Effectiveness and importance of product placement in media

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Table of Contents INTRODUCTION............................................................................................. 3 1. WHAT IS PRODUCT PLACEMENT? .................................................... 4 1.1. Brief history ................................................................................................................ 5 2. EFFECTIVENESS AND IMPORTANCE OD PRODUCT PLACEMENT IN MEDIA ............................................................................. 6 2.1. Advantages and Disadvantages................................................................................. 10 3. PRODUCT PLACEMENT IN MEDIA .................................................. 12 3.1. Effectiveness and importance of product placement in Films .................................. 12 3.2. Effectiveness and importance of product placement in TV-shows .......................... 14 3.3. Effectiveness and importance of product placement in Live Shows ........................ 15 3.4. Effectiveness and importance of product placement in Music Videos ..................... 16 3.5. Effectiveness and importance of product placement on Internet .............................. 18 3.5.1. Blogs ...............................................................................................................................18 3.5.2. Podcast ............................................................................................................................19 3.5.3. Screencast ........................................................................................................................19 3.6. Effectiveness and importance of product placement in Video Games ..................... 20 4. BOSNIA AND HERZEGOVINA PRODUCT PLACEMENT .......... 22 4.1. State of Product placement in Bosnia and Herzegovina ........................................... 22 4.2. How to improve product placement in Bosnia and Herzegovina ............................. 23 CONCLUSION ............................................................................................... 24 BIBLIOGRAPHY ........................................................................................... 25

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product placement in media

Transcript of Effectiveness and importance of product placement in media

Page 1: Effectiveness and importance of product placement in media

Table of Contents

INTRODUCTION ............................................................................................. 3

1. WHAT IS PRODUCT PLACEMENT? .................................................... 4

1.1. Brief history ................................................................................................................ 5

2. EFFECTIVENESS AND IMPORTANCE OD PRODUCT

PLACEMENT IN MEDIA ............................................................................. 6

2.1. Advantages and Disadvantages................................................................................. 10

3. PRODUCT PLACEMENT IN MEDIA .................................................. 12

3.1. Effectiveness and importance of product placement in Films .................................. 12

3.2. Effectiveness and importance of product placement in TV-shows .......................... 14

3.3. Effectiveness and importance of product placement in Live Shows ........................ 15

3.4. Effectiveness and importance of product placement in Music Videos ..................... 16

3.5. Effectiveness and importance of product placement on Internet .............................. 18

3.5.1. Blogs ............................................................................................................................... 18

3.5.2. Podcast ............................................................................................................................ 19

3.5.3. Screencast ........................................................................................................................ 19

3.6. Effectiveness and importance of product placement in Video Games ..................... 20

4. BOSNIA AND HERZEGOVINA – PRODUCT PLACEMENT .......... 22

4.1. State of Product placement in Bosnia and Herzegovina ........................................... 22

4.2. How to improve product placement in Bosnia and Herzegovina ............................. 23

CONCLUSION ............................................................................................... 24

BIBLIOGRAPHY ........................................................................................... 25

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INTRODUCTION

As the consumer market has becoming more fragmented, marketers in recent decade turned to

a variety of communication channels in their efforts to reach customers. One of the emerging

channels that have been exploited frequently in recent years is product placement.

Product or brand placement is a form of advertising in which brand name products, packages,

signs and corporate names are intentionally positioned in motion pictures and television

programs. Product placement has been referred to as stealth advertising, yet not all placements

are subtle and unobtrusive; advertisers pay to have their brands noticed.

During the early decades of the film industry, Hollywood largely avoided the appearance of

known product names in movies. Thus, instances of product placement in motion pictures

were rare until the 1970's. But by then prop masters and set decorators achieved cost savings

and realism by obtaining name-brand props from manufacturers. What began as a matter of

convenience soon blossomed into a formal industry. Studios created product placement

departments and product placement specialists scanned scripts looking for placement

opportunities.

Product placement in Bosnia and Herzegovina is not used properly. It takes numerous studies

and analyses that could decide which product placement should be used and when and in what

situation it should be used.

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1. WHAT IS PRODUCT PLACEMENT?

„Product placement or embedded marketing, is a form of advertisement, were branded goods

or services are placed in a context usually devoid of ads, such as movies, music, videos, the

story line of television shows, or news programs. The product placement is not disclosed at

the time that the good or service is featured.” 1

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. Product placement occurs with the inclusion of a brand's logo in shot, or a favourable

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. Originally product placement was created for the purpose of

reducing production costs, and still today it is used for that purpose. In fact, the increasing

frequency in use of product placements is simply a reflection of the spiralling costs of film

making today.

The three types of product placements: gratis arrangements, barter arrangements, and paid

placements, are distinguished by financial compensation.

Gratis arrangements refer to product placements that strengthen character images or increase

the level of credibility or realism in a narrative. An example of a gratis arrangement can be

found in the use of Raid, an ant killer brand by SC Johnson Company, in the HBO series The

Sopranos.

In barter or trade agreements, the product itself serves as compensation for brand placement.

This kind of trade-off is found in the film The Terminal, in which United Airlines plays a

supporting role in the movie. This provided the airline with exposure and the filmmakers

saved on production costs.

1 http://en.wikipedia.org/wiki/Product_placement (last access 01.07.2012)

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In paid placements, product integration is arranged in advance by marketers and financial

compensation is provided. Prices can vary depending on the nature and the prominence of the

product’s placement in the movie more prominent placements, such as the inclusion of

Reese’s chocolate in E.T. and the use of Ray-Ban sunglasses in Top Gun, are examples of

paid placements.

„ Advertising is the art of arresting the human intelligence just long enough to get money for

it. „2

1.1. Brief history

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".

Since the days of E.T. and the 65% increase in sales Reese’s Pieces experienced following the

film’s popular run, corporations have been in love with the idea of product integration in the

entertainment industry. While product placement may trace its initial success to the film

industry even decades before E.T., television dramas, sitcoms, game shows and live shows

like American Idol have taken product placement to new heights.

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.

2 Chuck Blore, a partner in the advertising firm Chuck Blore & Don Ruchman, Inc., quoted by Ben H. Bagdikan-

(Beacon Press, 2000), p. 185 .

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2. EFFECTIVENESS AND IMPORTANCE OD PRODUCT

PLACEMENT IN MEDIA

„Even though measures of its effectiveness have been problematic, product placement is a fast

growing multi-billion dollar industry“. 3

Since product placements became a highly popular marketing tool in the late 1990s, much

research has focused on the effectiveness of product placements. That was very valuable for

TV shows because 1990s also saw the rise of digital recorders which would allow viewers to

skip the commercial, so brands had to go inside the content to get the proper exposure.

Then with the appearance of internet broadband speeds became a new source for watching

movies and TV shows ads free. Downloading and streaming content became our daily routine.

That is where product placement really shines. With product placement, products can get

world-wide exposure even if the show only air on networks in USA or Canada. The best

example for this is product placement for mobile phones. A certain mobile phone is available

3 Ong, B. S., & Men, D. (1994). “Should product placement in movies be banned?” Journal of Promotion

Management, 2, 159—175.

Picture 1. Product placement in history

Source: www.productplacement.org

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for purchase worldwide and main actor in US network only TV show is using it. But trough

internet, that show is available worldwide and that mobile phone gets wider exposure.

Purpose of product placement:

To achieve prominent audience exposure, visibility, attention, and interest;

To increase brand awareness;

To increase consumer memory and recall of the brand or product;

To create instant recognition of the product/brand in the media vehicle and at the point

of purchase;

To bring a change in the audiences' purchase behaviours and intents;

To create favourable practitioners views on brand placement.

Prior 1990s research results were mixed, especially regarding attitude changes and

behavioural influences. New research shows that 60% of viewers felt more positive about

brands they recognized in a placement and 45% said they would be more likely to make a

purchase.

2008 2009 2010

TV $2.32 $3.23 $4.03

Film $2.1 $3.2 $3.9

TOTAL

MARKET $3.39 billion $4.13 billion $7.24 billion

According to New York Times4, consumer memory is enhanced when the principal actor is

present and the product placement is positively evaluated. When the placement is visible and

well integrated in the movie scene, consumer evaluations of placements are generally more

positive.

4 New York Times, article “Product placement good or bad”, 2011

Figure 1: Product Placement Market (in US billions)

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Figure 3: The Influence of Technology: Digital TV and Virtual Product Placement

In the product placement advertising model (Figure 2), before a show is even completed, the

production studio can sell placement spots either through an ad agency/ product placement

agency or by reaching advertisers directly. In exchange, the studio may get a placement fee,

bartered goods (i.e. the producer gets a free car), or the right to use the product in the show,

saving some production costs. In this model, broadcasters do not receive any revenue from

product placement. Advertising revenue goes only to production studios.

The advertising model for Virtual Product Placement (Figure 3) gives control of advertising

revenue back to the broadcasters. Production studios shoot the shows and include placement

spots.

Figure 2: Product Placement Advertising Model

Source: Brennan, Ian, Khalid M. Dubas, and Laurie A. Babin (2007), “The Influence of Product-Placement

Type and Exposure Time on Product-Placement Recognition,” International Journal of Advertising, 18

(3), 323—337.

Source: Brennan, Ian, Khalid M. Dubas, and Laurie A. Babin (1999), “The Influence of Product-

Placement Type and Exposure Time on Product-Placement Recognition,” International

Journal of Advertising, 18 (3), 323—337.

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Broadcasters license the shows, sell the placement spots to advertisers, and then use post-

production techniques to populate the placement spots with content. Virtual product

placement is currently common on billboards at sporting events.

Product placement can be a double edge sword and have multiple meanings depending on

country and society. Let’s take for an example a teen comedy were a prominent condom

maker is featured. At one hand it is a good thing to make a young people think about

protection during sex, and at the other hand it makes young people think engaging in sexual

activates early. That all depends of society they grow up. If that society is conservative that

product placement is bad because they see it as incentive for engaging in sexual activities too

early, and that condom maker will be viewed as bad. But if society is liberal that product

placement is good because it makes young people think about protection during sex and it can

in fact reduce the number of teen pregnancies. Than that condom maker will be viewed in

good light and would probably be used as a protection, by teens and probably by adults as

well.

Situation in our country is unique. We have a lot of product placement especially on TV

shows but no serious research behind it. All big brands care only about showing their product

on TV and getting it at the lowest prices or free. What they don’t understand is that not all

product placements are good product placements and that every product and brand have their

time and place. For example very popular TV show „ Lud, zbunjen, normalan “ were we have

lot of brands appearing for no particular reason other than it was cheap to place them there.

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Picture 2. Example of Unsuccessful Product Placement – Casino Royale

2.1. Advantages and Disadvantages

Product placement is advantageous to advertisers in several ways. Viewers cannot bypass the

advertising if it is integrated into the media; they would have to skip the whole thing. If it is

done well, it may not be noticeable to the viewer, and may actually add to the experience.

With the decline of the

efficacy of the 30-second ad,

product placement gives

advertisers more

opportunities for promoting

their goods.

With the increase in use of

product placement, analysts

fear that consumers will

develop ad-blindness,

becoming so accustomed to

ads that they stop noticing

them. When an ad is repeated

too often, people adapt to their presence and filter them out of their vision. 5

5 D’Astous, Alain, and Francis Chartier (2009), “A Study of Factors Affecting Consumer Evaluations and

Memory of Product Placements in Movies”, Journal of Current Issues and Research in Advertising, 22 (2),

31—40.

Source: www.tportal.hr/automobili

Source: http://geektyrant.com/news/2012/2/1/alternative-et-posters-are-outrageously-

nostalgic.html

Picture 3. Poster for E.T.

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The movie E.T. and Reese’s pieces were an example of successful product placement. The use

of a recognizable candy added to the appeal of the story. However, poor use of product

placement can compromise the integrity of the story. The latest James Bond movie Casino

Royale has been lambasted in the movie for being too much like “one long commercial.”

Although Casino Royale featured less than half the number of product placements used in

other movies released at the same time, something about the ways the products were featured

led to ad-resentment; the audience to felt like they were being cheated and the whole movie

was an ad.

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Source: www.movies.com

3. PRODUCT PLACEMENT IN MEDIA

3.1. Effectiveness and importance of product placement in Films

Over the past 20 years Hollywood movies have done more than fulfil our entertainment needs.

While many blockbuster films made millions of dollars at the box office the companies that

advertised products were also very profitable. Product placement in movies has evolved into

somewhat of an advertising trend.6

One of the best and most lucrative product placements happens in movies. Why? Well that is

where the product placement has the full attention of

viewers. Product placement is an investment for brands

trying to reach a niche audience, and there are strong

reasons for investors to expect that film product

placement will increase consumer awareness of a

particular brand. A big-budget feature film that has

expectations of grossing millions may attract many

commercial interests, however, the film studio must also

analyse if a product fits with the image of the film. A

high-profile star may draw more attention to a product,

and therefore, in many cases, this becomes a separate

point of negotiation within his or her contract. 7

Higher involvement is required to view a movie than

for viewing television. 8 Television viewers can multi-task in the home setting thereby

reducing their attention span and brand retention. Moviegoers actively choose the experience,

movie, time, and cost. As such, they are much more receptive to the brand communication

during the movie. A majority of movie watchers have a positive attitude toward this form of

marketing communication, feeling it is preferable to commercials shown on the screen before

the movie. More frequent viewers and viewers, who enjoy the movie more, pay attention to

product placements in the movie.

6 http://www.helium.com/items/584939-what-is-product-placement_in_films (last access 01.07.2012)

7 DeLorme, Denise E., and Leonard N. Reid (2003), “Moviegoers’ Experiences and Interpretations of Brands in

Films Revisited,” Journal of Advertising, 28 (2), 71—95.

8 McKee KB & Pardun C J (2007). Practitioners’ evolving views on product placement effectiveness. Journal of

Advertising Research, 43 (2), 13 8-149.

Picture 4. James Bond 007

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We have four classified product placements in movies:

provides only clear visibility of the product or brand being shown without verbal

reference, for example, a bottle of Coca-Cola sitting on the counter;

used in a scene without verbal reference, for example, actor drinks a Coca-Cola but

does not mention anything about it;

has a spoken reference, for example, "Boy, I'm thirsty for a Coke"; and

provides brand in use and is mentioned by a main star, for example, actor says "This

Coke tastes so refreshing" while drinking the Coke.

The star using and speaking about the brand in the film is assumed to have higher impact than

the mere visual display of the

brand. That is meaningful stimuli

become more integrated into a

person's cognitive structure and are

processed deeply and generate

greater recall. An example of this is

the placement of all manner of

things in the more recent James

Bond films, from expensive cars

(usually Aston Martins) and

watches. Being seen to be the

choice of a secret agent and spy

makes these products as more

desirable and makes them take on

a personification of the character

they are seen being used by. In

another example, the prominence

of Ray Ban sunglasses in Men in

Black was the first major instance

of using actors’ faces as valuable

advertising real-estate.

Picture 6: Example of Product Placement – Ray Ban in Men In Black

Source: http://www.experiencefilm.com/tag/men-in-black-3/

Source: www.automobileles.com

Picture 5:Aston Martin 1965

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Source:

http://tvtropes.org/pmwiki/pmwiki.php/Series/GreysAnatomy?from

=Main.GreysAnatomy

Source:

http://tvtropes.org/pmwiki/pmwiki.php/Series/Numbers

3.2. Effectiveness and importance of product placement in TV-shows

Digital product placement in television is the placing of digitally placing contemporary

products into old television shows, altering the products from original production. Current

product placements can be added to older

programs when rerun or released on video.

Television shows are most desired for

product placement due to the ideal interior

locations and opportunities to place their

brand-name items. Examples of digital

product placement can be seen in CBS

studio's shows Numb3rs and Still Standing;

where one scene may be originally shot with

a blank table, but once the show is aired the

table appears to be fully dressed with

sponsored products from advertisers.9

The television show Grey's Anatomy does a superb job with product placement. Products

are not highlighted, but instead function as accessories worn by the show’s appealing

characters. In addition to clothing

and accessories, Grey's Anatomy

also features music from emerging

artists. Complementary websites

such as allow fans of the show to

purchase the jeans Meredith Grey,

the title character, was wearing, or to

download the track they just heard

in the show.

But some countries like UK are not

a fan of product placement in television programs. They have strict rules what can be a

product placement and what not. For example: cigarettes, alcohol, food and drinks that is

high in fat, salt or sugar, medicines and weapons.10

9 http://images.businessweek.com/ss/09/04/0423_tv_product_placements/1.htm (last access 01.07.2012)

10 http://consumers.ofcom.org.uk/2011/02/product-placement-on-tv/ (last access 03.07.2012)

Picture 7:CBS show Numb3rs

Picture 8: Grey's Anatomy

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3.3. Effectiveness and importance of product placement in Live Shows

Product-placement advertisements can be common in reality television shows. American Idol

is the live program with most product placement on TV. According to Ad Age, the

competitive reality series has had 208 in-show appearances of product like Coca-Cola, Ford

and AT&T throughout the month of March. That makes Idol the “largest venue for product

placement”.11

People who watch American Idol say the drink more Coca-Cola watching

American Idol that watching some other show.

Reality television shows accounted for the most product placements during prime-time hours

in the United States. However, most of the other stat categories were dominated by the drama

genre.

List of television shows with the most instances of product placement (11/07-11/08)12

:

American Idol-7,249

The Biggest Loser-6,626

America’s Toughest Jobs-3,807

The Real World/Road Rules Challenge-2,575.

11 http://popwatch.ew.com/ -product-placement-do-you-notice/(last access 01.07.2012) 12 McCarthy, M. "Studios place, show and win: Product placement grows up." Brandweek, 30-32, 28 March, 1994.

Picture 9: Coca-Cola on American Idol

Source: www.americanidol.com

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3.4. Effectiveness and importance of product placement in Music Videos

Product placements are not only for TV shows and Movies, even music videos this days have

brand labels clearly displayed. Whether you believe that advertising reflects or dictates

society, the proliferation of brand names in songs is undeniable.

How much of product placement is too much?13

I took for example a Jennifer Lopez new video “Papi”. I read all over the internet how much

product placement is in video. After I watched it I found four product placements. Many of

people responded positive on this video but many didn’t, but all of them agree they used them

in a good way. Why? Because people started talking about them, especially Fiat. Although

J.lo would never use fiat in real life her music video started people noticing them on the

streets.

13

http://morethanbranding.com/tag/product-placement/ (last access 03.07.2012)

Picture 10: Jennifer Lopez video „Papi“

Source: http://blog.muchmusic.com/j-los-looking-for-a-new-papi-check-her-out-on-set-of-her-new-vid/

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Source: www.twitter.com

Product placements help offset the costs of making videos, which are normally paid for by the

record label and the artist. According to a report released last summer by PQ Media, a

research firm, the money spent on product placement in recorded music grew 8 percept in

2009 compared with the year before, while overall paid product placement declined 2.8

percept, to $3.6 billion.14

Revenue from product placement in music videos totalled $25 million to $30 million last

year, more than double the amount in 2010.

14

http://socialitelife.com/6-music-videos-with-obvious-product (last access 03.07.2012)

Picture 11: Tweets about Jennifer Lopez „Papi“ video

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3.5. Effectiveness and importance of product placement on Internet

In the last 15 years the internet became formidable media source. People used it to read news

and to get information from around the world and lately Internet somewhat replace cable TV

and digital recorders for watching TV and movies (Netflix). Internet also gave an opportunity

for regular people to broadcast their own content. There are different forms of broadcasting on

internet. There is the widest used form in the form of words, blog post and then there are

audio forms (podcast) and video forms (screencast).

3.5.1. Blogs

The widest used forms of self-publishing are blogs. There are literally millions of blogs on

internet. As with other

media there are more popular

blogs than others and

creatures and writers of those

blogs use their blog posts for

well-placed product

placement.

Smart bloggers use their good

sense of writing and their

popular blog to write

sponsored article in the form

of regular blog post. Usually

one cannot see the difference

between that article/blog

posts and the other article

/blog posts even though that article is sponsored. Off course there are bad articles that are

obviously sponsored which are intended to be product placement.

The effect of product placement in blogs is seen in increasing numbers of paid and sponsored

blog posts. The effects are more obvious when blog owner/writer is using the product that he

is promoting and is happy with it.

Picture 12: Blogs

Source: http://www.eynjuls.com/harsha/index.php/blogs-and-businesses

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3.5.2. Podcast

Podcast are usually pre-recorded audio shows that people can listen to. There are usually 30 to

60 minutes shows that creators use instead

of blog posts. There are popular because

you can listen to them on the move,

during long rides on the train for example.

Product placement philosophy in podcast

is usually the same like in blog post. The

creator will use medium and make an

episode of sponsored podcast which will

be tailored to his listener’s expectation. As

with blog posts a good product placement

podcast cannot be easily spotted.

3.5.3. Screencast

As mentioned before with the rise of the Internet broadband speeds video became internet’s

most valuable media. That also means that regular people can broadcast video files as well

call screencast. That was made popular with YouTube, Vimeo and others video sites. Creators

used those sites as a host for their screencast and a

starting point to reach video audience.

Screencast can be used for wide variety of product

placement. There is regular product placement as

with podcast were creator creates a sponsored

screencast. Then there are more subtle ways of

product placement like wearing a brand on a shirt or

brand appearing on the background on the

screencast or creator using or consuming a

particular product. Screencast makes that approach

more subtle because creator doesn’t have to verbally

reference the product/brand he can show it or let it be seen.

Picture 13: Podcast

Picture 14: Screencast

Source: http://www.surfbits.com/?p=1360

Source: http://jeremysarber.com/reviewing-the-review-of-

my-podcast/

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3.6. Effectiveness and importance of product placement in Video Games

Traditionally, advertisers have not paid video game makers for product placement. At best,

the deals were cross-promotion opportunities, and in some cases the game makers actually

paid license fees to use likenesses of real products in order to make their games more realistic.

Today, advertisers are much more interested in the $24 billion video game industry. Spending

on in-game product placement was estimated at $300 million this year, with projections of $1

billion in spending by 2010. Nielsen ratings in 2003 showed a 7% decline in television

viewing among 18 to 34 year-old males.15

In addition to the growing numbers, the gaming population is extremely attractive to

advertisers for several reasons. Gamers have above-average household incomes. Game

consoles are becoming “digital hubs” in the living room, which will result in greater

advertising exposure for all members of the household. Finally, gamers seem to respond

positively to product placement. In one study, 70% of gamers surveyed considered product

placement a positive feature that increased the realism of the game. Studies have also shown

that short-term recall rate of brand names in video games is upwards of 40%, with sports

games taking the lead with a 54% brand recall rate. This makes video game product

placement one of the most effective ways to create consumer awareness.

15

http://en.wikipedia.org/wiki/Product_placement (last access 03.07.2012)

Picture 15: Video game

Source : http://www.noobtalk.com/

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Product placement in video games can range in degree of interactivity. Game streetscapes can

contain billboards with advertisements for products. Products can also be woven into the story

of a game.16

As Internet connectivity has become a standard feature in video game consoles, ads no longer

need to be loaded onto the game before it ships; ads can be loaded and updated at any time.

This allows game studios to sell ad space for selected periods of time, similar to how

traditional television ads are sold or how the future virtual product placement spots will be

sold. This also allows advertisers to commit to purchasing ad space only once the game has

been proven to be successful, minimizing the lock-in effect and preventing a potential hold-

up.

16

http://www.msnbc.msn.com/id/13960083/ns/technology_and_science-tech_and_gadgets/t/product-placement-rise-video-games/ (last access 04.07.2012)

Picture 16: Grand theft auto IV – video game

Source: http://www.videogames.net.au/grand-theft-auto-iv-australian-release/

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4. BOSNIA AND HERZEGOVINA – PRODUCT PLACEMENT

4.1. State of Product placement in Bosnia and Herzegovina

Product placement in Bosnia and Herzegovina should have a greater role than at present.

Market researchers should devote more attention to the product, to explore how the product

works and how it could be implemented in the media.

We all know about a

clam, "There is no such

thing as bad publicity"17

but as far as product

placement there is.

Today is not only

important to be seen, it is

essential to determine in

what way product/brand

looks in the eyes of

consumers. It is important

to develop a positive

impression in the conscience of consumers that they connect with product/ brand.

When using product placement in the media the product needs to be in the background of the

story and not the centre of it. This is particularly felt in Bosnia and Herzegovina.

17 Key, Wilson Bryan. (1972), “Subliminal Seduction: Ad Media’s Manipulation of Not So Innocent

America. Englewood Cliffs”, NJ: Prentice-Hall.

Source http://www.eventum.ba

Picture 17: ZMBT

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23

One of the most popular live shows in Bosnia and Herzegovina is "ZMBT" (“Zvjezda možeš

biti ti "), which is similar to shows

like American Idol, X-Factor, and

many more. In this show there is

some misuse of product placement.

Backstage phase is mostly use for

product placement. Hosts and

participants present products that are

meant for product placement. There

are all paid, but there are done in not

so subtle way. There are sponsored

corners that are meant to be a

product placement. They are used well because a brand and a product are visible and it’s not

out of contest.

4.2. How to improve product placement in Bosnia and Herzegovina

In order for product placement in Bosnia Herzegovina has achieved the level that I think can

be achieved by various studies are needed. The information will be obtained from these

studies must be properly utilized in such a way that will achieve what would that product

placement should achieve.

To improve product placement in Bosnia and Herzegovina we need a consultants around the

country that have vast amounts of media experience both nationally and in their local markets.

We need to form agency planners who can provide firms, who want to use product placement,

advice to maximise their returns. They would advise brands on how to fit with the programme

and its audience, on trends and on broadcast sponsorship.

Picture 18 : Backstage ZMBT

Source: http://www.eventum.ba

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24

CONCLUSION

As mentioned in the beginning product or brand placement is a form of advertising in which

brand name products, packages, signs and corporate names are intentionally positioned in

motion pictures and television programs.

Placement can be in the form of verbal mentions in dialogue, actual use by a character, visual

displays such as a corporate logo on a vehicle or billboard, brands used as set decoration, or

even snatches of actual radio or television commercials.

The most crucial factor for product placement effectiveness depends on the execution styles,

explicit and integrated, managed to be more effective and influential on people’s responses.

To improve product placement in Bosnia and Herzegovina we need a people who will make

quality research. The information that we get from the research is very important to improve

product placement. It can be done. Yes we have a long way there, but it is doable.

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