Why Brands Should Take Advantage Of Product Placement

Below we provide the most popular ones and highlight their peculiarities. And when watching web videos, about 90% of consumers either skip or ignore those ads that run before the video starts. This form of

Below we provide the most popular ones and highlight their peculiarities. And when watching web videos, about 90% of consumers either skip or ignore those ads that run before the video starts. This form of marketing really started to take off after the release of the 1982 blockbuster “E.T.,” in which Elliott leaves a trail of Reese’s Pieces to cajole his alien friend out of hiding.

Our entertainment marketing survey results showed that 51% of viewers make cognizant decisions to purchase based on seeing a product in a TV show or feature film, driving consumer sales. Although, the product placement is an effective tool of marketing communication, it is not without drawbacks. However, numerous advantages which affect the effectiveness of product placement cause that advantages of product placement these negative elements become less visible. Summary of positive and negative aspects of product placement presented below. Product placement as a process combines several elements of promotion like sponsorship, advertising, public relations, and publicity (Figure 4). Frequently, it is difficult to set clear boundaries between the product placement and publicity or sponsorship.

  1. When it comes to brand awareness, you can’t argue that Coca-Cola’s product placement efforts haven’t moved the needle.
  2. Brands will also pay to limit shelf space for their competitors; these fees are known as slotting fees.
  3. For example, viewers of product placement are more able to name a brand after seeing it used in the content.
  4. In fact, the chosen
    placement can directly affect income, brand trust, and customer perception of a
  5. The attractiveness of the packaging also affects the assessment of the perceived quality of the product and brand.

Product Placement is when a known product appears in the scene of a piece of content. So, by definition the most important advantage of product placement is the logo or product is shown inside the piece of entertainment rather than around it. Today, that is incredibly vital because over 90% of content is no longer watched live. That means the commercials that surround a show are becoming less and less effective by the day.

It’s almost always going to be a 7 figure investment for a minimal placement and likely $10 million or more for a brand to be involved with the plot of the movie. Heineken, for example, paid $45 million to have James Bond stop drinking martinis and start drinking their beer. The most effective ones show respect to potential customers and are not overbearing with ad messaging.

Brandon’s Incredible Story

By doing so, audiences will respond positively towards placements and not feel manipulated by companies trying to sell their wares. A private placement can result in a poor number of potential investors, who do not want to invest substantial amounts individually. Richard Wohl (1956) define para-social relationships as the illusion of a face-to-face relationship between the observer and the performer as a consequence of mass media. Thus, a seemingly intimate bond between a performer and their audience is created. Micro-Influencers, as well as Macro-Influencers, manipulate their audience instrumentalizing para-social relationships for camouflage advertisement enabled by social media affordances.

Research conducted in 2015 shows that consumer preferences can be created partly under the influence of brand placement in the text. Brands, located in fictional stories, were assessed in summary as more reliable, and the consumer was willing to buy them rather than the brand, which was not listed in the text. With the proliferation of ad blindness and banner blindness (the ability to ignore ads) and the spread of streaming, a gap has formed in the efficacy of traditional televised advertising. Filling that gap is a more sophisticated use of product placements and sponsorship. A recent trend is to sell advertisers the entire storyline, like reality TV giants The Amazing Race does for Expedia and American Idol did for Ford, AT&T, and Apple. One more positive feature is that the mood of the film can embody the brand’s personality.

In this type of product placement, logos and brand names are changed or completely removed to distance the brand in the production from its real life counterpart. This usually happens when brands are unwilling to license their names to be used in specific productions, especially if the production goes directly against the company’s values or portrays them negatively. The increased competition about quality and price forces the company to take planned actions, ensuring their distinction and originality of the offering services.


By strategically placing products in movies, TV shows, and video games, companies can increase brand awareness and even influence consumer behavior. On one hand, this tool is less expensive than a 30-s TV spot, and sometimes even more effective and on the other hand provides an access to the wide audience [89]. Nielsen Media Research published a study showing that 58% of viewers recognized a brand when viewing a product placement in combination with commercial, while 47% of viewers recognized a brand exposed only to commercial. Of course, this study does not show an overall view of the impact of brand placement that brand awareness increases with product placement [90].

How Can You Get Product Placement for Your Small Business?

Our team is growing all the time, so we’re always on the lookout for smart people who want to help us reshape the world of scientific publishing. Dell products are peppered all over the show “Succession,” where they help construct the fictional corporate environment. Your password should be from 8 to 48 characters long, contain at least one uppercase letter, one lowercase letter, and a number.

Digital editing technology has been utilized to introduce or change product placements in post-production, sometimes going back to change items used in syndicated shows long after they were filmed. When advertisers object to their brands being featured in productions, producers may engage in “product https://1investing.in/ displacement,” where they remove logos digitally. Another option, known as “greeking,” sees recognizable labels changed or taped over. Similar to articles like this, product placements of brands get the attention of news media. These days, it’s very similar to a red carpet star wearing a designer.

It becomes clear that Influencer advertisements follow in the footprints of Hollywood camouflage branding. The promotion of the products in question is contextualized in the content of the post. Furthermore, the pervasive message is naturalized through the illusion of a bond between the audience and the Influencer as well as the format of entertainment. Therefore, Influencer marketing blurs the line between advertisement and content just like Hollywood branding does. This substantiates the hypothesis that product placement in movies is the predecessor of advertisement through Influencers on social media platforms.

Subconsciously, we take this information up and are influenced to accommodate our buying behavior. But at the end of the day, we are aware of these obvious ways of advertising. However, in some cases, our perception and level of awareness of branding in the entertainment industry differ.

In the past, product placement frequently appeared in the
literature, for in Around the World in
Eighty Days, or on paintings, like on A
Bar at the Folies-Bergère by Édouard Manet. Due to the technology and media
development, product placement, as a marketing method, has gained popularity
and can now appear in songs, movies, music videos, and other media. All the examples of product placements above included huge conglomerates,   which may make this form of marketing seem out of palace for your small business. The truth is, you don’t have to spend huge sums of money (or any money at all) to collaborate on product placements with local businesses.

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