America’s 4 largest automakers forego Super Bowl ads for first time in decades

Jan 23

Karah Rucker Anchor/Reporter

By Karah Rucker (Anchor/Reporter), Ian Kennedy (Video Producer)

For the first time in 23 years, America’s four largest automakers are all skipping out on Super Bowl ads. There will be no promos featuring Ford, Toyota, General Motors or Chrysler during commercial breaks of the big game.

The move is a sharp turn from just a few years ago when a large chunk of commercials were bought up by automakers to promote electric vehicles (EVs). There are several reasons why people will be seeing fewer commercials like those this year.

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Super Bowl commercial spots don’t come cheap. A 30-second slot is said to run about $7 million dollars, according to AdAge’s archive.

Super Bowl LVIII comes on the heels of the Big Three automakers suffering billions of dollars in losses from the United Autoworkers Union’s six-week strike last year for higher wages.

Auto companies are scrambling to cut costs, figuring out the future of their industry and whether an investment in EVs will eventually pay off. Right now, the transition is coming at a cost.

There have been high interest rates paired with slow consumer demand. Carlos Tavares, CEO of Stellantis, Chrysler’s parent company, said the current challenges the market faces are the reason why the company won’t be creating clever ads for this year’s Super Bowl.

On Friday, Jan. 19, Tavares warned of an EV bloodbath if automakers are forced to slash prices because of the stagnant market.

“If you go and cut pricing disregarding the reality of your costs, you will have a bloodbath,” Tavares said at an Amsterdam event. “I am trying to avoid a race to the bottom.”

Looking at the auto industry, Tesla’s profitability took a 40% hit year-over-year after lowering prices to increase demand. Ford is slowing EV production and boosting gas vehicle output after admitting its EV line is losing billions of dollars.

GM had to stop selling its latest EV model due to software issues, laid off 1,300 workers in Michigan and is cutting EV production. Stellantis has also taken the route of layoffs to save costs and is closing factories.

While Ford, Toyota, GM and Chrysler decided to save and skip out on Super Bowl ad spending, there will still be other competing car companies featured in this year’s commercials. Foreign-owned companies like Kia and Volkswagen are set to display their latest EV models during Super Bowl LVIII on Feb. 11.

Tags: Advertising, Auto industry, Electric vehicles, Ford, Sports, Stellantis, Super Bowl, Toyota, United Auto Workers

[KARAH RUCKER]

FOR THE FIRST TIME IN MORE THAN TWO DECADES, AMERICA’S FOUR LARGEST AUTOMAKERS ARE ALL SKIPPING OUT ON SUPER BOWL ADS.

THERE WILL BE NO PROMOS FEATURING FORD, TOYOTA, GM OR CHRYSLER DURING COMMERCIAL BREAKS OF THE BIG GAME.

ITS A SHARP TURN FROM JUST A FEW YEARS AGO WHEN A LARGE CHUNK OF COMMERCIALS WERE BOUGHT UP BY AUTOMAKERS TO PROMOTE ELECTRIC VEHICLES.

THE REASON WHY YOU’LL BE SEEING FEWER COMMERCIALS LIKE THESE?

WELL – THERE’S A FEW.

THESE SUPER BOWL COMMERCIAL SPOTS DON’T COME CHEAP.

A 30 SECOND SLOT IS SAID TO RUN YOU ABOUT $7 MILLION.

SUPER BOWL 58 COMES ON THE HEELS OF THE BIG THREE AUTOMAKERS SUFFERING BILLIONS OF DOLLARS IN LOSSES FROM THE UNITED AUTOWORKERS UNION SIX WEEK STRIKE LAST YEAR FOR HIGHER WAGES.

AUTO COMPANIES ARE SCRAMBLING TO CUT COSTS –

AND FIGURING OUT THE FUTURE OF THEIR INDUSTRY –

AND WHETHER AN INVESTMENT IN EV WILL EVENTUALLY PAY OFF.

RIGHT NOW –

THE TRANSITION IS COMING AT A HIGH COST.

THERE’S BEEN HIGH INTEREST RATES PAIRED WITH SLOW CONSUMER DEMAND.

THE CEO OF STELLANTIS – CHRYSLER’S PARENT COMPANY – SAID THE “CURRENT CHALLENGES” THE MARKET FACES IS THE REASON WHY THEY WON’T BE CREATING CLEVER ADS FOR THIS YEAR’S SUPER BOWL.

JUST FRIDAY – THE CEO WARNED OF AN EV “BLOODBATH” IF AUTOMAKERS ARE FORCED TO SLASH PRICES BECAUSE OF THE STAGNANT MARKET.

SOMETHING TESLA DID JUST LAST YEAR.

A LOOK AROUND THE INDUSTRY –

TESLA’S PROFITABILITY TOOK A 40% HIT YEAR-OVER-YEAR LOWERING PRICES TO INCREASE DEMAND.

FORD IS SLOWING EV PRODUCTION AND BOOSTING GAS VEHICLE OUTPUT AFTER ADMITTING ITS EV LINE IS LOSING BILLIONS OF DOLLARS.

GM HAD TO STOP SELLING ITS LATEST EV MODEL DUE TO SOFTWARE ISSUES, LAID OFF 13 HUNDRED WORKERS IN MICHIGAN, AND IS CUTTING EV PRODUCTION.

STELLANTIS HAS ALSO TAKEN THE ROUTE OF LAYOFFS TO SAVE COSTS AND IS CLOSING FACTORIES.

STELLANTIS’ CEO SAID HE IS TRYING TO “AVOID A RACE TO THE BOTTOM.”

WHILE THE BIG FOUR DECIDED TO SAVE AND SKIP OUT ON SUPER BOWL AD SPENDING –

THERE WILL STILL BE OTHER CAR COMPANIES FEATURED IN THIS YEAR’S COMMERCIALS.

FOREIGN-OWNED COMPANIES LIKE KIA AND VOLKSWAGEN ARE SET TO DISPLAY THEIR LATEST EV MODELS DURING THE BIG GAME ON FEBRUARY 11.