The automotive industry is making a comeback in advertising during the National Football League (NFL) season after a period of decline. Automakers such as Toyota Motor Corporation, Hyundai Motor Company, and the Detroit automakers are seizing the opportunity to leverage the NFL and its games as primary advertising platforms. Toyota, in particular, is making waves by becoming the “Official Automotive Partner of the NFL,” marking a significant milestone for the world’s largest automaker. According to Ryan Briganti, head of ad sales at Paramount’s CBS Sports, automakers are gradually ramping up their advertising efforts in light of improving market conditions.
The automotive industry had previously scaled back its advertising and marketing budgets due to low vehicle inventory levels caused by the Covid-19 pandemic and supply chain disruptions. However, with inventory levels on the rise and economic conditions stabilizing, automakers are turning their attention to live sports, particularly the NFL, as a means to promote their new products. General Motors, for instance, plans to boost its advertising spend by over $400 million in the latter half of the year to support the launch of new or redesigned vehicles. The NFL serves as a key component of automakers’ advertising strategies, with a significant portion of their ad spend allocated to NFL programming.
The NFL’s massive viewership on traditional TV channels makes it an attractive platform for automakers to showcase their brands. During the previous NFL season, automotive ad spend on national TV accounted for 44% of total budgets, highlighting the importance of the NFL as an advertising vehicle for automakers. Alberto Leyes, head of product strategy at Guideline, emphasized the substantial impact of the NFL on the automotive advertising industry, underscoring the popularity and reach of NFL games among viewers.
The advertising market, particularly in the realm of streaming and digital platforms, has shown signs of recovery and growth. Live sports continue to command significant ad spends, with a resurgence in media rights deals contributing to the increase in NFL team valuations. Automakers have emerged as prominent advertisers, with brands such as Toyota, Hyundai, Mercedes-Benz, Nissan Motor, and Stellantis expanding their commitments to include sponsorship opportunities alongside traditional ad placements.
Automakers are strategically positioning themselves in key advertising slots during NFL broadcasts to maximize their brand exposure. Disney, the broadcaster of “Monday Night Football,” has witnessed steady growth in automakers’ ad spending over the past five years. Brands are capitalizing on sponsorship opportunities on primetime NFL games to enhance their visibility and engagement with consumers. With a shift towards digital platforms, automakers are exploring new avenues such as streaming services like Peacock to reach a wider audience.
As automakers gear up for the NFL season, they are unveiling new ad campaigns and partnerships to enhance their market presence. Toyota’s collaboration with the NFL has led to the launch of the “Roll Deep” campaign, signaling a fresh approach to engaging with fans. Hyundai, a longstanding sponsor of NBC’s Sunday Night Football kickoff show, remains committed to leveraging NFL broadcasts to connect with viewers. The strategic alignment between automakers and the NFL underscores the mutual benefits of these partnerships in reaching a diverse and engaged audience.
The resurgence of automakers in NFL advertising reflects a shift towards prioritizing live sports as a key marketing channel. With viewership of NFL broadcasts on the rise and ad spend increasing, automakers are seizing the opportunity to influence consumer behavior and drive brand awareness. As the NFL season unfolds, automakers will continue to innovate their advertising strategies to stay ahead of the competition and capitalize on the fervor surrounding America’s favorite sport.