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I've seen the number $12 million as the cost of the parade. But then NBC pays for the broadcast rights, and Broadway shows pay to be included. The $12 mil pays for salaries, logistics, lots of helium, with apparently nothing left to get Jimmy Fallon some lip syncing lessons.
I also wonder how much of the ad revenue they get, if any, from NBC.
Probably somewhere in the tens of millions, but can you imagine how much they're making in long-term revenue? Macy's is a household name and they have been for decades, it's probably a drop in the bucket for their corporation in exchange for hundreds of millions in revenue
We looked into it for a client recently-ish. I can't recall the actual number off the top of my head but I have $2million in my head as the sponsorship cost for brands with a minimum 3 year commitment.
So say $6million over 3 years not including the production cost of the float/balloon/unit.
I feel like NBC is the only winner in all this
Not when New Yorkers call it the “Macy’s Day Parade”, it’s not.
I cannot imagine the roi from being in the parade or sponsoring the Macy Thanksgiving day parade could justify the expense. Because enough it has been a while since I have priced these sponsorships I remember the number being insane and actually made me laugh . I watched the entire parade today and I don’t think I remember a single sponsor.
First time I was on a train going to work in Manhattan and heard people calling it “The Macy’s Day Parade”, I was sure they had spent their money wisely.
Its such an iconic part of the Thanksgiving holiday in the US. I can think of few brand activations/sponsorships if any that are as big a deal.
Sponsorship costs are around 200-250k for new floats and 90-100k for returning floats. Macys does around 40% GP on new floats and around 50% GP on existing ones.