Popular culture has a huge impact on consumer behavior. Which is why product placement can be such a powerful marketing tool. Whether we’re watching an iconic movie star like Humphrey Bogart casually smoking a cigarette as he talks to Sam at the bar, or the extraterrestrial E.T. following Elliot’s delicious trail of Reese’s Pieces, consumers have always emulated and adopted what they see in entertainment. As Hollywood and Madison Avenue began to realize ways to monetize this phenomenon, the practice became institutionalized and deals were struck between brands and entertainment properties.

While the cost of a specific product placement can vary widely (e.g., commercial-free TV sponsorship by Apple iPod vs. a character randomly using an iPod during a scene), there are specific advantages of using this medium. Product placement is an effective channel that brands can leverage to reach a very broad audience quickly. The longevity of a message’s life is another key benefit. As a movie like E.T. is passed from one generation to the next, so is the Reece’s brand message. Finally, and perhaps most importantly, is the perceived endorsement of the specific product by the character and the actor or actress who plays them. This might be of particular value, since paid product endorsement is something A-list actors have traditionally tended to shy away from.

You don’t have to exhaust your thumb using the remote control to find more current examples of this trend. The current leader in this medium is Apple Inc. whose products, according to Nielsen Media Research, were mentioned over 250 times across multiple channels during a four-month stretch in 2006. Along with Apple, Fox’s “24” has Jack Bauer splitting his time between saving the free world and selling Ford Expeditions and Sprint Cell phones, while AMC recently launched the third season of its immensely popular “Mad Men” with high profile placements for London Fog and Stolichnaya vodka.

When done correctly, product placement in movies, television and music (lyrics & videos) allows brands to seamlessly bypass traditional media channels to connect with and build relationships with their target.

Posted by Liam Doherty | Share: Twitter, Facebook, Del.icio.us, LinkedIn