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For most of the year, TV advertisements have us scrambling for the “skip” or “mute” buttons. But there’s one short period when they’re not only tolerable, but actually sought after: the Christmas season.
Few things tug on the heartstrings like a Christmas ad. Takes Coles’ recent release. It features a doleful-eyed Basset hound who wants nothing more than to share in a human Christmas feast. But no matter how much he begs, he’s ignored. Hungry and dejected, he howls towards the sky. But then, a bowl of glorious dog food is pushed towards him and all is well again. Why? Because everyone deserves a Christmas treat, even the dog.
The 2025 Coles Christmas ad isn’t just selling us food – it’s sharing a heartwarming message.Credit: Coles/Screenshot
These ads aren’t just selling a product – they’re telling a story. Over the past few decades, Christmas ads have transformed into mini movies, with many brands shelling out big bucks to associate their products with the holiday season. In fact, major UK brands are expected to spend more than $24 billion (£12 billion) on advertisements this festive season, per the Advertising Association. That’s 7.3 per cent more than last year.
So, why do brands focus so heavily on Christmas ads, and why can we never seem to get enough of them?
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Christmas has evolved into a major cultural event, which means most people around the world engage with it in some way. Dr Cathy Nguyen, a senior marketing scientist at the Ehrenberg-Bass Institute for Marketing Science, says brands take advantage of this, tapping into memory structures that are both familiar and relevant in their holiday ads. Think of symbols like Santa and baubles and sounds like jingling bells.
“Because these cues are so universally understood, Christmas advertising feels instantly relatable, which gives it natural broad appeal,” she says.
People are also usually already primed for sentimentality during the holidays. This is why you’ll see themes like togetherness and generosity in most Christmas ads.
A famous example is UK retailer John Lewis’ 2013 The Bear and the Hare ad, which sees a hare gift an alarm clock to a hibernating bear so that they can experience Christmas Day together. Another is Coca-Cola’s 2020 Give Something Only You Can Give ad, which is about a father who braves wild seas and scales mountains to get his daughter’s wishlist to Santa, only to find out she wished to have him back in time for Christmas.
Christmas ads often initially appear the opposite of jolly – something goes wrong, someone is lonely or upset. This is known as “sadvertising”, a form of marketing that senior lecturer in advertising and marketing at the QUT Business School Dr Lisa Tam says reflects consumers’ realities – Christmas can be an emotionally complex time for many. These ads bring viewers on an emotional journey.
She points to a recent Christmas ad by UK supermarket chain Asda, which touches on cost of living pressures. It sees a Grinch father fret over the cost of food and gifts, only to perk up once he discovers Asda’s affordability.
“Because Christmas is at the end of the year, consumers reflect on the challenges they have had as they also look forward to the new year,” she says. “Therefore, many ads typically begin with emotional tensions that ultimately resolve with hope and connection.”
Many brands also make ample use of nostalgia, creating their own kinds of visual traditions that customers look forward to each year. For instance, Curtis Stone in Coles’ Christmas ads and the big red trucks in Coca-Cola’s.
Emotional resonance ultimately makes brands appear more human, and helps them stand out amid the seasonal clutter, says senior lecturer in economics, finance and marketing at RMIT Dr Amanda Spry.
“It works because emotion stimulates audience engagement and, in turn, attention and memory,” she says.
These strategies clearly pay off. Tam says for every £1 ($2) spent on Christmas ads in 2015, John Lewis generated £8 ($16) in return. This shouldn’t be surprising given Christmas is a major shopping period – most people are spending more on food, gifts and alcohol. Brands’ investment in festive ads simply reflects the commercial realities of the yuletide period.
As Christmas grows (and more money is spent), the ads grow accordingly. While product visibility used to be king, there’s now a stronger emphasis on building emotional connections between the brand and consumer. Some ads are even becoming more interactive and personalised, as they find a home on social media rather than free-to-air television.
Christmas commercials are ultimately about memorability combined with brand recognition. The UK, as the birthplace of Christmas advertising, has mastered this.
“The earliest Christmas ad could be traced back to the 18th century, when they had Christmas ads in newspapers in the UK,” Tam says. “Because of this long history, British people take Christmas ads seriously.”
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Australia lacks the same seasonal ad “canon”. When asked which Australian Christmas ad has stuck with her, Nguyen says none immediately come to mind.
Why could this be? Perhaps it’s because Australian brands haven’t perfected the balance between emotional story-arcs and branding.
“While creative storytelling in a way that refreshes and reinforces existing memory structures matters, branding is essential,” Nguyen says. “Christmas ads still need to look and feel like the brand, rather than blending into a sea of similar festive stories.”
If UK brands’ growing return on Christmas ad investments is any indication, emotional storytelling works. However, Spry notes that Australian holiday ads tend to favour humour and laid-back tones over epic emotional journeys. Most festive ads Down Under will feature a backyard family cricket match or a relaxed barbecue. While this makes them highly relatable, it may not stick with viewers for as long.
Regardless, Christmas ads remain big business both here and abroad. As long as brands have something to sell and we have heartstrings to tug at, festive ads will remain a signature element of the season.
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