The product can be presented in various ways as a medium. In the advertising prices of Polish private television channels, it can be read that the rates vary depending on whether the product is just standing on the table during a talk show or whether it is used in a sketch or used by the presenter. These are just two examples. Other types of product placement include the product as the background of events or a conversation about the product. It might seem that an advertisement that does not show the product on the screen will not be as effective. However, it is enough to recall the famous dialogue about the specific types of hamburgers from the film Pulp Fiction to change one’s opinion. The debate on whether it was a product placement still continues today.

What are the types of product placement?

Q: What to consider when choosing the type of product placement?

In the aforementioned article, Pamela Miles Homer assesses the impact that different types of product placement have on viewers' opinions. It turns out that the best brand recognition is achieved when the repetition frequency is low or the product placement is subtle. The brand loses the most in the eyes of viewers when they encounter aggressive and frequent repetition of the message. Such ads with low intensity were also evaluated as the most credible and relevant to the plot. On the other hand, if the product is new and viewers do not yet know about it, a more frequent presence of the product on the screen may make sense. As for the medium choice, it is much easier to reach younger users.

In short

What is product placement?: Different types of product placement allow you to reach customers when they don’t expect it at all.
Types of product placement: The classification based on the types of product placement can be started with the frequency of the broadcast.
What should be taken into account when choosing the type of product placement?: In the already cited article, Pamela Miles Homer assesses the impact that different types of product placement have on viewers' opinions.
Product placement in practice: law, costs and native advertising: Types of placement are just the beginning. Before you sign the contract, check three things: whether the format complies with the regulations, what the price consists of and what product placement is…

Even in the 1980s, this concept did not actually exist. In 2012, advertisers around the world spent 8.25 billion on various types of product placement. dollars. Today, this sum may be several times higher, because the number of media in which products can be advertised in this way is growing rapidly.

Product placement, and otherwise product placementis a tactic that consists in placing a product or company logo in a natural way in the context of the selected medium. It is associated with movies, but it also applies to computer games, series, and now also social media and YouTube videos. The phenomenon first became known thanks to the film ET, in which a candy bar from a well-known company often appeared. It turned out to be subtle food marketing it worked. After the success of the film, sales of the candy bar increased by 66 percent. Marketers then began to explore different types of product placement. They understood that they had an opportunity ahead of them that they could not miss.

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We can say that product placement is a mechanism tailored to the present day. Traditional TV commercials are having a bad time. Hardly anyone reads the press. Young people do not listen to the radio either. Consumers are wary of traditional advertising messages. They know advertising often isn't telling them the truth. They are critical and suspicious when viewing an ad. When dealing with the celebrity's social profile or relaxing with the series, they don't think in these categories.

What is product placement?

Different types of product placement allow you to reach customers when they don't expect it. Increasingly, paid VOD platforms or online journals allow you to bypass advertising. However, there is no blocking of content that appears on the screen during a cooking show or action movie. To some extent, the force of association with a celebrity or an actor who uses a selected object in such a production works here. In addition, the viewer can immediately see how to use the item, which stimulates his imagination.

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When one of the producers released a waterproof smartphone on the market, the well-known series lawyer demonstrated on the screen that the flooded one still works. In addition, in the current deluge of information, the mere presence of a given brand for a few seconds or minutes on the screen is a greater chance that such a person will remember it. The right types of product placement in a movie or series that will achieve cult status is a dream. Such productions as Wayne's World or Top Gun are still walking showcases of shoes, drinks and sunglasses, which are cleverly placed on the screen.

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Types of product placement

The classification according to the types of product placement can be started from the frequency of the message. Pamela Miles Homer in the Journal of Advertising (2009) lists two types: subtle and pronounced. They have two intensities in its classification - low and high. Types of product placement can also be differentiated by the medium. New ones join the traditional ones. Already in some games you can buy virtual clothes or gadgets of this or that company. Virtual reality expands this range of possibilities even further. Already on some VOD platforms, while watching the show, you can go directly to the store and buy the dress the presenter is wearing. This gives more and more interesting advertising opportunities. Product placement can be increasingly subtle. A viewer interested in a given item will be able to easily find the name of the manufacturer and its store with one click.

What are the costs?

The product can be presented in various ways within the medium. In the advertising price lists of Polish private television, you can read that the rates vary depending on whether the product is only standing on the table during a talk show, or whether it is used in a sketch or a presenter uses it. These are just two examples. Other types product placement it is a product as a backdrop for events or a product conversation.

It might seem that an advertisement in which you cannot see the product on the screen will not be effective enough. However, it is enough to recall the famous dialogue about specific types of hamburgers from the movie Pulp Fiction to change your mind. To this day, there is a debate about whether it was product placement or not. Dialogue has done better for the reputation of the McDonald's chain than PR campaign, and for fans of the film is one of the iconic scenes. Different types of product placement also apply to whether we are talking about a product, a group of products or a company.

What to consider when choosing the type of product placement?

In the article mentioned above, Pamela Miles Homer assesses the impact that various types of product placement have on the views of viewers. It turns out that the best brand recognition is obtained when the repetition frequency is low or the product placement is subtle. The brand loses the most in the eyes of viewers when dealing with aggressive and frequent repetition of the message. Such low-volume advertisements were also rated as the most credible and plot-relevant. On the other hand, if the product is new and viewers don't know about it yet, more frequent presence of the product on screen may make sense. When it comes to choosing a medium, younger users find such media much easier marketing communication channels like product placement in games or social media.

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It is worth sitting down to negotiations on product placement as early as possible. This can allow for a deeper embedding of the product in the plot of the film or series. It has happened before that the name of the restaurant or club was already in the title. However, such a campaign takes time. Rethinking marketing ideas allows for subtle and interesting use of the product on the screen, and this will increase the effectiveness of the advertisement. Another important aspect is the distinction between product placement of a single product or, more generally, a manufacturer. The logo itself allows for more subtle advertising. However, if you want your product to be presented and used on the screen, then product placement of a specific model will work better.

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Product placement in practice: law, costs and native advertising

Types of placement are just the beginning. Before signing the contract, check three things: whether the format complies with the regulations, what the price consists of and how product placement differs from related forms of advertising.

Is product placement legal?

Yes, product placement is legal, but it is subject to rules that depend on the medium and the country of broadcast. In television broadcasts and on video-on-demand services, product placement usually has to be labeled, and certain categories of products are not allowed to be placed at all or only with restrictions. This applies, for example, to tobacco products or prescription drugs. Separate rules apply to programs for children. In the content of online creators, advertising cooperation must be clearly described, because hidden advertising may be considered a practice that misleads the audience. Before launching a campaign, ask for the opinion of a lawyer who is familiar with media law and the law of new technologies.

What does product placement mean and what is native advertising?

Product placement means that the product or logo appears within content that is not itself advertising: in a film, series, game, or recording by the creator. The viewer watches the story and the brand is part of it. Native advertising (advertising that matches the environment) works differently. This is separate sponsored material, for example an article or post that looks like regular website content but tells the story of the brand from start to finish. In product placement, the creator decides the plot. In native advertising, the brand usually co-creates the entire message. Both forms require fair attribution.

How much does product placement cost?

There is no single price list because the price is set individually for each product. Several factors influence the cost:

the reach and prestige of the medium in which the product will appear,
way of showing: background, use by the protagonist, or mention in dialogue,
exposure time and number of scenes,
category exclusivity, i.e. the absence of competing brands in the same production,
the right to use fragments in their own brand materials.

Some contracts are based on barter, meaning that products or services are exchanged in exchange for money.

Examples of product placement without known names

The simplest example is the character from the series who drinks coffee every day from a recognizable packaging. Another example is a car of a specific brand in a chase scene or a phone that a character answers to receive an important call. In computer games, brands appear on banderoles, billboards in a virtual city, or as elements of a character’s equipment. In the recordings of internet creators, the product appears as part of a test, a guide, or a daily routine. Scenes where the product makes sense for the plot work best. When the camera lingers on the logo for no reason, the viewer quickly notices it and perceives it as intrusive advertising.

How to assess the effect of product placement?

Evaluate the effect on several levels, not just by the number of viewers of the production. First, check whether the product appeared as written in the contract. Then assess the reach, that is, how many people could see it. Next, examine the change in the audience: do they associate the brand with the production and has their opinion changed? Finally, compare sales or inquiries during the broadcast period with those without it.

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