The Birth of Product Placement; Avoiding the Million Dollar Minute

It's actually kind of funny. A few articles ago, I wrote about companies that pay lot's of money to introduce their products into a movie or a television soap.
Now I've read an article that companies actually pay less for this type of advertising than they do for commercials.
As advertising on television became more and more expensive, companies looked for a cost efficient strategy and that was the beginning of product placement.
A few years ago, brands were always covered or we we saw cans of soda labeled just with the name "Cola".
Nowadays, we aren't surprised anymore when we see clearly what car James Bond is driving or what sunglasses Tom Cruise is wearing.
It's less obvious than commercials but very efficient.
In my opinion, I would rather buy things I've seen in a soap than product of commercials. It's very strange but it's true. Commercials can be too direct. And in soaps, you don't even notice they trey to promote their products. And you're influenced without even knowing!

Product Placement; Avoiding the Million Dollar Minute essays

(Marie Lambrecht)

know your film product placement

Companies make use of product placement to promote their products to the public. But has product placement always be an advantage for the company?

This day advertisers need to be prepared that their promotion can always be linked to negative association, instead of grabbing the attention of people. “Up in the air” is a really good example of this negative promotion. When George Clooney, playing a corporate troubleshooter, walks with his luggage past, Hilton, Hertz and American Airlines, it all looks like traditional, normal product placement. But the person only stays in the Hilton, so it begins to feel like an attack on the brand instead of promoting it.

The director of Up in the air, thought that the movie wouldn’t work without any brands with a worldwide reputation. So Jason Reitman, just used the brands without any permission of Hilton and American Airlines, to give his movie more power.

So companies need to pay attention that their products or brand is not immediately associated with a negative aspect or a negative moment in a movie.

Stefanie Loggeh

Fictional brands

Where product placement isn’t possible, filmmakers are forced to create fake companies or brand names. Some of those products became a real product, others are just famous in different movies.

Since no real airline don't want to be associated with skyjackings or plane crashes, producers created Oceanic Airlines. It's a fictional airline that's often used in action movies and television shows and is now well-known from the TV show Lost.

As a matter of fact, some of the fictional movie products became such a phenomenon that it's now being sold in stores. Like in the TV show True blood where vampires drink bottled “True Blood” or in The Simpsons where the whole town drinks Duff Beer.

So if you are watching a movie, don't immediately think that all the products you see is some kind of product placement.

Shari Jonghmans

toptenz

 

Product placement on Flemish broadcasting companies

When I watched tv (especially vtm), I noticed something in the bottom right corner, namely the symbol “PP”.  Now, it took my attention, caused by our topic Product Placement. Is there really an association between the symbol on television and our subject? The best way to find out: GOOGLE, the magic search engine. And yes indeed, I found an answer. Isn’t it amazing?

Since 1 September 2009, all the Flemish broadcasting companies use the symbol until two seconds in the beginning and at the end of a program that consist product placement. The adjustments were a response to the European regulation from 2009.

http://www.vlaamseregulatormedia.be/nl/faq/productplaatsing.aspx#

Sophie Leyn

Why Apple deserves an oscar too

Based on other blogs, it seems that Apple really is a popular brand when it comes to product placement.

Going back to 2001, Ford and Pepsi were the most used brand. But like I already said in a comment, Apple has beaten Ford and Pepsi and can now be seen in at least 50% of top movies, which makes it the number one brand of product placement.

Even when the products aren't featured in movies, they still get involved in the design, for example Wall-E where the robot “Eve” is as shiny and white as any iPod or Macbook. Was it because Steven Jobs used to own Pixar or just because it was actually designed by a guy who also designed the iPod...? Who will tell?

Nobody likes to admit but I think Apple literally controls Hollywood! Is it because of his beautiful, expensive and not at all “representative of reality” look?

It's great for Apple that they don't always need to pay for this kind of advertisement but then they also get the effect where they camouflaging the logo with fruit or a pencil jar... Though we recognize easily when it's from Apple.

Shari Jonghmans

the awl

nytimes

Product Placement in National Television !

Yesterday evening, while I was watching "So you think you can dance", I've noticed that even Belgian television is overwhelmed by product placement.

Every time you saw the candidates texting with their phone, you saw a screen of T-Mobile. 

Not very subtle but still, a kind of product placement. 

I already knew that Mentos is a huge sponsor for that program, but I didn't know there were several...

-- the end of a Belgian update --

(The colors of the backgrounds are always in pink and orange, the colors of Mentos Aqua Kiss Double Layers)

(Marie Lambrecht)

Smoking in movies

In my first blog I described that food product placement can have a huge negative influence on children.  Now, I will explain another negative impact that product placement can have on adolescents.

Children and their parents watch an average of 3 movies in a week and in most of the films they see an actor smoking a cigarette. It’s probably really difficult for teenagers, when they see their favorite stars with several cigarettes on screen, not to copy their behavior. The more teens see the actors smoking, the more likely they will try it also one time. Especially when the children reached the age of 16, they are frequently faster influenced to smoke. The Tobacco companies know that the media can be so influential at teenagers.  That’s why these companies have paid hundreds of thousands of dollars to promote their brand of cigarettes on the screen.

Stefanie Logghe

http://www.lung.ca/protect-protegez/tobacco-tabagisme/facts-faits/teens-ados_e.php

Where product placement works best?

When you are looking to a movie or TV program, you can see every minute products that are referring to product placement. Your popular actor is wearing a fancy watch and immediately you want also that particular watch. But what kind of product placement has the most influence on the consumers?

The Worthington consumer research company discovered that 14.8 percent of consumers had bought grocery purchases thanks to product placement. Electronics and clothes were the two other categories that attract people their attention.

Why are these products most popular?

The companies, who use product placement as a publicity stunt, are generally grocery and electronics sellers. The main reason is that they sell vanity-products, such as small electronics, beauty products and apparel, which need to have the best product placement performance, because these products are consumed for social confirmation.

Without any hesitation, I am convinced that underage’s purchase more may view product placement, such as beauty-products, clothes, etc., as a way to show to their peer group which products you really need to buy to stay a member of the group.

Stefanie Logghe

http://www.medialifemagazine.com/artman2/publish/Research_25/Where_product_placement_works_best1.asp

A personal opinion

This is already my fourth post on the blog site. I think it’s time for a personal opinion. When you watch a movie, does it really work, or is it just a theory? And, what is, for me, the biggest example of product placement?

Product placement was very obvious in the new movie of Jan Verheye, “Zot Van A”. One of them was Inno, there was a lot of advertisement for this store chain. And indeed, it works. The marketers gave me an idea to think about, and that’s exactly what product placement does.

The biggest PP example, for me, is still “Sex And The City”, with at least eight company deals. Furthermore, it’s a bilateral advantage, the producer gets the money, the companies have a great promotional campaign.  A perfect example: http://www.youtube.com/watch?v=fJCAYS_i5Ls&feature=related.

By surfing the internet, I also found an other movie with (too much ?) product placement, namely Casino Royale. Look at these pictures. It’s obvious too exaggerated.
http://thepcspy.com/read/product_placement_gone_wild/.

To finish this blog, I show you a composed you tube film showing the most prominent product placements:

Sex and the City: Louis Vuitton, Bag Borrow or Steal, Chanel, Starbucks, Sprint, LG.

Superman: Marlborough, Coca Cola

Casino Royale: Sony Vaio, Bravia, Ericsson, Ford, Omega.

Spiderman: Dr Pepper, Carlesberg, X Cingular, TDK, Prudential, Samsung, Suntory Whisky.

I am Legend: Ford Mustang, Ford Taxi.

Transformers: iPod, HP, Porsche, Ebay, Panasonic, Burger King, Chevrolet, Apple.

Bad Boys 2: Miller, Ferrari
Iron Man: Burger King.

(Source: http://www.youtube.com/watch?v=VDsqySu0vMA)

http://www.reuters.com/article/idUSN1530121420080515?pageNumber=1

http://daveibsen.typepad.com/5_blogs_before_lunch/2008/03/sex-and-the-cit.html

Sophie Leyn

Are actors becoming salesmen?

Product placement may seem as an innocent trick. But is it really that honest?
We all know that product placement is booming business.
Most reality shows are writing products into the story lines as a way to attract big money but the integration of commercial products into a script actually forces the actors to do are say things they aren't payed for.
Actors want to play a role in a movie or in a television soap, but do they really want to promote that new Chanel lipgloss?
Patrick M. Verrone, president of the Writers Guild of America, explains the evolution of publicity on television.
At first, product placement was used in reality TV, because it's easy for writers to get this kind of material in there and they don't have union protections.
Nowadays, you also find it on prime-time series.
According to some people, product placement is dishonest advertising.
The problem is that there aren't any specific rules, so who's to blame ?

Marie Lambrecht

Hollywood Unions Object to Product Placement on TV - New York Times 

Vista Group

I found a company, Vista Group, who has a leading position in the product placement area since 1972. They are aware of the huge amount of thesis’ about pp. To help these students, the company created a “thesis” page with links that can be an answer on the most frequently asked questions. (I also mention that not all the links work.)

This page may help us.

http://vistagroupusa.com/thesishtm.htm

 Sophie Leyn

Product Placement in TV shows and Movies

In my first blog I described the reminder effect of product placement. Now I'm going to explain what the difference is between product placement in movies and television.

First of all, the basic object of letting product placement in movies is to cover up the high production cost before the movie is released. Although Sex and the City drops Apple, there are plenty of other movies where Apple is being promoted. For example when Jamie Foxx uses his Macbook Pro in the movie “Law Abiding Citizen”, the trademark skyrocket in the market share. Of course big stars are available for independent advertisement but this doesn't mean that the small screen stars aren't good enough. No, they have become second best option as brand endorsers.

This isn't the only reason why brands use TV shows for product placement, it's relatively cheaper and they have a larger target group than movies.

Without a doubt, Apple also has product placement in TV shows, for example Hugh Laurie using his Macbook Pro in “House”.

Shari Jonghmans

Product Placement in TV Serials and Movie

The reminder effect of product placement

Has product placement a different effect when it's been promoted on different levels?

Well, there are 3 levels on how product placement can be use: the background (not important to the story), used by character and the story connection ( the product actually related to the plot of the movie). Moonhee Yang and David Roskos-Ewoldsen took a survey where they show students a movie clip witch contains product placement. After watching the clip, they needed to fill in a 'word game study' where they had to complete words with the brand-names they saw in the movie. Based on the results, we see that products used by the character or connected to the story was more recognized.

Finally, when you have to choose a product after watching the movie it doesn't matter how the product was presented. Once you've seen the product for 5 or 15 seconds, it will always effect you. Sometimes you will notice it, sometimes not but that's just the meaning of product placement. 

Shari Jonghmans


The reminder effect of product placement

Food product placement

The Hood Center for Children and Families did a new study on the possible negative effect that brand placements for food and beverage could be having on children. The food and beverage product placements is most common in comedies, PG-rated (= the movie suggest guidance from parents for children under the age of seventeen) and PG-13-rated movies, which are most viewed by teenagers and in this way can influence a young consumers food choices. Thanks to the brand placement, the diet quality in the U.S. had decreased during the past 20 years. In this period children aged 6 to 11 years with obesity had doubled and tripled for adolescents. According to the study, PepsiCo, Coca-Cola, Nestle USA and three other companies, are responsible for almost 50 percent of all brand placements in movies.

In my opinion, the food product placement had an impact on the children, but the parents still need to carry out the order to make a good balance between healthy food and fast-food.

http://www.redorbit.com/news/health/1821099/study_examines_impact_of_movie_food_product_placement_on_children/

 Stefanie Logghe

How product placement works

In this blog, I describe how product placement works. To do this, I use Dr. Max Sutherland’s (an author and registered psychologist) paper that is published in 1981 about the subtle power of agenda setting. Agenda setting is an explanation for the working of product placement. It’s a theory that the mass-news media has a large influence. Nevertheless, the media don’t tell us what to think, only what to think about.

A key part of brand development is making a brand more recognizable and that’s what product placement does. So, the job of marketeers consists of getting a higher rank on “the mental agenda”. We can conclude with the words that product placement is a powerful and progressively popular "new" marketing tool.

Product placement works effectively. Two examples; when Clark Gable doesn’t wear an undershirt in “It Happened One Night,” (1934) sales of undershirts decreased with 40%. Secondly, Ray-Ban knew an increase for its Predator 2 sunglasses after the movie Man in Black was launched.

http://www.sutherlandsurvey.com/Columns_Papers/Why%20Product%20Placement%20Works_Feb05.pdf

Sophie Leyn

Definition of pp

In my first blog, I would like to start with a short summary of wikipedia, it’s not the most scientific source but it can help to understand the main subject.

Product placement (=PP) or embedded marketing is a way of advertising, since the nineties, in movies or television shows, with no direct ads. Furthermore, PP is also more popular by some certain products, such as automobiles, consumer electronics and computers, and tobacco products. (For example, the cars in Sex And The City).

By surfing the internet, I found a lot of surveys, like the one by Steven L Snyder: “Movies and Product Placement: is Hollywood turning films into commercial speech?” or “Product placement in Hollywood films: a history”, by Kerry Segrave. To conclude, there are a lot of surveys and books, that can help us for the paper.

To finish this blog, I will tell something more about a linked word, namely ‘product displacement’. Some companies refused to use their products in a certain movie with non-flattering settings. For example the Slumdog Millionaire film; Mercedes-Benz refused.


http://en.wikipedia.org/wiki/Product_placement

Sophie Leyn

Where has the loyalty gone ?

Right now I'm feeling a bit like Carrie Bradshaw in Sex and the City.

Except that I'm writing a blog for a group assignment and that she's writing columns for whole New York to read. 

I thought that we had one more thing in common... the Mac computer. 

But now I'm reading through some articles,  I've found out that she has replaced her Mac to a Windows-based HP PC. 

What went wrong behind the scenes? 

It seems that Sarah Jessica Parker is playing in a new HP commercial. 

And I don't think I have to explain how odd it would be to watch Sex and the City, where she's typing her thoughts on her Mac and in the break seeing the same Sarah Jessica Parker starring in a commercial for HP.

That would be kind of mixed up. 

I wonder how people will react when they'll notice the switch!

 Sex and the City drops Apple product placement | TG Daily

Marie Lambrecht