Budget Concerns Prompt IDF To Put Ads On Sides Of Tanks

Ramat Hasharon, Israel, October 6 – Tensions over a proposed increase in military spending as part of the 2015 government budget have forced the Ministry of Defense and Israel Defense Force to seek revenue outside the standard military budget, leading them to offer ad space on the sides of armored vehicles.

Lower-than-anticipated tax revenues and a falloff in tourism resulting from the summertime war with Hamas have stretched Israel’s budget as military needs vie with impending crises in affordable housing, a shrinking middle class, and concerns over deficit spending. Seeking to meet budgetary requirements if Minister of Defense Moshe Yaalon proves unable to secure the full allocation for its projected expenses, the ministry and army have launched a program to offer the flanks of the Merkava IV main battle tank and other similarly-shaped vehicles as space for advertisements.

The ads would run for several weeks at a time, and follow the model of local buses, which can have the proper decals applied or removed in minutes. The IDF believes the tanks will command a greater fee than other forms of signage advertising, since the cavalry, especially the Merkava corps,  carries a prestige in Israeli society that few other institutions can match, a coveted association for advertisers. Early Ministry of Defense estimates calculate an annual revenue of 61 million shekels, shaving a significant amount off the necessary government allocation. Those estimates assume only a partial rollout of the program, with 30% of the relevant vehicles in active service carrying ads; experts believe the total can reach much higher if more vehicles, such as Howitzer artillery units, tankbulances, and armored personnel carriers are included in the revenue stream.

“This can be a serious moneymaker if they do it right,” says analyst P.T. Barnum of Jane’s, a defense journal. “Israel’s precarious military situation has always forced their commanders to think differently, and this is another example of that.” He particularly praised the adaptability of the ad program to the Merkava armor, which is designed for quick modular replacement. “The Merkava series was a pioneer in modular armor to enable only the damaged portions to be replaced instead of having to redo the entire tank body, and that tactical advantage is mirrored in the commercial realm with this program – they can slap on a new ad with the new section of armor in minutes.”

Already, several advertising companies have expressed keen interest in the program. Neopharm Israel, which markets the British-produced Durex brand of condoms, is scheduled to tout the protection its products offer as part of a trial run this November. If the pilot program satisfies Neopharm, says IDF spokesman Lou Brickate, the advertiser will commit to a longer contract to attain greater penetration in the Israeli market.

Other advertisers waiting in the wings include the Gillette razor company, which seeks to exploit the name of this summer’s Operation Protective Edge to launch a new campaign for its safety razors; car insurance companies; and dozens of home and auto security systems purveyors.