Business Tips and Trends
In a world that is overrun by advertisements from billboards, to magazines, newspapers, and more, our brains are on information overload. There is relentlessness about the advertising world, which is forcing marketers to find new innovative ways to advertise their products. One such method is product placement.
Product placement is a practice that manufacturers of goods or services use to gain exposure such as having them appear in movies or television programs. Yet, not all product placements are a success. It also depends on the method of placement and how integral it is to a show or movie. Below is a case study for sponsors’ product placement in the show, American Idol.
Three Sponsors: Cingular Wireless (now AT&T), Ford Motor Company, and Coca-Cola
Types of Placement:
- Cingular runs 30 second ads during commercial breaks and also appears in the show as the only provider that accepts text votes from the public.
- Coca-Cola has it’s judges’ drink strategically placed Coke, chairs are shaped like Coke’s bottle and the walls are Coke red. The brand is present 60% of the time on the show.
- Ford does not make any actual appearances within the show and only airs during commercial times.
Result: Coke and Cingular make profits and Ford loses profits from its $26 million investment.
Coke and Cingular had the best product placement since it was integral to the show. Coke was the strongest of the three and also weakened the memory of other brands. Tactical product placement is something to consider depending on the type product or service you’re offering to consumers and is proving beneficial for a saturated market.
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