Dive Brief:
- Pfizer's erectile dysfunction (ED) drug Viagra is losing its patent exclusivity, a development which has hampered the drug's presence in TV advertising and will likely have a notable impact on the National Football League (NFL), according to a report in Ad Age citing multiple unnamed insiders. No Viagra ads have appeared on TV since May 15, Ad Age said, and the brand's lack of presence at TV upfronts suggests a return is unlikely.
- Viagra was a top 40 spender with the NFL, per iSpot.tv data, buying almost $31 million in pro football ad inventory last year. A generic version of the drug from Teva Pharmaceuticals is set to hit the market on Dec. 11, Ad Age said. An unnamed advertising executive quoted by the publication noted that the introduction of generic drugs "usually spells the end of any direct-to-consumer advertising for the legacy brand."
- Cialis, another drug in the erectile dysfunction category, will also lose patent protection and did not buy any NFL spots during the upfronts, according to one ad sales source quoted anonymously by Ad Age. Cialis reportedly spent up to $22 million on NFL ad inventory last season.
Dive Insight:
Advertising around ED drugs has become a staple of pro football games, even if the creative for commercials has rarely been as distinctive as that of other major categories like beer. The loss of reliable big spenders like Viagra and Cialis, while spurred by a patent expiration not directly related to marketing, might come as a big blow to the NFL, which has been grappling with lower ratings in recent years while still remaining a powerhouse in the overall TV landscape.
Stemming from that, the league has been eyeing more experiments in the digital space, streaming 10 Thursday Night Football games on Twitter last season. This year, those rights were won by e-commerce giant Amazon, which paid out $50 million for the rights upfront, along with a reported $30 million in free marketing for the NFL. The company is expected to charge $2.8 million for ad packages around the games.
The NFL is also broadening its palette of what types of brands it advertises with — an expansion that might be necessary now that two major spenders are tapping out. In a major policy shift, it recently lifted its ban on liquor ads, though that change came with tight restrictions on messaging and limited airtime.
