Papaya Global, a B2B startup that provides global workforce payment solutions, is venturing into a new marketing frontier by placing a $7 million ad during the Super Bowl. The move, uncommon for businesses operating in the B2B space, aims to highlight the company’s software, designed to assist other enterprises in compliantly managing payroll for cross-border teams.

The Super Bowl ad spot, while lacking the flair of other commercials by big brands like Budweiser and McDonald’s, is a strategic move for Papaya Global. Bernd Schmitt, a professor at Columbia Business School who focuses on branding and advertising, stated that such a move could help establish a company as a serious player in the market, despite the Super Bowl’s diverse audience often being too broad for many B2B companies to effectively reach their target market.

The choice to invest in a Super Bowl ad was driven by the increasing competition in the employee payments sector, according to Jessica Malamud, VP of brand and communication at Papaya. She noted the growth of startups like Oyster HR and Remote, stating that Papaya had to “fight harder” now that the sector was no longer a “green field.”

Despite the diverse Super Bowl audience, many of whom aren’t Papaya’s target customers, the vast reach of the ad could provide a better return on investment (ROI), according to Schmitt. He believes this could especially be the case, considering Papaya Global caters to businesses of various sizes and across different industries, unlike many B2B firms with a more narrow focus.

Measuring the success of the ad campaign could prove challenging due to the complex nature of B2B sales cycles. Although direct lead generation is not the main goal of the ad, Hila Perl, the director of communications at Papaya, emphasised the significance of brand building and awareness.

Drawing parallels to Squarespace’s marketing strategy, it’s evident that a Super Bowl ad can lead to a boost in business and brand awareness. However, it remains to be seen whether Papaya Global’s ad will bring the same results, a verdict likely signaled by the company’s decision to run an ad in next year’s Super Bowl.

Source: Why a B2B startup is placing a bet on a $7M Super Bowl ad.