1. Product Placement MKT 4123

2. What is Product Placement? The sales promotion technique of getting a marketer’s product featured in movies and television shows The sales promotion technique of getting a marketer’s product featured in movies and television shows Big screen, television, books, video games, music videos Big screen, television, books, video games, music videos

3. Categories of Product Placement 1. Trade off of integration or placement for supply of product 2. Financial compensation for placement or integration 3. Coop advertising opportunities / expenditures to support project in exchange for product placement

4. Why use Product Placement? Advertiser People are getting tired of ads People are getting tired of ads Advertising is EVERYWHERE! Advertising is EVERYWHERE! –TV, radio, billboards, magazines, newspapers, Internet, buses –People wearing signs on street –Flyers (car or in mailboxes) –Ads on ATM screens

5. Why use Product Placement? Production Company Can add a sense of realism to movie, show, book, etc. Can add a sense of realism to movie, show, book, etc. Opportunity for Co-operative advertising Opportunity for Co-operative advertising Financial compensation Financial compensation

6. Strategies Make your product visible, but not focus Make your product visible, but not focus Product should fit seamlessly into production (not too obvious) Product should fit seamlessly into production (not too obvious)

7. Tag Heuer

8. Lacoste

9. Does Product Placement Work? 1. Domino’s Pizza 2. Crate & Barrel 3. Red Stripe 4. Ford Explorer 5. Pepsi 6. Porsche 7. AOL 8. Reese’s Pieces 9. Cadillac A. Friends B. Seinfeld C. You’ve Got Mail D. Cheaper by the Dozen E. ET F. Wayne’s World G. Back to the Future H. The Firm I. Jurassic Park

10. Proof That It Works Red Stripe sales increased by more than 50% in the first month that The Firm was in theaters. Red Stripe sales increased by more than 50% in the first month that The Firm was in theaters. Reese’s Pieces made a big splash in ET, boosting sales by 65%. Reese’s Pieces made a big splash in ET, boosting sales by 65%. Tom Cruise wearing Ray Ban sunglasses in Risky Business helped precipitated a 55% gain. Tom Cruise wearing Ray Ban sunglasses in Risky Business helped precipitated a 55% gain.