Severe flu season prompts cold and cough brands to boost ad spend

As the flu and respiratory virus continue to wreak havoc across the country, over-the-counter (OTC) cold and cough medicine brands are boosting their ad spend in an attempt to capture market share at a time of heightened consumer attention. In October, OTC cold and cough brands spent $41 million on advertising, 62% more than in October of 2021, according to data from MediaRadar, an advertising intelligence platform. In addition, MediaRadar found that October ad spend in the category was up nearly 30% over September. “This is exactly the time to advertise,” said Markus Saba, a marketing professor focusing on health care at the University of North Carolina. “You’re fighting for share of market, the demand has come and you have a chance to make up for the last two years’ loss of share with COVID when there was no market.” Ad Age World’s Largest Advertisers 2022 See ad spending, rankings and analysis for the biggest global marketers Click here Recent reports suggest that this flu season is the most severe it has been in at least a decade. Walgreens’ Flu Index, which monitors flu activity by region using retail prescription data, shows the illness is trending 20 times higher this year compared with the same time last year, according to a spokeswoman. For the week ending Nov. 26, the U.S. Centers for Disease Control and Prevention reported that “seasonal influenza activity is high and continues to increase across the country.” In addition to the flu, consumers are also experiencing high rates of RSV, a respiratory illness that has been sickening children, in particular, this fall. At the same time, some prescription drugs such as amoxicillin, an antibiotic used to treat the ear infections that sometimes accompany colds, are facing shortages. From January to October, the advertising spend for flu, sore throat and cold and cough brands was $170 million, up from $106 million in the year-earlier period, MediaRadar found. The report includes investments from brands such as Mucinex, which is owned by Reckitt Benckiser. Along with Reckitt, top spenders in the category include Bayer and Procter & Gamble, according to MediaRadar. Cooler Screens, which runs digital ads on freezer and refrigerator doors for brands in stores, is currently working on five large campaigns for cold and cough brands, said Lindell Bennett, who joined the tech company as chief revenue officer earlier this year after working for a decade at Amazon. He said Cooler Screens is seeing 10 times the ad spend in the flu and cold category this season compared with 2021, and that advertising in stores, where consumers are already prepared to make a purchase, is top of mind for brands right now. In addition, cold brands are facing challenges from an increase in private label offerings from companies like Walgreens and CVS, which offer lower-cost alternatives for cash-strapped consumers during inflation. “That puts even more pressure on these brands,” said Bennett. “You have an opportunity because there’s more cold and flu happening right now, but it’s not just brands ... you’re competing with private label, which have similar product but at a lower cost.” Amid heightened demand, CVS has adjusted its marketing strategy this year, according to a spokeswoman, who said that consumers are “seeking more information” as symptoms blur across cough, COVID-19, RSV and the flu. CVS is running a #FluShotFlex campaign this year that promotes the myriad ways customers can get a shot—scheduling online, walking in or adding vaccines like the COVID booster. CVS is also partnering “with several universities and their mascots to engage fan bases on the importance of getting a flu shot,” the spokeswoman said. Competitor Walgreens began its messaging related to cold, cough and flu illnesses earlier this year in its owned marketing channels, a spokeswoman said, noting that OTC products have become a more popular solution “for prolonged seasonal illnesses and COVID relief.” In an email, she added that “We are connecting the dots for our customers on cross-category shopping and by increasing immunization integration through paid (Audio, Digital/programmatic, Digital Video, Social, Search) and owned: (Email, organic social, site, mobile, Digital Roto).” In paid channels, Walgreens is also encouraging customers to get flu shots and COVID boosters ahead of holiday gatherings.

Severe flu season prompts cold and cough brands to boost ad spend

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