Product Placement

A product placement is the inclusion of a product, brand name or the name of the firm in a movie for increasing memorability of the brand and instant recognition at the point of purchase. It is an advertising technique in which the companies pay a fee or provide service in exchange for a prominent display of their product. Product placement appears in plays, film, television series, music videos, video games and books. It occurs with the inclusion of a brand's logo in shot, or a favorable mention or appearance of a product in shot. This is done without disclosure, and under the premise that it is a natural part of the work. Most major movie releases today contain product placements. The most common form is movie and television placements and more recently computer and video games.

The first film to feature product placement was Wings (released in 1927), the first film to win the Oscar for Best Picture. It contained a plug for Hershey's chocolate. In other early media, e.g. radio in the 1930s and 1940s and early television in the 1950s, programs were often underwritten by companies. "Soap operas" are called such because they were initially underwritten by consumer packaged goods companies such as Procter & Gamble or Unilever. Sponsorship still exists today with programs being sponsored by major vendors such as Hallmark. Incorporation of products into the actual plot of a TV show is generally called "brand integration". The earliest example of product placement in a computer or video game occurs in the 1984 game Action Biker for KP's Skips crisps. Video games, such as Crazy Taxi feature real retail stores as game destinations. However, sometimes the economics are reversed and video game makers pay for the rights to use real sports teams and players. Today, product placement in online-video is also becoming common. Online agencies are specializing in connecting online-video producers, which are usually individuals, with brands and advertisers.

            As a form of covert marketing communication tool, the practice of placing branded products within films for commercial purposes has gained popularity among marketers and brand managers. At the same time, the popularity of this practice increases concerns and discussions of public well-being from various groups such as public policy makers, consumer interest groups, regulatory agencies, and consumers. By employing a survey with a sample of 3,340 nonstudents, a current study provided by Blonde and Roozen that shoes a more accurate picture of attitudes towards product placement in films. Overall findings suggest that consumers are overall positively disposed toward product placement, do not see a need for regulation, and have a tendency towards neutrality regarding several of the practice’s facets.

The research results indicate that consumers are aware about product placement being a method of advertising. They are influenced by the placements and have bought products that had been placed in movies and other media. Thus product placement seems to have gained acceptance as a form of advertisement and can be continued to be used. Also, most do not feel that product placements are irritating and interrupting the flow of the movie. People are generally expressing a positive attitude toward product placement and are influenced by it. A conclusion drawn from the research was that products placed prominently in films were better recognized than those placements placed subtly within the context of the film. Another aspect closely considered in this research was the effect product placements have on the realism of the film. The research shows that product placements in films are a viable alternative to traditional forms of advertising. The reason for this is that product placement (especially prominent product placements) is readily recognized by viewers. Product placements therefore offer numerous benefits to the marketer in terms of reach and diminishing cost per viewer. Product placement is an immense field of research within which much is yet to be discovered.

REFERENCES:

Blonde, Kristin and Irene Roozen (2007), “An Explorative Study of Testing the Effectiveness of Product Placement compared to 30-second TV-Commercials” for the 6th International Marketing Trends Congress, Paris 26-27 January 2007

D’Astous A & Chartier F,(2000). “A study of factor affecting consumer relations and memory of product placement in movies”, Journal of current issues and research in advertising, 22(2):31-40.

Gupta PB, Balasubramanian SK, Klassen ML (2000). “Viewers’ Evaluations of Product Placement in Movies: Public Policy Issues and Managerial Implications”. Journal of current issues research in advertising 22(2):41-52.

Morton C, Friedman M (2002). ““I Saw It In The Movies”: Exploring the Link Between Product Placement Beliefs and Reported Usage Behavior”. Journal of current issues research in advertising 24(2):33-39.

Van der Waldt, DLR (2005). “The role of product placement in feature films and broadcast television programmes: an IMC perspective.” Communicare. 24 (2): 1-16. December.