Jan 31, 2013 05:26 PM EST
SodaStream Super Bowl Ad Banned by CBS [VIDEO]

Israel-based SodaStream, the maker of home self-carbonation machines that are gaining traction in the U.S. and worldwide, had its proposed Super Bowl advertisement rejected by CBS. The spot apparently was pulled for its negative reference to rivals Coca-Cola and PepsiCo.

Daniel Birnbaum, CEO of SodaStream, commented: "This decision is totally absurd. Instead of banning the advertising of bottled beverages for devastating the environment, the UK broadcasters banned our ad. By doing so, they chose to protect the beverage industry that spends £39 million annually on TV ads."

Although banned, the commercial still received nearly 2.2 million views on Youtube, and gained traction through news coverage.

In response, SodaStream submitted a new advertisement that will run during the Super Bowl this year, which does not take such direct aim at Coke and Pepsi.

Business Model

SodaStream's product is billed as an environmentally-friendly and healthy alternative to other beverages. Specifically, the refillable SodaStream bottles can reduce the usage of disposable bottles and cans that are necessary with traditional sodas and beverages. Consumers can also control the ingredients that are used, thereby eliminating any unwanted or unhealthy additives used to flavor commercial sodas.

Controversy

The Israel-based SodaStream has recently been criticized by several NGO's for manufacturing its products on Israel-occupied Palestinian land in the West Bank. Birnbaum deflected the criticism:

"Our factories are apolitical. We don't take sides in this conflict...we are building bridges between us and the Palestinian population, and we provide our Palestinian employees with respectable employment opportunities and an appropriate salary and benefits."

Super Bowl Advertising

The Super Bowl is the most-watched television event in America, with over 100 million viewers. A successful ad can significantly boost sales, although spots typically cost millions of dollars.

Since the commercials are highly anticipated, companies invest heavily in their production. Celebrities will often make cameos, and some commercials are teased before the event to generate buzz.

Memorable Super Bowl ads include the famous "1984" Apple spot directed by Ridley Scott. Beverage giants such as Coca-Cola and PepsiCo typically feature ads, as well as Budweiser.

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