RadioShack:

From Super Bowl to Super Broke

 

By: Jesse Echeverria, Community Manager, @jesseechev

So, it’s February and how many of your New Year’s resolutions have you kept up with? Can you admit that the new treadmill and Fitbit are only there as a constant reminder of your too-busy-to-run lifestyle? Well, just like investing in a treadmill or fancy pedometer isn’t going to help you with any weight goals by magic, spending millions on a Super Bowl ad isn’t going to help you automatically increase revenue and bump up profits.

Funny to think that only one year ago RadioShack had its ‘80s Classic Rock Super Bowl 60 second commercial jam-packed with celebrity cameos and playing to “Working for the Weekend”. Unfortunately, shortly after 2014’s Super Bowl XLVIII, RadioShack had to close more than 10 percent of U.S. stores. The message behind the Super Bowl spot was that RadioShack’s outdated image was getting a facelift and going through redesign. The closing of the 500 stores was said to be part of that ongoing restructuring plan.

Now, after 94 years, RadioShack has filed for bankruptcy. Using its “store-within-a-store” model, the Shack will continue to operate some locations with Sprint occupying about one-third of the store.

Even a study by research firm Communicus backs the idea that just because your brand is in the Super Bowl, it doesn’t mean you’ll be selling more stuff. In fact, the study says 80 percent of Super Bowl ads don’t help sales.

Goes to show that even though you bought the treadmill, it doesn’t mean you’re going to lose weight. You’ve got to hop on and run.

 

dieste
jorgelo@thehangar.cr