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Product Placement and the
SPACDilemma
By: Samantha Triplett
What is Product Placement?
• Product placement is the subtle placing of
products that exposes them to the view
without the view seeing it as an ad
• It can be found in movies, television, and even
real life
Origins
• Product Placement was originally intended to
make scenes more realistic
– The first modern form of Product Placement is said to
have been Reese’s Pieces in E.T.
• It’s estimated that 90% of movie and almost all
television product placements are free
• Studios profit from free props
• Companies receive free or cheaper advertising
Successful, Recognizable Placements
Subliminal Exposure
• Obvious commercials are no longer as effective
• Companies becoming creative in how they reach
the public
• Some product placements get as much air time as
a minor character
– Like Vitamin Water in an episode of Gossip Girl
Studies of Product Placement
• Product Placement improves the profits of the
product
– After the 1997 release of Men In Black, Ray-Ban
Predator 2 Sunglasses tripled their profits
– After placing Gatorade into EA sports video games
showed an increase of 24% of household money
being spent on Gatorade
– After Reese’s Pieces appeared on E.T. its sales
increased by 65%
How to Spot Product Placement
• Is it obvious?
• Do you recognize it?
• Is it visible?
Percy Jackson:
IPhone
When in Rome:
IPod
Jesse Stone:
Rolex
Product Placement in Movie Trailers
• This Youtube video for Transformers shows
(and points out) several instances of product
placement that appear in the movies.
The Future of Commercials
Additional Sites for
More Information
• http://images.busi
nessweek.com/ss/
09/04/0423_tv_pr
oduct_placements
/index.htm
• http://www.produ
ctplacement.biz
• http://www.comm
ercialalert.org
• http://www.brand
channel.com
Sources
• http://www.businessweek.com/1998/25/b3583062.htm
• http://www.msnbc.msn.com/id/13960083/
• http://www.marketingpower.com/Community/ARC/Pages/Teachin
g/Materials/ProductPlacement.aspx
• http://www.productplacement.biz/201009152825/product-
placement-research/in-game-advertising-in-ea-games-lifts-brand-
sales.html
• http://www.media-
awareness.ca/english/resources/educational/teachable_moments
/word_from_our_sponsor.cfm
• http://money.cnn.com/2003/09/24/pf/all_ads_everywhere/
• http://www.commercialalert.org/issues/culture/product-
placement
• http://www.brandchannel.com/brandcameo_films.asp
• http://www.commercialalert.org/issues/culture/product-
placement/advertising-in-movies-expected-to-double-says-study-
exposing-consumer-response

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Product placement and the Tivo dilemma

  • 1. Product Placement and the SPACDilemma By: Samantha Triplett
  • 2. What is Product Placement? • Product placement is the subtle placing of products that exposes them to the view without the view seeing it as an ad • It can be found in movies, television, and even real life
  • 3. Origins • Product Placement was originally intended to make scenes more realistic – The first modern form of Product Placement is said to have been Reese’s Pieces in E.T. • It’s estimated that 90% of movie and almost all television product placements are free • Studios profit from free props • Companies receive free or cheaper advertising
  • 5. Subliminal Exposure • Obvious commercials are no longer as effective • Companies becoming creative in how they reach the public • Some product placements get as much air time as a minor character – Like Vitamin Water in an episode of Gossip Girl
  • 6. Studies of Product Placement • Product Placement improves the profits of the product – After the 1997 release of Men In Black, Ray-Ban Predator 2 Sunglasses tripled their profits – After placing Gatorade into EA sports video games showed an increase of 24% of household money being spent on Gatorade – After Reese’s Pieces appeared on E.T. its sales increased by 65%
  • 7. How to Spot Product Placement • Is it obvious? • Do you recognize it? • Is it visible? Percy Jackson: IPhone When in Rome: IPod Jesse Stone: Rolex
  • 8. Product Placement in Movie Trailers • This Youtube video for Transformers shows (and points out) several instances of product placement that appear in the movies.
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  • 11. The Future of Commercials
  • 12. Additional Sites for More Information • http://images.busi nessweek.com/ss/ 09/04/0423_tv_pr oduct_placements /index.htm • http://www.produ ctplacement.biz • http://www.comm ercialalert.org • http://www.brand channel.com
  • 13. Sources • http://www.businessweek.com/1998/25/b3583062.htm • http://www.msnbc.msn.com/id/13960083/ • http://www.marketingpower.com/Community/ARC/Pages/Teachin g/Materials/ProductPlacement.aspx • http://www.productplacement.biz/201009152825/product- placement-research/in-game-advertising-in-ea-games-lifts-brand- sales.html • http://www.media- awareness.ca/english/resources/educational/teachable_moments /word_from_our_sponsor.cfm • http://money.cnn.com/2003/09/24/pf/all_ads_everywhere/ • http://www.commercialalert.org/issues/culture/product- placement • http://www.brandchannel.com/brandcameo_films.asp • http://www.commercialalert.org/issues/culture/product- placement/advertising-in-movies-expected-to-double-says-study- exposing-consumer-response