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Product placement, also known as embedded marketing,[1][2][3][4] is a marketing technique where references to specific brands or products are incorporated into another work, such as a film or television program, with specific promotional intent. Much of this is done by loaning products, especially when expensive items, such as vehicles, are involved.[5] In 2021, the agreements between brand owners and films and television programs were worth more than US$20 billion.[5]
While references to brands (real or fictional) may be voluntarily incorporated into works to maintain a feeling of realism or be a subject of commentary,[6] product placement is the deliberate incorporation of references to a brand or product in exchange for compensation. Product placements may range from unobtrusive appearances within an environment, to prominent integration and acknowledgement of the product within the work. Common categories of products used for placements include automobiles and consumer electronics.[7] Works produced by vertically integrated companies (such as Sony) may use placements to promote their other divisions as a form of corporate synergy.
During the 21st century, the use of product placement on television has grown, particularly to combat the wider use of digital video recorders that can skip traditional commercial breaks, as well as to engage with younger demographics.[8] Digital editing technology is also being used to tailor product placement to specific demographics or markets, and in some cases, add placements to works that did not originally have embedded advertising, or update existing placements.[7]
- ^ Gail Schiller (June 1, 2005). "Win, Draw for Burnett Branding—Split Decision". The Hollywood Reporter. Archived from the original on January 14, 2009. Retrieved August 10, 2020.
But marketers warned that Apprentice had used nearly every episode this past season as a call to action for its advertising partners and viewers could become wary of the embedded marketing messages that are becoming a bit too blatant.
- ^ Swift, Deanna (July 17, 2001). "Leaked Memo Reveals WTO Plan to 'Sell' Itself to American Youth—Ever Since the Disastrous 'Battle of Seattle' in 1999, the World Trade Organization Has Been Trying To Remake Its Image. 'Positive Anarchy' Might Be Just the Solution". AlterNet. Archived from the original on April 16, 2011. Retrieved September 2, 2010.
Adopt embedded marketing strategy. Teen marketing research shows that teens may respond positively to marketing symbols used in association with formerly unpopular brands.
- ^ "When Ads Get Personal". CEO. September 1, 2001. Archived from the original on June 26, 2015. Retrieved May 28, 2014.
The executive creative director at marketing firm RTCdirect, in Washington, D.C., Shapiro sees embedded marketing as the logical next stage in the development of loyal brands.
- ^ Lomax, Alyce (March 23, 2006). "Advertising, Disrupted". The Motley Fool. Archived from the original on April 15, 2011. Retrieved September 2, 2010.
Product placements and programming with embedded marketing messages are also becoming more prevalent.
- ^ a b Haigney, Sophie (2022-06-23). "Anatomy of a Product Placement". The New York Times. ISSN 0362-4331. Retrieved 2022-06-24.
The majority of product placement in film and television, Jones said, happens on a quid-pro-quo basis rather than in exchange for payment.
- ^ Owen, Rob (January 13, 2012). "TV Q&A: ABC News, 'Storage Wars' and 'The Big Bang Theory.'". Pittsburgh Post-Gazette. Archived from the original on September 18, 2012. Retrieved August 6, 2012.
- ^ a b Rose, Steve (June 24, 2014). "As seen on TV: why product placement is bigger than ever". The Guardian. ISSN 0261-3077. Archived from the original on July 10, 2017. Retrieved July 28, 2017.
- ^ "Synergy Or Interference? How Product Placement in TV Shows Affects The Commercial-Break Audience". Forbes.com. Archived from the original on July 29, 2017. Retrieved September 29, 2015.