Snuggie, the much-mocked but also much-purchased blanket with sleeves, will spend an estimated $12 million on holiday advertising this year.
The brand spent $34.8 million in advertising throughout 2009, according to Kantar Media – and the marketing is apparently paying off: by the end of 2010, Snuggie will have sold 25 million units, reports The New York Times.
In 2008, when Snuggie was first launched, it sold about four million units. But instead of dying out after its initial launch, as many popular as-seen-on-TV items do, the blanket only picked up steam. With its campy infomercial ads that were the basis of jokes by Jay Leno and other TV personalities, the product went viral online. Now there are 15 styles of Snuggie, and rather than being sold exclusively through an 800 number, about 95% of Snuggies are now sold in brick-and-mortar stores.
A key to the success of the brand was that the company did not get touchy when it became widely ridiculed, says Thomas Haire, editor of trade publication Response Magazine. “They were able to laugh at themselves, and I think the American consumer sensed they were in on the joke, too.”
As-seen-on-TV items, touted in sometimes oddly compelling ads, can be popular products – but just 12% of consumers are willing to purchase items from TV, according to Samir Kulkarni, owner of Showcase, the world’s largest chain of as-seen-on-TV products. Showcase stores can be found in 61 major shopping malls across Canada, and plans to grow to 100 outlets in the next two years, writes CBS News. “Through TV alone, the advertisers cannot capture the entire market,” Kulkarni says.
Last December, Showcase sold one Snuggie every 13 seconds, and people were lining up outside the stores to purchase the quirky blanket. The retailer does about 25% of its annual sales in the month of December.
Source: mediabuyerplanner.com