising during the games. Toyota Motor Corporation, Hyundai Motor Company, and Detroit automakers are making a comeback as main advertising platforms during the NFL season. Toyota, in particular, is stepping into the season as the “Official Automotive Partner of the NFL,” marking a significant milestone for the world’s largest automaker. Ryan Briganti, head of ad sales at Paramount’s CBS Sports, acknowledges the resurgence in automakers’ advertising interest, with a specific focus on the NFL games, stating that the automotive industry is starting to ramp up their ad budgets across the board.
Shift in Advertising Strategy
In recent years, the automotive industry experienced a decline in advertising and marketing budgets due to low vehicle inventory levels caused by the Covid-19 pandemic and supply chain disruptions. However, as vehicle inventory levels begin to recover, automakers are turning to live sports, particularly the NFL, as a platform to promote their new products. General Motors (GM) is among the automakers looking to boost their advertising spend by over $400 million in the second half of the year, with a focus on promoting new or redesigned vehicles. The NFL plays a crucial role in automakers’ advertising strategies, with approximately 44% of the automotive ad spend budgets in national TV allocated to NFL ads during the last season.
According to Alberto Leyes, head of product strategy at Guideline, the impact of the NFL on the automotive advertising industry is significant, given the league’s dominant viewership on traditional TV. Last year’s NFL regular season games averaged 17.9 million viewers, with the Super Bowl attracting an average of 123.7 million viewers. The NFL’s consistent viewership has contributed to the surge in the value of its media rights deals, further boosting NFL team valuations. Automakers have been the most visible brand industry during NFL broadcasts, accounting for over 10% of TV ad impressions, particularly on networks like ESPN, which has seen continuous growth in automakers’ ad spending over the years.
As the landscape of media consumption evolves, automakers are adapting their advertising strategies to reach a broader audience. Brands have expanded their commitments to include sponsorship opportunities alongside ad spots during NFL broadcasts. Toyota’s recent partnership with the NFL for the 2024 season exemplifies this trend, with the launch of a new ad campaign called “Roll Deep.” The automaker aims to engage fans across various platforms, including linear broadcast, digital, paid social, and in-game formats, during the NFL season. Hyundai also plans to maintain a prominent role in NFL broadcasts, highlighting the importance of reaching consumers during live television events.
As automakers gear up for the upcoming NFL season, there is a sense of optimism surrounding the effectiveness of advertising during live sports events. The increased viewership of NFL broadcasts, coupled with the growth in ad spend within NFL programming, indicates a positive trend in automotive advertising. Brands are leveraging the diverse and engaged fan base of the NFL to maximize their reach and engagement. The strategic shift towards sports advertising aligns with the changing dynamics of the media landscape, emphasizing the importance of reaching consumers through engaging and targeted campaigns.
The NFL season serves as a pivotal moment for automakers to connect with consumers through strategic advertising initiatives. The resurgence of advertising during NFL games signifies a renewed focus on engaging audiences in a dynamic and competitive market. By leveraging the NFL’s viewership and popularity, automakers are poised to make a meaningful impact through innovative and targeted advertising campaigns.
Leave a Reply