Echo's Super Bowl ads

[mike27oct]

Did you see the Super Bowl?  Most of us did.  We saw there were two ads for Echo. The ads cost $5M each.  That's a lot of Echos that need to be sold for Amazon to "break even".  In fact, it amounts to 55,556 units to recoup cost of those ads. 

Too bad they just didn't have a sale instead to generate selling that many, so folks who do not have an Echo could better afford one, and we here could justify getting another one.  But, Marketing doesn't always think that way.

[fstbusa]

That's assuming that the echo didn't cost them anything to make and that they are 100% profit/unit sold.... 

[mike27oct]

Yea, I know.  This was a "back of the napkin" ballpark number; not a profit and loss statement.  Just wanted to pass on info and make an awareness.

[vegasguy]

I'm sure alec Baldwin and friends cost more than the air time for the commercials.


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[mike27oct]

Agree, so estimate a cost and add that to the escalating $10M bar tab.  Now, it is even more ridiculous what they spent.  It's not like Pepsi or Bud, cell phone makers, or car companies buying ads -- they have a lot of money and customers, and their product is not a niche product like an Echo is.  I think Amazon stumbled here.  We'll see.

[Talisman]

Marketing is a tax deduction and lowers the Profit over all. and I am guessing it wasn't a true swap of hard cash but a swap of services negotiated ahead of time obviously.

[mike27oct]

Very likely could have been a "you scratch my back, and i'll scratch yours" situation.  It might have not involved cash, but it did involve real "value"

(PS I spent a 30 yr career in marketing and even had a BS degree in marketing.)