Disney Advertising has sold out all of its ad inventory for the Oscars, which were televised on ABC this past weekend. According to reports from Deadline and Yahoo Entertainment, the company charged between US$1.6 million and US$2.1 million for 30 seconds of airtime. Disney ran out of ad space for a very large number of brands and advertisers in 15 different categories. These included Hulu, alt Disney Motion Pictures, Universal, Sony, Warner Bros., Amazon, Snapchat, and Paramount+. The lead advertisers included brands such as Pfizer, Rolex, and Verizon.
Importance of Disney advertising at the Oscars
The Oscars are a key event for Disney when it comes to advertising, as they gain a lot of eyeballs on live television. It is very important because it gives studios a chance to talk about their upcoming movies. One such film is Disney’s The Little Mermaid, starring Halle Bailey and Melissa McCarthy, which saw its trailer debut during the Oscars. A statement from the company says that the live-action remake of their animated classic will come out on May 26 of this year.
Custom Storytelling from Sponsors
Several news sources said that Rita Ferro, president of Disney Advertising, said that sponsors for the Oscars “showed up in full force” in “every major category” with new ways to tell stories.
In the upfront vs. scatter market
This year’s Oscar ad spots were sold mostly in the upfront market rather than the scatter market, indicating a recovery in viewership numbers for leading award shows and movies that were hit hard by the pandemic.
A Decline in Viewership
However, it’s also crucial to remember that even though they bought out their ad inventory, the Oscars’ viewership declined significantly in 2021. Compared to the 23.6 million viewers the award show attracted in 2020, the show saw a drop of almost 59%. Only 9.85 million people, according to Nielsen’s statistics, watched the award show. However, on Sunday in 2022, 16.6 million people watched the programme.
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The drop in viewership over the years was not surprising, given the trend seen. Reports from Nielsen revealed that in 2020, 23.6 million people watched the telecast, a massive drop from 2019’s 29.6 million viewers.
Disney+ Drops in Revenue and Subscriber Growth
The news comes soon after Disney+ saw a drop in subscribers and revenue in its most recent quarter, which led to a reorganisation and the cutting of 7,000 jobs last month. The company attempted to save S$5.5 billion in costs, which included doing this. After the cuts, the business will be divided into three segments: experiences and products; an entertainment unit that includes film, television, and streaming; and an ESPN unit that focuses on sports. The restructuring aims to give innovative executives back control.
