Can brands really benefit from participating in Hollywood properties such as feature films and television shows? Since the 1930's, product placement has been an integral part of Hollywood productions. From automobiles to apparel to alcohol, Hollywood productions have been featuring brands for over 75 years.
The landscape really began to change when Reeses Pieces received significant media value from being featured in Steve Spielberg's E.T, one of the most talked about product placements of all time. Brands began to realize that strategic placements could prove to be very beneficial. Hollywood production companies saw the opportunity as well, and product placement became the buzzword on Madison Avenue in the late 80's and early 90's.
Back-end promotions were next, as Corporate America and Hollywood decided to engage the consumer by leveraging these product placements. Gift with purchase programs, sweepstakes, in-store POP and on pack promotions are a few of the avenues brands began to pursue in conjunction with movie releases. Why not capitalize on the tremendous value of a high profile movie release by leveraging the property and creating incremental sales at the retail level in addition to the "branding" the movie was already providing with product placement? The James Bond movies were a great example of how Hollywood and Corporate America extended these product placements.
When Reality TV hit the scene, so did the new buzzword: brand integration. Was this really any different than product placement? Absolutely. Brand integration is all about specific content created for a brand that is organically integrated into a story line. Instead of 10+ seconds of on camera time, your brand now becomes an integral part of the feature film or movie.
What's next? Brand integration and cross promotions are becoming more commonplace for both film and television productions. Brands and studios are realizing that these "win, win" programs make economic and promotional sense. Not to worry, product placement is also here to stay. The ROI for traditional product placement is still significant enough for brands to continue seeking starring roles in Hollywood productions!
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