ABC sells out ad time for the Oscars, even as fewer people are expected to watch.

ABC sells out ad time for the Oscars, even as fewer people are expected to watch.

ABC has sold out its advertising inventory for the pandemic-delayed Academy Awards on Sunday, with companies like Google, General Motors, Rolex and Verizon spending an estimated $2 million for each 30-second spot, according to media buyers — only a slight decline from last year’s pricing even though the television audience is expected to be sharply smaller.

Rita Ferro, president of Disney Advertising Sales, which sells ads on Disney-owned ABC, announced the sellout. She declined to comment on pricing or say how much revenue Disney will generate from the telecast. Last year, the Oscars pulled in about $129 million across 56 ads, according to Kantar Media, a research firm. (A red-carpet preshow attracted $16.3 million across 42 ads.)

Additional revenue comes from “integrations” and other sponsorships. For the first time, for instance, ABC will have a sponsor for closed-captioning (Google). The upshot: ABC’s revenue for the telecast is estimated to have declined only 3 to 5 percent from last year — a tiny drop compared with the expected 50 to 60 percent decline in viewing.

The ceremony is “one of those big cultural moments,” Andrew McKechnie, Verizon’s chief creative officer, said of the company’s decision to buy ad space. “The broadcast this year will be a bit different,” he acknowledged, “but the event will still be an impactful one and an important one for us to show up in.”

Oscar Commercials Sold Out at ABC Despite Ratings Outlook

ABC’s Oscar telecast may not draw as many viewers as it has in the past, but it will still air a full suite of commercials.

The network has sold out all of its available advertising inventory for the annual awards event, Jerry Daniello, senior vice president, entertainment brand solutions, for Disney Advertising Sales, said in an interview. The company finalized its sales earlier this week, he said. ABC’s broadcast of the 2020 Oscars generated approximately $129 million, according to ad-spending tracker Kantar, while the network’s red carpet pre-show attracted around $21 million.

Continued demand for the program shows that Madison Avenue remains interested in TV’s top draws, even as viewership around them changes. More consumers are using streaming-video hubs to get their favorite programs, but events like the Oscars, Grammys and Super Bowl continue to lure the mass audience that advertisers still crave. Last year’s Oscar broadcast lured an average of 23.6 million viewers — a new low, but still more than most of the medium’s primetime dramas and comedies.

With those dynamics at play, coronavirus created new hurdles. “One of the challenges was just what was the show going to look like this year,” said Daniello. “We really rolled our sleeves up.”

Most awards programs have steadily lost viewership over the years, but the coronavirus pandemic has crimped one of their most appealing elements: the chance to see celebrities, live and part of a larger assemblage. A decision to bump the Oscar telecast from its usual February roost to April helped the sales process, Daniello said. “That gave more time for clients to work on their creative and gave them more time to show up the way they wanted to show up,” he said. His team stayed in close contact with this year’s producers, which include Steven Soderbergh, Stacey Sher and Jesse Collins, and once they committed to having some sort of live gathering on the telecast, he said, “that’s when things started bubbling up.”

Google, General Motors, Rolex and Verizon will be among the show’s top sponsors. Other advertisers will include AARP, Accenture, Adidas International, Airbnb, Apartments.com, Apple, Corona, Disney Plus, Eli Lilly, Expedia, FreshPet, FX, Grey Goose, GSK, Honda, Kellogg, Keurig, Mars, Procter & Gamble, Power to the Patient, Searchlight, Starbucks, Subway, Walt Disney Studios and Warner Bros.

ABC has been seeking around $2 million for a 30-second ad slot, according to people familiar with the discussions.

Disney worked with the Academy of Motion Picture Arts and Sciences to find new ways to weave advertisers into the extravaganza. Google, for example, will sponsor not only access to closed-captioning for viewers who are hearing impaired, but audio descriptions for the live telecast for viewers who are blind or visually impaired. During the show, Google will run an ad that features the story of Google employee Tony Lee, a child of deaf parents who uses the company’s products like Live Transcribe, Captions in Google Meet and Live Caption to communicate with family. Viewers will be made aware of the options via messages that appear at certain points during the broadcast on the bottom of the screen, Daniello said.

“Google is committed to making the world a more accessible place by working to ensure disabled people are represented in the work we do, the stories we tell and the products we build,” KR Liu, Google’s head of brand accessibility, said in a statement. “We are excited to do our part in making this year’s Oscars even more accessible by helping to make both audio descriptions and captions available.”

Verizon will also use the Oscar broadcast to make fans aware of extras. The company has set up “5G portals” that will let viewers see the action taking place backstage at the event, including celebrities talking to the press and a station where winners can have their name engraved on their statue.

Other advertisers will use the event to draw attention to new ventures. Travel-planning site Expedia will launch a new commercial aimed at getting people ready to travel again as the pandemic subsides. General Motors’ Cadillac will highlight its Lyriq, its first electric crossover vehicle.

Disney used the Oscars to target local advertising as well, luring Mercedes-Benz, Swarovski, Resorts World, Spectrum and Virgin Hotels, among others, to a stream of the event available to Hulu subscribers who use its live service.

Oscars 2021: ‘Nomadland’ wins best picture at the 93rd Academy Awards

A view of the red carpet during the 93rd Annual Academy Awards at Union Station on April 25, 2021 in Los Angeles, California. Pool | Getty Images Entertainment | Getty Images

The 93rd annual Academy Awards made history before the first award was even handed out. After years of criticism for a lack of diversity, this year’s slate of nominees contained some notable firsts. It was the first time an all-Black producing team was nominated for best picture, the first time two actors of Asian descent received a nod for best actor and the first year that two women were nominated for best director. When the winners were revealed, it reflected this spirit of inclusion.

Chloe Zhao took home the best directing trophy, becoming the second woman to claim the title. Her film, “Nomadland,” also snagged the top prize of the night, best picture. However, in a strange balk of tradition, the award was not presented last. Instead it was handed out before the best actress and best actor awards. It is unclear why the Academy made this change. Mia Neal and Jamika Wilson, two-thirds of the hairstyling and makeup team behind “Ma Rainey’s Black Bottom,” also made history on Sunday. The pair are the first Black women to receive a nomination for best makeup and hairstyling and now, the first to win. “Soul,” which took home the best animated feature award, is also Pixar’s first film to feature a Black character in the lead. Yuh-Jung Youn was the first Korean performer to win in one of the four acting categories. Youn won the best supporting actress prize for her work in Lee Isaac Chung’s “Minari.”

(L-R) Youn Yuh-jung and Han Ye-ri attend the 93rd Annual Academy Awards at Union Station on April 25, 2021 in Los Angeles, California. Pool | Getty Images Entertainment | Getty Images