When Apple started running the anti-Vista commercial (above) mocking Microsoft for spending $300 millionon Vista’s own ad campaign instead of on fixing its problems, Icalled it hypocritical:
Apple’s advertising budget is also pretty massive. I mean, I see more Apple commercials on TV than ads for Barack Obama. Apple is on track to spend more than $3.5 billion on SG&A(selling, general, and administrative expenses) for its fiscal year that ended September 30. Howmuch of that was spent on advertising? I don’t know, but 10 percent doesn’t seem unreasonable.
It turns out that I underestimated Apple’s advertising budget. Lindsay Blakely atBnet(a former
Business2.0
reporter) found the actual numbers in a subsequent SEC filing. In its 2008 fiscal year that just ended lastSeptember, Apple spent a whopping $486 million on advertising. (In fiscal year 2007, it spent $467 million,and in fiscal year 2006 it spent $338 million).Half a billion dollars on marketing. No wonder I think Apple products are so great.
Update
: Microsoft spends more on advertising across all of its combined businesses than Apple does, but itsWindows business is what competes most directly with Apple. Microsoft’s total advertising budget across allof its businesses, including Windows, Office, Xbox, and all the enterprise stuff, was the following (from the10K ): “Advertising expense was $1.2 billion, $1.3 billion, and $1.2 billion in fiscal years 2008, 2007, and2006, respectively.”Microsoft’s fiscal year ends in June, so these numbers do not reflect the $300 million Vista campaign. Butthat would have eaten up 25 percent of Microsoft’s entire ad budget for any of the previous three years.ShareThis Next PostPrevious Post
Responses
Yup, Apple’s Advertising Budget Is Bigger Than Microsoft Vista’shttp://www.techcrunch.com/2008/11/21/yup-apples-advertising-budget-is...2 of 2812/19/2008 11:27 AM
Leave a Comment