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The food and drink industry spent more than $97 million on digital advertising in February alone. In fact, the vertical is the seventh top advertising industry, according to Pathmatics marketing intelligence data.
Given the impulsive and frequent nature of food and drink purchases, it’s crucial for these brands to stay top-of-mind. With the top seven advertisers taking more than 22 percent of the industry’s impressions, they’re capturing almost a quarter of the industry’s entire impressions. So how do other brands compete for brand awareness in this industry?
By analyzing the successful advertising strategies of these top competitors and making them their own. Below, we’ll highlight some of the advertising strategies of the top industry spenders to help you get started.
While the industry’s top seven advertisers, listed in a data roundup below, all favor a similar direct spend strategy, some appear to be more forward thinking with their advertising creatives.
About 41 percent of U.S. consumers are willing to sacrifice taste for a healthier option, and 76 percent believe that homemade food is healthier than industrially prepared food, according to Nielsen. Yet, companies like McDonalds, Mars and PepsiCo are still fighting to keep their consumers coming back to their processed, calorie-packed products.
McDonald’s ran the most expensive advertisement in February at about $2.6 million, touting the fast food company’s Big Mac size (below).
Similarly, Mars ran an ad for Snickers to the tune of around $1.3 million.
On the other hand, Panera, the industry’s sixth highest spender, ran a top advertisement for more than $2.6 million addressing this trend toward natural, healthful foods, which claims, “At Panera, 100 percent of our food is 100 percent clean.”
You can watch the full 30-second ad by clicking the link below.
As industries change, old favorites like McDonald’s and PepsiCo need to stay on top of where the competition is headed. That’s where ad intelligence comes in. Being able to track your competitors’ individual advertisements, top publishing channels and spending habits is important even for goliaths like those above. Keeping tabs on competitors’ advertising trends can give you deeper insights into company goals, audiences and more.
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Read on for a detailed roundup of advertising spend and impressions for the top seven advertisers.
McDonald's spent about $7.5 million total on digital ads, nearly 8 percent of total ad spend from companies in this period. Spending was spread across four channels (desktop, mobile, desktop video, mobile video). The company garnered 462 million impressions for its budget, about 5 percent of all impressions generated by advertisers.
McDonald's used $7.1 million of its ad spend on direct buys, indicating a preference for direct over programmatic. The company tallied 387 million impressions across the four channels from direct, or about 84 percent of total impressions generated by the company in this period.
Total Spend: $7,486,200
Total Impressions: 461,976,100
Direct Spend: $7,137,900
Direct Impressions: 386,541,800
Mondelēz International spent $5.9 million in total on digital advertising, about 6 percent of total ad spend from companies in this period. Spending occurred across desktop, mobile, and video channels. The company tallied 681 million impressions for that money, approximately 8 percent of all impressions generated by advertisers.
Mondelēz International used the majority of its budget - $5.1 million - on direct placements. The company garnered 311 million impressions across all channels from direct, or about 46 percent of total impressions collected by the company in this period.
Total Spend: $5,921,700
Total Impressions: 680,536,900
Direct Spend: $5,072,700
Direct Impressions: 310,773,300
Mars, Incorporated spent nearly $4.7 million in total on digital advertising, about 5 percent of all money spent by food and drink brands in this period. Spending was spread across desktop, mobile, desktop video, and mobile video. The company garnered 254 million impressions for its budget, approximately 3 percent of all impressions generated by advertisers.
Mars, Incorporated invested nearly all of its $4.6 million total budget on direct buys. The company gained 245 million impressions across the four channels from direct, or about 96 percent of total impressions generated by the company in this timeframe.
Total Spend: $4,673,600
Total Impressions: 254,246,200
Direct Spend: $4,633,900
Direct Impressions: 244,719,800
PepsiCo, Inc. spent $4 million total on digital advertising, roughly 4 percent of all money spent by food and drink advertisers during this period. Spending occurred across four channels (desktop, mobile, desktop video, mobile video). The company tallied 381 million impressions for its ad spend, just about 4 percent of total impressions generated by advertisers.
PepsiCo, Inc. used about $3.6 million of its ad spend on direct, indicating a preference for direct buys over indirect. The company garnered 238 million impressions across all channels from direct, or about 63 percent of total impressions acquired by the company in this timeframe.
Total Spend: $4,027,600
Total Impressions: 381,007,900
Direct Spend: $3,587,400
Direct Impressions: 238,338,600
Dr Pepper Snapple Group spent $3.7 million all told on digital advertising, just about 4 percent of total ad spend from companies in this timeframe. Spending took place across desktop, mobile, and desktop video. The company generated 208 million impressions for its money, about 2 percent of total impressions generated by advertisers.
Dr Pepper Snapple Group spent almost $3.6 million of its total budget on direct placements. The company garnered 139 million impressions across all channels from direct, or about 67 percent of all impressions generated by the company in this period.
Total Spend: $3,743,500
Total Impressions: 207,866,800
Direct Spend: $3,567,200
Direct Impressions: 139,260,200
Panera Bread Company spent more than $3 million in total on digital ads, about 3 percent of all money spent by the industry’s advertisers during this period. Spending occurred across desktop and desktop video. The company tallied more than 166 million impressions for its budget, approximately 2 percent of total impressions generated by food and drink advertisers.
Panera Bread Company used its full $3 million budget on direct spend and all its impressions came from direct.
Total Spend: $3,007,400
Total Impressions: 166,271,400
Direct Spend: $3,007,400
Direct Impressions: 166,271,400
Anheuser-Busch spent $2.9 million total on digital ads, about 3 percent of all money spent by food and drink brands during this period. Spending was allocated across desktop, mobile, and desktop video channels. The company generated 296 million impressions for its ad spend, roughly 3 percent of total impressions generated by advertisers.
Following the category trend, Anheuser-Busch used $2.5 million of its budget on direct. The company garnered 234 million impressions across channels from direct, or about 79 percent of total impressions garnered by the company in this timeframe.
Total Spend: $2,867,000
Total Impressions: 295,935,700
Direct Spend: $2,537,500
Direct Impressions: 233,686,300
**All trademarks & copyrights property of their respective owners. Image Credit: Pixabay. Source: Pathmatics US Desktop, Mobile, and Video Data, February 1st, 2017 - February 28th, 2017.