In recent years, automakers like Toyota Motor Corporation, Hyundai Motor Company, and the Detroit automakers have been making a comeback in advertising during the National Football League season. After a slowdown in marketing efforts due to various factors including the Covid-19 pandemic and supply chain issues, automakers are once again capitalizing on the popularity of NFL games as a main advertising platform.
The automotive industry faced a significant decrease in advertising and marketing budgets as a result of low vehicle inventory levels, high interest rates, and economic uncertainties. However, with the gradual increase in vehicle inventory levels and the need to promote new products, automakers are turning to live sports, particularly the NFL, to reach a broader audience and boost sales.
The NFL has become a crucial piece of advertising strategy for automakers, with a significant portion of their advertising budgets dedicated to NFL games. Last year alone, 44% of automotive ad spend budgets in national TV were allocated to the NFL, indicating the substantial impact of the league on the automotive advertising industry.
The NFL continues to dominate viewership on traditional TV, with regular season games averaging 17.9 million viewers and the Super Bowl drawing in 123.7 million average viewers. This consistent viewership has led to a surge in the value of media rights deals and has played a significant role in driving NFL team valuations, which currently average at $6.49 billion.
The advertising market overall has shown signs of a rebound, with a particular emphasis on streaming and digital players. Live sports, including NFL games, continue to attract significant ad spends, showcasing a stronger growth trajectory compared to previous years. Automakers have emerged as the most-seen brand industry, with substantial TV ad impressions and continuous growth in ad spending.
Leading automakers such as Toyota and Hyundai have established strategic partnerships with the NFL to leverage the league’s massive fanbase and engagement levels. Toyota, as the “Official Automotive Partner of the NFL,” has launched a new ad campaign for the NFL season, while Hyundai continues to have a prominent role during NFL broadcasts, including as the presenting sponsor of NBC’s Sunday Night Football kickoff show.
Automakers are expected to increase their advertising spend during the second half of the year to promote new or redesigned vehicles, with a strong focus on reaching consumers during live television broadcasts. The shift towards precision in media spend and scalability through partnerships with popular sports leagues like the NFL is indicative of automakers’ goal to capture the attention of a diverse and engaged audience.
The NFL plays a crucial role in automakers’ advertising strategies, providing a valuable platform to reach millions of viewers and promote their products effectively. As automakers continue to invest in advertising during the NFL season, the partnership between the automotive industry and the NFL is expected to yield positive results in terms of brand visibility, consumer engagement, and sales growth.