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What Folks Spend on Ads

Started by Seanchai, June 27, 2007, 01:41:10 PM

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Seanchai

We've talked about advertising and its relationship to gaming, game products and game companies before. This week's AdAge has a break down of spending for 2006. Here's a couple of figures.

Total U.S. Ad Spending (not a complete list)
Proctor & Gamble - $4,898,000,000 (top of the list)
McDonalds - $1,748,300,000
PepsiCo - $1,322,700
Wal-Mart - $1,072,600,000
Coca-Cola - $740,800,000
Wendy's International - $435,200,000
Burger King Holdings - $379,500,000
State Farm - $338,100,000 (bottom of the list)

Top 10 Beverages (not a complete list)
Coca-Cola - 15.9% market share
Pepsi - 10.2 %
Mountain Dew - 4.5%

Top Beverages Total Average for Two Giants
Coca-Cola - 5.75 (unweighted 23%)
PepsiCo - 4.6 (23%)

Top 10 Resturant Chains
McDonalds - 7.7% market share
Burger King - 2.4%
Wendys - 2.2%
Subway - 2.2%
Starbucks - 2.0%
Taco Bell - 1.7%
KFC - 1.5%
Dunkin' Donuts - 1.3%
Applebee's - 1.3%

Seanchai
"Thus tens of children were left holding the bag. And it was a bag bereft of both Hellscream and allowance money."

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jeff37923

Advertising for gaming is entering a crisis period soon as well, to dovetail on this topic. Both Dragon and Dungeon are primary sources of advertising for third party OGL publishers, with both magazines going away in the next couple of months where these small businesses place their ads? How will this affect the gamer marketplace?

EDIT: I missed the earlier conversation on gaming ads.
"Meh."

Seanchai

Quote from: jeff37923EDIT: I missed the earlier conversation on gaming ads.

Not so much about gaming ads, but about why D&D is number one. There was some speculation that it's currently king of the hill because WotC can spend more than any other company on advertising. As you can see, however, just throwing money around doesn't take you to the top, etc..

Seanchai
"Thus tens of children were left holding the bag. And it was a bag bereft of both Hellscream and allowance money."

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ElectroKitty

Is that million dollar amount for Pepsi accurate? Pepsi only spent a million dollars on advertising in 2006?
 

Seanchai

Quote from: ElectroKittyIs that million dollar amount for Pepsi accurate? Pepsi only spent a million dollars on advertising in 2006?

Sorry, that's $1,322,700,000.

Seanchai
"Thus tens of children were left holding the bag. And it was a bag bereft of both Hellscream and allowance money."

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droog

Quote from: SeanchaiAs you can see, however, just throwing money around doesn't take you to the top, etc..
I don't know. The three food chains in the top ten advertising list are also the top three food chains. Looks like correlation at the very least.
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ElectroKitty

Quote from: SeanchaiSorry, that's $1,322,700,000.

Seanchai
That seems more likely. :p
 

Seanchai

Quote from: droogI don't know. The three food chains in the top ten advertising list are also the top three food chains. Looks like correlation at the very least.

Burger King spent 55 million dollars less than Wendy's and they have basically the same market share.

Coca-Cola spent half of what PepsiCo spent and they still have the bestseller by far and beat them overall.

Seanchai
"Thus tens of children were left holding the bag. And it was a bag bereft of both Hellscream and allowance money."

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droog

Quote from: SeanchaiBurger King spent 55 million dollars less than Wendy's and they have basically the same market share.

Coca-Cola spent half of what PepsiCo spent and they still have the bestseller by far and beat them overall.

Seanchai
Sure, but the general trend is pretty clear. And Coke is an interesting case, because it has a massive product recognition factor. Coke is a synonym for cola drinks the way D&D is a synonym for RPGs.
The past lives on in your front room
The poor still weak the rich still rule
History lives in the books at home
The books at home

Gang of Four
[/size]

Ian Absentia

Quote from: SeanchaiNot so much about gaming ads, but about why D&D is number one. There was some speculation that it's currently king of the hill because WotC can spend more than any other company on advertising.
Out of curiosity, where does D&D get advertised?  Because, in my daily/weekly/monthly circles of activity (with the obvious exception of a small handfull of websites), I never encounter any advertising for it.  Never.

!i!

Seanchai

Quote from: droogSure, but the general trend is pretty clear.

That if you spend millions of dollars advertising, you'll probably get customers?

It's just not a sure thing. You can spend millions of dollars and not necessarily be better off than someone who didn't.

Seanchai
"Thus tens of children were left holding the bag. And it was a bag bereft of both Hellscream and allowance money."

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Seanchai

Quote from: Ian AbsentiaOut of curiosity, where does D&D get advertised?  Because, in my daily/weekly/monthly circles of activity (with the obvious exception of a small handfull of websites), I never encounter any advertising for it.  Never.

They have has some comic book ads, a television campaign, etc.. But outside of Dragon and Dungeon, they do little in the way of advertising.

Seanchai
"Thus tens of children were left holding the bag. And it was a bag bereft of both Hellscream and allowance money."

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droog

Quote from: SeanchaiThat if you spend millions of dollars advertising, you'll probably get customers?

It's just not a sure thing. You can spend millions of dollars and not necessarily be better off than someone who didn't.

Seanchai
I think we'll have to agree to disagree on what those figures show.
The past lives on in your front room
The poor still weak the rich still rule
History lives in the books at home
The books at home

Gang of Four
[/size]

Tyberious Funk

Quote from: droogI think we'll have to agree to disagree on what those figures show.

The figures are a small sample and they represent the most extreme end of their respective markets.  In reality, the the figures show nothing.
 

droog

The past lives on in your front room
The poor still weak the rich still rule
History lives in the books at home
The books at home

Gang of Four
[/size]