Do advertisers have an appetite for product placement on television?

Do advertisers have an appetite for product placement on television?

Marketers have demanded greater clarity after the government announced plans to relax the rules governing how brands are featured within commercial television programmes

Yes

Ian Armstrong, Manager, customer communications, Honda

As a young brand manager at Britvic, I was given responsibility for product placement for a portfolio of brands. 

We shoe-horned as many soft-drinks brands as we could into everyday civic scenes within television programmes. Given that the industry was in its infancy, as clients we got a good deal, and that happy accord continued.

The proposed relaxation in the rules seems to have created an appetite to jazz things up, but I'm confused as to the reason why.

Product placement is nothing new - you only have to look at any soap or drama produced over the past few decades to see all product categories being used to create realistic scenes.

However, it has also historically helped reduce the cost of production. Many programmes would not have the budget to buy a Honda CR-V for just a few seconds' filming, for instance.

Changing the rules will not create incremental budget for product placement. It will have to come from existing advertising money­ so there will be no additional revenue.

Yes

Marc Sands, Marketing director, The Guardian

I am sure they do, but that does not mean that it is either desirable or the right thing to do.  I would argue very strongly it is neither.

The risks relating to the integrity of the content far outweigh the financial benefits that could be accrued to the broad­caster. Also, exactly what is the benefit to the viewer? Has anyone watched TV in America recently?

There are many marketing lines in the sand that should not be crossed and this is one of them. The contract bet­ween audience and broad­caster is very clear within the current guidelines and it is largely understood by the viewer.

By blurring it in this way, the trust between viewer and broadcaster will be stretched to breaking point. Over time, the rules (and I am sure there will be lots of them) will be challenged and rewritten in favour of advertisers.

Media organisations are having a difficult time at present when it comes to revenue, and are seeking new ways to monetise their content. It would be better for them if they didn't look into the abyss for solutions. The soul of TV is worth a lot more than this.

Yes

Simon Ward, Business development director, Interbrand

Product placement can make a contrib­ution to a brand, but context is all.

For the 2008 brandcameo Product Placement Awards, brandchannel.com spotted 1251 brands in 52 films, so clearly there is an appetite among global brands. However, brandchannel recognised the failures as well as the successes.

The classic example is Aston Martin, which sits comfortably in any Bond movie. However, when every car in a film is a Ford, the savvy public catches on, decoding the commercial intrusion.  Indeed, clumsy placement in dialogue - ‘Is it a Rolex?' ‘No, it's an Omega' - will also jar with viewers. In TV, context will be at least as imp­ort­ant.

Product placement can be more effective than traditional advertising because product is harder to ignore when it is embedded within a scene. However, if the placement is forced, it feels unnatural and fails.

Product placement can be a powerful brand tool, then; but, as with all brand management, its success depends on judgement and finesse in its use.

Yes

Maryanne Murray Client director, Elmwood

We live in an increasingly branded world, so it is unrealistic to expect the world of TV to remain brand-free. 

Product placement can be a powerful marketing tool but, like all forms of end­orse­ment and association, the challenge will be to make choices that protect the reputation of the brand long-term.

 An obvious attraction is the extend­ed shelf-life of the exposure brands gain from it; it will be interesting to see how brands will manage this.

Reruns of TV shows reach far beyond the media audience of a 30-second ad. This is a huge benefit, but it can also create problems. A strategic association can be perfect for a particular moment, but can become inappropriate as the brand, or the show to which it is linked, evolves. Both these factors can be especially tricky for luxury brands and for those targeted at children.

 Product placement is attractive, and it offer a great opportunity for many brands. However, they must consider the risks that could emerge.