Why crypto companies are missing the Super Bowl opportunity
The Super Bowl is one of the most watched events in the world, with millions of viewers tuning in to see the best teams in the NFL compete for the championship. It is also a prime time for advertisers, who spend millions of dollars to showcase their products and services to a captive audience.
However, this year, there was a noticeable absence of crypto companies among the Super Bowl advertisers. Despite the growing popularity and adoption of cryptocurrencies, most major crypto firms decided to skip the big game and focus on other marketing channels.
Why is that? What are the challenges and opportunities for crypto companies to advertise during the Super Bowl? And what can we expect in the future?
The challenges of advertising crypto during the Super Bowl
One of the main challenges for crypto companies to advertise during the Super Bowl is the cost. According to CNBC, a 30-second spot during this year's game cost between $5.5 million and $6 million, which is a hefty price tag for any business, let alone a nascent industry like crypto.
Another challenge is the regulatory uncertainty and complexity that surrounds crypto in the US and other markets. Crypto companies have to comply with different rules and regulations depending on the jurisdiction, which can limit their ability to reach a broad audience and convey a clear message.
For example, Coinbase, one of the largest and most regulated crypto exchanges in the US, had to include a disclaimer at the end of its Super Bowl ad that said: "Cryptocurrencies are not legal tender. Buying and selling cryptocurrencies involves risk. Cryptocurrencies may lose value."
Moreover, crypto companies have to deal with the stigma and misconceptions that still plague the industry, such as volatility, security, environmental impact, and illicit use. Advertising crypto during the Super Bowl could expose them to more scrutiny and criticism from regulators, media, and consumers.
The opportunities of advertising crypto during the Super Bowl
Despite these challenges, there are also significant opportunities for crypto companies to advertise during the Super Bowl. The main one is the potential to reach a massive and diverse audience that may not be familiar with or interested in crypto otherwise.
According to Nielsen, this year's Super Bowl attracted 91.6 million viewers across all platforms, making it the most-watched TV program of 2022. The viewership also included a high percentage of women (47%), millennials (26%), and Hispanics (12%), who are key demographics for crypto adoption.
Advertising crypto during the Super Bowl could also help crypto companies build brand awareness, credibility, and trust among consumers. By associating themselves with a prestigious and popular event like the Super Bowl, crypto companies could enhance their reputation and legitimacy in the eyes of the public.
Additionally, advertising crypto during the Super Bowl could spark curiosity and conversation about crypto among viewers, leading to more education and engagement. Crypto companies could use their ads as a starting point to direct viewers to their websites, social media channels, or apps, where they could learn more about crypto and how to get started.
What can we expect in the future?
While this year's Super Bowl was largely devoid of crypto ads, there were some exceptions. FTX, a global crypto exchange founded by billionaire Sam Bankman-Fried, aired a humorous ad featuring comedian Larry David as a naysayer of various innovations throughout history. eToro, another global crypto exchange, aired an ad featuring actor Alec Baldwin as a spokesperson for its social trading platform. Crypto.com, a crypto platform that recently acquired naming rights for Los Angeles' Staples Center arena, aired an ad featuring NBA star LeBron James as its global ambassador.
These examples show that some crypto companies are willing and able to advertise during the Super Bowl, despite the challenges and costs involved. They also show that crypto companies can use creative and humorous strategies to capture attention and convey their value proposition.
As the crypto industry matures and grows, we can expect more crypto companies to join the Super Bowl advertising frenzy in the future. However, they will have to overcome some hurdles along the way, such as regulatory clarity, consumer education, and brand differentiation.
The Super Bowl is not only a sporting event but also a cultural phenomenon that reflects the trends and interests of society. Crypto is undoubtedly one of those trends that is reshaping finance and technology. Whether or not crypto companies advertise during the Super Bowl will be an indicator of how mainstream and accepted crypto has become.