this post was submitted on 15 Jul 2024
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Marketing is a big money drain for a lot of games too. Cyberpunk 2077 and GTA V are two games with marketing budgets big enough to finance a dozen other games. I guess a new title like cyberpunk would need more marketing (still not $142 million worth of marketing) but GTA was already a well established franchise that probably didn't need as much marketing as it had.
Even games like call of duty and assassins creed which have a core fan base that can expect a new game on a regular basis don't need to market as much as they do.
I think marketing is always important no matter how established you are. Coca Cola aren’t skimping on their marketing budget even if they’re the most recognizable brand in the world.
It’s about constantly reminding everybody “hey, I exist! Don’t you want to buy me?”.
I was just talking about this the other day. I think Coke and some companies have reached a saturation point that makes advertisements useless.
I dont know if we have any data to model off of, but I'd love to see if their profits dip by any meaningful amount if they stopped advertising for 3 months straight. Let the movie theaters, and the restaurants, and the culturally embedded soft drink preferences do their thing and see if the dial moves.
I don’t think they would keep investing in marketing if they didn’t know if it worked. I’m just guessing, but I believe there’s a noticeable bump in sales after a successful marketing campaign.
And that's what I think they're failing to measure. I think they're unable to accurately divorce the increase in sales from other incentives/market forces, and so they're just doing what they've been doing regardless of actual merit, or the merit is being improperly evaluated
Coke keeps running ads because that's how they keep the brand as a cultural staple. They aren't trying to sell more coke right now, they're making sure that people in 50 years will still be buying it.