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EFFECTIVENESS OF BRAND PLACEMENT IN BOLLYWOOD MOVIES Table of Contents Chapter Particulars 1) Introduction 2) Objectives of study 3) Review of Literature 4) Research Methodology 5) Data Analysis & interpretation 6) Finding 7) Conclusion Bibliography Annexure(Questionnaire) WHAT IS PRODUCT PLACEMENT? A product placement is the inclusion of a product, package, signage, a brand name or the name of the firm in a movie or in a television programme for increasing

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Page 1: Effectiveness of Brand Placement in Bollywood Movies

EFFECTIVENESS OF BRAND PLACEMENT IN BOLLYWOOD MOVIESTable of Contents

Chapter Particulars

1) Introduction

2) Objectives of study

3) Review of Literature

4) Research Methodology

5) Data Analysis & interpretation

6) Finding

7) Conclusion

Bibliography

Annexure(Questionnaire)

WHAT IS PRODUCT PLACEMENT?

A product placement is the inclusion of a product,

package, signage, a brand name or the name of

the firm in a movie or in a television programme

for increasing memorability of the brand and

instant recognition at the point of purchase.

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Placements can be in form of verbal mentions in

dialogue, actual use by character, visual displays

such as corporate logo on a vehicle or billboard,

brands used as set decorations, or even snatches

of actual radio or television commercials.

The objective of this communication strategy is to

expose audience to a brand, whereby the effect

can be maximized in terms of increased brand

awareness and higher recall, so that the customer

will buy the brand which has the highest recall; and

to satisfy the customer to optimal level. Because of

proliferation of advertisements and the consequent

difficulty in getting commercial messages to reach

and influence potential customers, product

placement appears as an interesting alternative to

traditional marketing communication tools.

Basically, there are three ways product placement

can occur:

It simply happens.

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It’s arranged, and a certain amount of the

product serves as compensation.

It’s arranged, and there is financial

compensation.

Sometimes product placement just happens. A set

dresser, producer, director, or even an actor might

come across something he thinks will enhance the

project. Usually this has to do with boosting the

level of credibility or realism of the story being

told. Example can be use of ‘Tata Indigo’ car in

movie Aaja Nachle. The car has been used to as

mode of transport for the lead actress both when

she arrives from abroad and when she goes back.

Interestingly the vehicle is widely used as

commercial luxury vehicle in many Indian towns.

So use of this car added a touch of realism in the

movie. However, when contacted, the

representatives of the car company denied being

approached about the use of their product.

Arranged product placement deals fall into two

categories:

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Trade-off of integration or placement for a

supply of product

Financial compensation for placement or

integration

The most common type of deal is a simple

exchange of the product for the placement.

Example, let’s say the production team wants lead

actor to display a quirky affinity for a particular

type of beverage. This will come across rather

strongly over the course of the program — which

means the chosen product could get a lot of air

time. It turns out that someone on the crew knows

someone who works for that beverage. The

production people approach the beverage

company folks with a proposal and a deal is made;

in exchange for the airtime, the cast and crew are

provided with an ample supply of the beverage at

work. Example: the movie Krishwhere the lead

actor drinks a lot of Bournvita.

Before product placement really saw a surge in the

mid-1990s, it was pretty much a do it yourself

effort. Now there are specific corporate positions

and entire agencies that can handle the job. Some

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larger corporations will dedicate personnel to scout

out opportunities for product integration or

placement within films, television shows and even

games and music. Good example would be

Madison’s specialized division for in-film branding,

MATES.

Churning out nearly 1,000 films a year, the Indian

film industry is the largest in the world. Now, aided

by technological advancements, the industry is set

to take a further leap – across production,

exhibition and marketing. In such a scenario,

product placement in mainstream films deserves a

renewed focus because as a marketing

communication tool, it is fast emerging as the

medium with maximum potential to capture and

covert audiences to potential consumers. This is

especially relevant in a world where traditional

media vehicles are increasingly failing to reach the

consumers for various reasons.

Brand/product placement is a promotional tactic

used by marketers in which a real commercial

product is used in fictional media, and the

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presence of the product is the result of an

economic exchange, it is an advertising technique

in which the companies pay a fee or provide

service in exchange for a prominent display of their

product. Product placement occurs in plays, films,

television series, music videos, video-games and

books. The objective of such brand communication

is to expose the audience to a brand, whereby the

effect can be maximized in terms of increased

awareness and higher recall, so that the customer

will buy the brand which has maximum recall; and

to satisfy the customer to optimum level.

Product placement has come as a blessing in

disguise for both, the brand and the filmmaker.

Through it, the brand managers get the clutter

breaking opportunity to look beyond the 30 sec TV

commercial and the filmmaker gets to earn huge

revenues by just showing the brand being used by

protagonist or let it exist in the background. The

deal is just perfect for both of them. But the most

important person in the deal is the consumer who

is vigilant and smart enough to notice what’s

served to him and has reservations against in your

Page 7: Effectiveness of Brand Placement in Bollywood Movies

face placements. Surely he does not want more

intrusion in his life.

Hence, product placement has arrived and here to

stay. But a word of caution is to be always kept in

mind, by both the brand and the filmmaker- if as

communication purveyors they are looking for

better and innovative means of reaching the

consumer, the consumer himself is already

bombarded with marketing tactics from all over

and in the three hours of movie, he would want to

forget about all these intrusions, including

advertising. Thus overdose of brand placement will

only drive away the consumers from the cinema

halls, resulting in a flop film and a failed marketing

endeavor.

Brand placements are used to increase the level of

brand knowledge among consumers as in every

advertising medium. The uniqueness of the

medium is found in the process of exposure and

congruity of brand in the story. There is no

competitive exposure in the same medium at the

same time, unlike television of newspapers. This is

Page 8: Effectiveness of Brand Placement in Bollywood Movies

significant as it may increase the level of brand

knowledge. Brand knowledge is conceptualized as

brand node in memory to which a variety of

associations are linked. So it is important to

identify the properties of the brand node and brand

association.

PRODUCT  PLACEMENT IN MOVIES

Every frame in a movie has an opportunity for

branding. With that intent, a number of marketers

are now using movies to project the core values of

their brands. In-film advertising, in its most

effective form, is about a brand being a part of

cinema’s content. Many global brands are now

turning to this medium for the sheer impact that a

movie can make on its audiences.

Brands are increasingly being associated with

films. And companies are seeing big business in

being associated with films. They feel that their

brands connect on a more emotional level with the

audience if placed in a film.

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So far so good. But it is worth exploring why more

and companies are making a beeline to advertise

in films and what makes films so attractive to

companies.

Remember the Subhash Ghai-produced and -

directed blockbuster Taal, which had this very

romantic scene featuring Aishwarya Rai and

Akshaye Khanna sharing a bottle of Coke? The

scene became more romantic for Ghai because

Coke India dished out Rs 1 crore for placing the

product in the film.

Sources say Ghai approached the two cola giants

operating in India. Pepsi India declined probably

because it felt the asking rate of Rs. 1 crore was

too high. Hence Coke was the only right choice.

Advertising in films is becoming big business for

film producers, advertisers and ad agencies, and

the trend is being witnessed all over the world.

American beer company Stroh’s is said to have

paid Rs 15 lakh to the producers of Dilwale

Dulhania Le Jayenge for a 15-second scene in

Page 10: Effectiveness of Brand Placement in Bollywood Movies

which Shah Rukh Khan mentions the brand name

while downing a canned Stroh’s.

The BSA SLR bike featured as a hero of sorts in the

film Jo Jeeta Wohi Sikandar and TI Cycles is said to

have paid producer Nasir Hussain some lakhs of

rupees. The first such in film placement was the

black-and-yellow Rajdoot bike in Raj Kapoor’s film

Bobby, released in 1973 though it is not known if

Raj Kapoor charged anything from Enfield for the

scene.

Sooraj Bharjatya’s film Hum Saath Saath Hain was

associated with Coca-Cola. Throughout the film’s

promos the theme was ‘Coke Presents Hum Saath

Saath Hain.’ Bharjatya is said to have received Rs

1.5 crore for associating his film with the brand.

This year the number of brands associated with

films has hit an all-time high. For instance, the

recently released Shah Rukh Khan, Rani Mukherjee

starrer Chalte Chalte, has the hero driving a

Hyundai Santro and using Castrol engine oil in his

vehicle.

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Kaizad Gustad’s Boom, released recently abroad,

features 400 carats of real diamonds in its opening

scene, courtesy Diamond Trading Company. The

Rohan Sippy-directed Aishwarya Rai-Abhishek

Bachchan film Kuch Na Kaho is said to have Coca-

Cola and Perfetti Van Melle’s confectionery brand,

Mentos, as in-film placements.

Coca-Cola has been associated itself with

Hollywood for at least 25 years, and the company

has offices near major Hollywood studios for the

purpose. Coke is using much the technique in

India. Apart from Hum Saath Saath Hain and Taal,

Coke’s sub-brand Thums Up was associated with

the Sanjay Gupta-produced Kaante.

Sources at Coca-Cola India say the company will

increasingly be associated with ‘Indian passions’

like cricket and Hindi films. The company’s

involvement ranges from in-movie advertising,

theatre tie-ups and premieres to national launches,

special shows and consumer promotions.

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Says Coca-Cola India vice-president (marketing)

Shripad Nadkarni: “In-film is a great way to

connect with the consumer in their environment.”

For liquor companies faced with dwindling avenues

to advertise their products such placements are

being looked upon with a positive glee.

This year McDowell’s second-largest brand

McDowell No 1 was associated with Raveena

Tandon’s home production Stumped and thus it

was ‘McDowell Presents Stumped,’ all the way.

McDowell’s brand Bagpiper was associated with

the Vivek Oberoi starrer Dum while McDowell’s

strong beer Zingaro was associated with the Pooja

Bhatt-produced film Jism.

Liquor companies are allocating big proportions of

their advertising budgets towards films. Officials in

UB say the proportion of their ad budget going

towards films can go up by 25 per cent if there are

some good projects. A host of liquor companies are

headed in the direction of films. Officials in the

advertising industry say Shaw Wallace and Radico

Page 13: Effectiveness of Brand Placement in Bollywood Movies

Khaitan have also started actively scouting for in-

film placements.

As mentioned earlier, in Hollywood films such ad

placements have been around for quite some time.

From liquor to cigarettes and menswear to cars,

James Bonds films have them all. When Smirnoff

ended its association with Bond’s film Die Another

Day, rival Finlandia promptly filled the gap. And

how can one forget Bond’s favourite cars, which

ranged from the BMW to the Jaguar, with due

credits being given to the car manufacturer in each

Bond film.

RayBan associated itself with Men in Black while

the film You’ve got Mail featuring Tom Hanks and

Meg Ryan had as its real star of America Online

(AOL). AOL reportedly received between $3 million

and $6 million with added visibility for AOL’s

signature smiley-face logo.

Clean finance

The Indian media and entertainment industry has

an estimated size of US$ 7.72 billion and is

Page 14: Effectiveness of Brand Placement in Bollywood Movies

expected to reach US$ 18.32 billion by 2010 with

CAGR of 19%.Recent years have seen a

consolidation in the Indian film industry, which

produces an average of 800 movies per year. The

industry is witnessing a changing structure where

film producers have now entered into the

distribution and exhibition of films, realizing the

greater control they can have over ticket sales.

Film distributors, who are a major source of

exploitation of the overseas market, which has

increasingly become a more important source of

revenue than any of the domestic territories.

However, recent years have seen growth in

alternative sources of finance. There are an

increasing number of financial institutions making

funds available but there has also been a growth in

the level of direct and indirect government funding

through reductions in entertainment taxes, tax

incentives for the development of multiplex

cinemas across India. The film industry itself has

been more proactive in marketing the products.

The industry’s initial over-reliance upon the sale of

music rights to cover the film budgets has led to

the use o more innovative marketing tactics, with

Page 15: Effectiveness of Brand Placement in Bollywood Movies

the greater use of the internet, sponsorship, pre-

release advertising, corporate tie-ups and brand

placement all acting as additional sources of

revenue.

BR Chopra’s film Baghban starring Amitabh

Bachchan and Hema Malini among others,

scheduled for release later this year, has tied up

with three brands – Ford Ikon, ICICI Bank and Tata

Tea – which will figure in his film. Ravi Chopra, the

director of Baghban, admitted that the total benefit

to the producers from associating with the brands

is in the range of Rs 3-4 crore.

Says Chopra: “This kind of advertising helps

producers recover some of the costs of the film. In

any case in our films we need to show film

characters driving cars, using mobiles, drinking tea

or coffee and using a number of other products, so

why not benefit out of it. The sponsoring company

also benefits as their brands get associated with

film stars.”

Page 16: Effectiveness of Brand Placement in Bollywood Movies

He feels the growth is tremendous in this kind of

advertising as “two to five years ago the amount

paid for such ad placements was in the range of a

few lakhs while the sums being talked about now

run into a few crores.”

Such ad placements, he says, could become a

source of part-financing for films as big budget

films are likely to attract more advertisers and

producers would also charge proportionately higher

charges for placements. He is however categorical

“that such in-film ad placements need to be carried

out with finesse and could work against a film also

if done shoddily.”

There is unanimity among advertisers and

producers that advertising of this kind needs to be

as unobtrusive as possible. Sanjay Bhutiani, who

heads Leo Burnett Entertainment,  says one bad

placement can undo the work of 10 good ones.

For the cash-strapped film industry, getting some

amount of clean financing from the corporate

sector is a whole lot better than dealing with

Page 17: Effectiveness of Brand Placement in Bollywood Movies

dubious underworld dons. Films gained industry

status two years ago and there was much hope

that banks and financial institutions would enter

into film financing in a big way.

This hasn’t really happened. Financial institutions

and banks tend to lay huge conditions in front of

film producers before sanctioning finance. With

film making a hugely risky business and producer

unable to furnish the kind of guarantees required,

bank and corporate finance has been hard to get.

Companies wanting to connect better with their

audiences and faced with huge rates charged by

leading print publications and television channels

feel that there is tremendous advantage to be

gained by associating with film stars and even

more so if the stars happen to be ambassadors of

their brands.

Officials at PepsiCo, which recently associated with

the Shah Rukh Khan-produced Chalte Chalte, say:

“Our presence in the film is because Khan is our

brand ambassador and we have an ongoing

Page 18: Effectiveness of Brand Placement in Bollywood Movies

association with him. Chalte Chalte was Khan’s

home production. Therefore, Pepsi had a presence

in the film.” Similarly, the Hyundai Santro was a

prominent fixture in the film and it is not a mere

coincidence that Khan is the brand ambassador for

the car.

The entertainment industry in India is getting

increasingly corporatised and somewhere along

the way certain brands are becoming associated

with the film personalities. Cola drink brands like

Coke and Pepsi, and miscellaneous bathing soaps

have from the outset been associated with film

stars. More and models are turning to acting, and it

looks like film advertising is in the natural

progression of things.

Indian mainstream Hindi films, popularly known as

Bollywood the world over, caught up with the trend

in 1970’s with Rajkapoor using ‘Rajdoot’ in his

movie Bobby.Popularity of movies as medium for

product placement grew because of the increasing

difficulty of using television as an effective medium

to target audiences. The film medium provides an

Page 19: Effectiveness of Brand Placement in Bollywood Movies

excellent message reach and message life and an

effective method of popularizing and immortalizing

brands.

One of the key drivers for movies becoming a

popular medium for product placement has been

the increasing difficulty of using television as an

effective medium to target audiences. The advent

of cable and satellite television has meant that

audiences have become more fragmented and

tend to demonstrate a greater level of ad

avoidance. By contrast, the film medium provides

an excellent message reach and message life and

an effective method of popularizing and

immortalizing brands. The movie-goers vicariously

experience the brand as they make a connection

between the film, the actor, the product and its

consumption, and argue that product placement

acts as a perceptual clue which directs behavior to

purchase a product to satisfy a need or reinforce a

social status. Movie product placement is viewed

as a cheaper and more effective alternative to

traditional marketing communications, despite its

inflexibility, but as a result of the establishment of

specialist placement agencies, and through

Page 20: Effectiveness of Brand Placement in Bollywood Movies

increased brand exposure through cable, satellite,

video and DVD, a typical movie with international

distribution can reach over one hundred million

consumers from box office to TV.

There seem to be three reasons why marketers

consider product placement in movies as

interesting communication strategy. First watching

a movie is high attention and involving activity.

The particular exposure context associated with

movies in theatres (lights off, minimal noise and

distraction possibilities, large screen, difficulty in

moving around, no zapping) is bound to lead to a

high level of consumer attention as opposed to,

say, listening to television. In addition, movie goers

expend some significant effort (choosing a movie,

driving to the theatre, finding a parking space,

staying in line, finding a seat) and money

(transportation, parking, tickets) in order to go to a

movie and therefore quite involved during the

show.

Second, successful movie attract large audiences.

A blockbuster movie like Om Shanti Om for

instance has been seen by millions of people, and

Page 21: Effectiveness of Brand Placement in Bollywood Movies

this does not include video purchases and rentals,

and eventual television broadcast. Therefore from

a strict cost per viewer point of view, a product

placement in a movie is a real bargain.

Finally product placement represents a natural,

non aggressive, non persuasive way of promoting

brand or a firm. Hence it may lead to less counter

arguing and ‘internal’ zapping from consumers.

The use of feature films as a strategy for

introducing new products has grown increasingly

sophisticated. Savvy marketers now build

elaborate marketing communication plans cross-

promoting films and brands. For example, Audi

used 2004’s Babul, a film by Ravi Chopra, as an

integrated element for introducing a new model,

the Audi A6. It was judged the most successful

promotion of 2004.

Subhash Ghai was one of the early filmmakers to

do product placement on a real large scale.

Bollywood insiders say Ghai recovered production

cost from Coke and other products even before the

release of films like Yaadein and Taal. In future

Page 22: Effectiveness of Brand Placement in Bollywood Movies

40% of a film’s revenue will accrue from streams

like TV, online rights, product placements and

digital downloads. Video-on-demand, IPTV and DTH

are already fetching handsome returns. Then, of

course, there is the overseas market, which is

expanding fast. In 2007 alone, at least a dozen

Hindi Mainstream films have crossed a US $ 1

million mark in the UK an US.

As successful marketing efforts incorporating

motion pictures continue to mount, the casual use

of brands as props will diminish. While current

practice does not require filmmakers to identify

brands placed in films, viewers can reasonably

assume that prominently featured brands have

offered some compensation or other consideration

in exchange for the appearance.

TYPES OF PRDUCT PLACEMENT

In films, product placement can be divided into

three broad categories:

Implicit Mode: in this the star appears in a

situation and is seen openly stating that he is

Page 23: Effectiveness of Brand Placement in Bollywood Movies

using the product/brand. For example, in the

movie Chalte Chalte, Shahrukh Khan is seen

asking his worker to fill Castrol in his truck.

Imperative Mode: In this the star would ask his

friend/co-worker/peer to use the product. For

example, in the movie Koi Mil Gaya, Hritik

Roshan is seen recommending Bournvita to

Priety Zinta and her mother in the film.

Co-present Mode: in this, the star appears in

some kind of setting with the product or he or

she could be seen consuming or using the

product. In the movie Diljale, love is the ulterior

theme, and Sonali Bendre, the lead actress is

shown expressing her love through Archies

cards, thus revolving around the ‘social

expression’ feel of the Card makers.

Consumer Aspirations and the Bollywood

Movies

The success of bollywood movies has been

experienced not only in India but even outside

India with the Indian diaspora. There are over 20

million Indians across the world with 18% residing

in UK and North America and their strong ethnic

Page 24: Effectiveness of Brand Placement in Bollywood Movies

ties make them a ripe market for Indian

entertainment products. By way of evidence, Hum

Aapke Hain Kaun grossed more than $30 million

overseas movies such as Lagaan and Dil Chahta

Hai through their subject matter clearly show

Indian audiences, both domestically and abroad

are changing.

PROMINNENT EXAMPLES OF SUCCESSFUL

PRODUCT PLACEMENTS IN SOME BOLLYWOOD

MOVIES

(In Recent Times)

&

SOME FAILURES TOO

SUCCESSES

Bollywood has finally discovered branding. In 2007,

according to industry estimates, brand cameos

earned around Rs 200 crore, and as a result, even

small-and medium-budget movies as well as

animated films are hoping to cash in on this new

and lucrative revenue stream. Indeed, media

Page 25: Effectiveness of Brand Placement in Bollywood Movies

analysts and industry watchers expect that figure

to climb to Rs 800 crore by 2010.

Some of the select successful instances of brand

placement in recent times are cited below:

Rang De Basanti: Rakyesh Omprakash Mehra’s

Rang De Basanti was probably the most successful

Bollywood branding in 2006 with its limited edition

RDB Coca-Cola bottle, and cameos of Airtel, LG,

Berger and Provogue in the film. Coke, in a first of

its kind attempt, launched Coca-Cola bottles

branded with the RDB title and Amir’s picture and

produced a movie trailer that was a montage of

shots from the film and Coke’s ‘Piyo Sar Uthake’

campaign. Just the right kind of media partners,

the film’s marketing ensured good and effective

publicity and both the brands and the movie

generated a lot of mileage from each other.

Krrish: Rakesh Roshan’s Krrish, now a case study of

Indian Institute of Management, Indore,

prominently featured Singapore Tourism Board,

Sony, John Players, Bournvita, Tide, Hero Honda,

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Boro Plus, Lifebuoy, HP Power, Acron Rangeela,

Hansaplast and Lays chips, followed by

merchandising of Krrish masks, lunch boxes, water

bottles. Its merchandising sold like hot cakes

among children. Krrish made 12 crores out of

product placement.

Don: Farhan Akhtar’s Don promoted Tag Heuer

watches, Motorola, Garnier, Citibank and, of

course, Oakley sunglasses as well as Louis Philippe

outfits. The placement ensured that the viewer

noticed don’s phone, his laptop, his watch, his

sunglasses and the brand names were the focus of

the camera work. But it was still done in a subtle

way and did not come across as being imposed on

viewer.

Dhoom 2: Sanjay Gandavi’s Dhoom 2 promoted

Coke, Pennzoil, Pepe, Sony, Disney channel, Sugar

Free, McDonald’s, Speed, and Suzuki Zeus. The

movie was quite an opportunity for Coke, for both

the brand ambassadors of Coke were starring in

the movie together for the first time. The cool

couple drinking the always coolest drink, perfect

Page 27: Effectiveness of Brand Placement in Bollywood Movies

for Coke! The cola company had a special

campaign for Dhoom 2 where Hrithik Roshan

encouraged youngsters to take a swig and “go

dhoom”.

Baabul: Ravi Chopra’s Baabul featured brands like

Audi, Kotak Insurance, Eros Jewellery, Nerolac and

Taj Mahal Tea. The spirit of Baabul is celebrated

with ‘Kotak Life Insurance’. The high profile in-film

ad in Babul featured the Audi A6. Chivas Regal,

Eros Jewelry and Audi together contributed 40

lakhs in cash and kind for the music release and

fashion show of Baabul.

Main Hoon Naa: Farah Khan’s first movie Main

Hoon Naa featured the following brands- Reebok,

Café coffee day, Frito Lays, Levis, LML. MHN was an

example of optimum utilization of branding in a

film. The story of the film revolved around youth

hence it gave us the scope of using lifestyle and

youth centric brands. The brands that were

involved were the ones keeping the modern day

college goers in mind, for which using brands is

just a way of life. The brands were woven into the

Page 28: Effectiveness of Brand Placement in Bollywood Movies

screenplay in a manner where it looked like a

modern day college going youth was using the

product – natural yet conspicuous.

Baghban: One of the clear cases of effective

placement in recent times was BR film’s family

drama Baghban. The movie creatively integrated

five brands in it. The brands included were ICICI

Bank, Tata Tea, Archies, Ford and Tide. Baghban

truly depicted the craft of product placement.

FAILURES

There is always the other side of the coin!

Academicians from Universities say that currently,

embedded advertising still needs to grow in India.

‘It is like a deranged marriage, the brand most

often does not fit into the film the way in which it

should. The reason is that most filmmakers still do

not think of it as a revenue stream,’ they say.

So apart from the huge successes, there were

some bad failures as well. Few of them are:

Page 29: Effectiveness of Brand Placement in Bollywood Movies

Ta Ra Rum Pum: After you see drivers and cars

layered by brands of their sponsors, Ta Ra Rum

Pum a film on racing cars would seem like the

perfect avenue to showcase such similar branding.

After all seeing these brands is what we’ve come to

expect, but corporate honchos didn’t seem happy

just with ‘being there’. So they must’ve insisted on

special close-ups and zooms for their brands. As a

result we get a good dose of Castrol, Goodyear and

Chevrolet periodically through this film.

Salaam E Ishq: Salaam E Ishq was another product-

friendly movie. With such an extensive star cast

and lavish set designs the director must’ve felt the

need for corporations to cover up costs. Of the

many placements there was one that stood there

screaming for attention. John Abraham and Vidya

Balan play a couple in love so on the day of their

anniversary John decides to gift his lady love with a

diamond set. For those curious about the brand, it

was Ira Jewellery and the makers give more than a

glimmer to those who wonder. To make things

worse, the camera decides to zoom more on the

brand than the jewels.

Page 30: Effectiveness of Brand Placement in Bollywood Movies

Victoria 203:  If you’re one of the few people that

watched the remake of Victoria 203, you’d

probably be gripped by the urge to buy diamonds,

more specifically Gitanjali Diamonds. That’s

because Gitanjali has been constantly mentioned

throughout the first half an hour. The makers go to

the extent of giving the viewers an unwanted

history lesson about the Choksi family that owns

the company and their legacy.

Virruddh…Family Comes First: In terms of product

placements, Viruddh went to the extent of shoving

their branded products down audiences’ throats.

What made this blatant promotion unbearable was

that Virruddh was made as a serious film about a

grieving family and their dead son. Obvious

instances were where Sanjay Dutt posed with a can

of Elf Oil in his garage and John Abraham praised

how great ‘the services of Western Union money

transfer’ were.

Koi Mil Gaya: The product placements in Koi Mil

Gaya weren’t as awkward as Yaadein but they

were definitely obvious. You can definitely tell why

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the mother (played by Rekha) insists that her

overgrown, mentally handicapped son (played by

Hrithik Roshan) drink his glass of Bournvita milk.

Not to mention another scene where the dimwitted

son magically transforms into a promoter for

Bournvita when his drink preference is asked.

Coffee, tea, Bournvita or me? Other instances

include where Hrithik sips Coke with his classmates

and rides off into the sunset with Preity Zinta on his

Hero Honda Bike in the end.

Yaadein: Few films have been universally panned

like the way Yaadein has. Ironically, the film’s

message was to shun the materialistic life all the

while promoting brands. Coca Cola had a large

presence throughout the entire film. It even went

to the extent of having the Coke logo branded on

Jackie Shroff’s key chain! The blatant praise for

Pass Pass the mouth freshener by the film leads

also made audiences groan in their seats. The film

sank at the box-office, but since Subhash Ghai

leaned heavily towards placements it’s likely he

covered part of his production costs.

Scope of study

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Brand placements are used to increase the level of

brand knowledge among consumers as in every

advertising medium. The uniqueness of the

medium is found in the process of exposure and

congruity of brand in the story. There is no

competitive exposure in the same medium at the

same time, unlike television of newspapers. This is

significant as it may increase the level of brand

knowledge. Brand knowledge is conceptualized as

brand node in memory to which a variety of

associations are linked. So it is important to

identify the properties of the brand node and brand

association.

Need of study

In this modern era, there are lots of

advertisements in T.V.channels, newspapers etc.

product placements in movies have been widely

adopted yet its impact is not clearly

comprehended. Movies being long and having

many stars and personalities are often preferred by

the companies and advertisers to show and

present their products to the target market. These

are most of time shown as the actor eating and

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drinking particular product, or wearing or even

speak in favour of certain brand in the movies.

The study is done for getting the attitude and

interests of audience towards brands and branded

goods, to understand individual’s propensity to get

influenced by brand image. It can also identify

additional variables to further segment the market

on basis of behavioral intentions in accepting

brand placements.

Objectives of study

1.To find whether consumers can recall various

brands being endorsed by film stars in movies.

2.To analyze whether celebrities in movies cast any

influence on consumers decision making/ buying

behavior.

Review of literature

Pandey(2010)in his study “Impact of celebrities

multiple product endorsements on buyer’s attitude

and purchase intentions”study that the aim of

advertiser is to make their product distinct and so

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valuable that the customer becomes a repeat

buyer.

Aggarwal (2009)in his study “brand ambassadors

and their impact on consumer behavior: A case

study of mobile companies in india”study that the

choice of celebrities to fulfill that role has become

common practice for brands competing in today’s

cluttered media advertisements. Recently, two of it

giants, hp and Lenovo signed Bollywood stars,

shah rukh khan and saif ali khan as their brand

ambassadors.

Ganesh, Kavitha (2009) in their study “Employees

as brand ambassadors” stated that many

marketers use brand ambassadors to perk their

brands instantaneously. The role of brand

ambassadors can be leveraged in many other ways

than the obvious celebrity ambassadors.

Singhal(2009)in her study “advertising in

multiplexes: Brand theatre “study that cinema is

certainly going to be a reinvigorating experience

for both the brands and visitor. Multiplexes are a

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good place to run a quick awareness generation

exercise more as a reminder than as contest.

Suresh  (2009) in his study “Celebrities and public

service advertising” study that there is no doubt

that association of celebrities with social issues

helps to ensure widespread awareness of the

causes. Media outfits are generous in donating

time/space for public services advertisements.

Venkatesh (2009) in his study “Endorsement by

celebrities: A brand revolution in marketing and

advertising of products” study that with growing

number of people having greater purchasing power

and a variety of products coming out of the

factories. In such a millien, it is not surprising that

celebrity endorsements of products and brands

have almost become routine.

Neijens, Smith(2007)in their study” Effects of

television brand placement on brand image” study

that the effects of television brand placement on

brand image.  As people watched more episodes,

the brand image became more in agreement with

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the program image. These results confirm the

applicability of learning and human associative

memory theories to brand placement.

Lehu, Bressoud(2007)in their study” Effectiveness

of brand placement: New insights about viewers”

research that explores new insights concerning

viewers’ reactions during a second viewing of a

movie. A sample of 3532 French viewers of DVDs

has been used to link the way the movie was

chosen, viewed and appreciated (or not) with a

spontaneous brand placement recall, the day after

the film was watched at home. A first viewing of

the movie at the cinema improves brand

placement recall, as does watching the movie at

home on a large home cinema screen.

Yang,  Roskos(2007)in their study” The

Effectiveness of Brand Placements in the Movies:

Levels of Placements, Explicit and Implicit Memory,

and Brand-Choice Behavior”stated that the Product

placements within a movie are often treated as a

binary variable: either they are present or absent.

The influence of 3 different levels of brand

placements on explicit and implicit memory for the

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brand, implicit choice behavior, and attitudes

toward the brand were examined. The results

confirmed that levels of brand placements

influence recognition of the target brand and

attitudes toward the brand.

Nelson, Devanathan(2006)in their study” Brand

placements Bollywood style” stated that the

globalization of media allows brand placements

subtle ways to reach local and international

consumers. This study examines Indians’

responses to brand placements in a Bollywood film.

Film involvement showed an adverse effect on

brand recall, while brand consciousness had a

positive effect.

McLeod , Nelson (2005)in their study” Adolescent

brand consciousness and product placements:

awareness, liking and perceived effects on self and

others” stated that the Product placements in

entertainment media are increasing, particularly in

content targeted to adolescents. This marketing

communication tactic is examined in the context of

media socialization and individual differences in

brand consciousness. The relative influence of

commercial media (TV, radio, movies, online) and

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perceived peer and parent brand consciousness.

Results of hierarchical multiple regression analyses

show that movies and perceived parent and peer

brand consciousness were positively related to

adolescent brand consciousness.

Rosemar, Ferraro(2000)in their study” Verisimilitude or Advertising? Brand Appearances on Prime-Time Television” stated that the policy debate surrounding the commercial practice of product placement and documents brand appearances on prime-time television using 112 hours of programming from four major networks. Placements in television programs are usually unpaid because the Federal Communications Commission (FCC) has sponsorship identification rules governing paid placements in this medium.

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Pardun, McKee(1999)in their study” Product placements as public relations: an exploratory study of the role of the public relations firm” stated that  the results of a survey of 106 public relations firms concerning their level of involvement with product placements as part of their public relations strategies. The findings of this research suggest that public relations practitioners are active players in choosing whether to use product placements to enhance a client’s product or service.Astous, Seguin(1999)in their study “Consumer reactions to product placement strategies in television sponsorship” stated that the impact of different strategies of product placement on consumer reactions in the

Page 40: Effectiveness of Brand Placement in Bollywood Movies

context of television sponsorship. Four factors were manipulated: type of placement, sponsor’s image, type of television program and sponsor-program congruity.Gregorio, Hyuok(1996)in their study” Consumer Attitudes towards Product Placement: Implications for Public Policy” stated that the practice of placing branded products within films for commercial purposes has developed into a distinct marketing tactic and truly gone global. Marketing-oriented placements have also spread beyond the film medium, dominating the television landscape and now steadily making their way into video games, novels, popular music, and even editorial magazine content.

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RESEARCH METHDOLGY

Research methodology is a way to

systematically solve the research problem.

Research Methodology comprises of two words,

research and methodology.

Research is defined as human activity based on

intellectual application in the investigation of

matter. The primary purpose for applied research

is discovering, interpreting, and the development

of methods and systems for the advancement of

human knowledge on a wide variety of scientific

matters of our world and the universe.

Research may be defined as a careful investigation

or inquiry especially through search of new facts in

any branch of knowledge. In short, it comprises

defining a refined problem’s, formulating

hypothesis or suggested solution; collecting,

organizing and evaluating data; making deductions

and research conclusions; and lastly carefully

testing the conclusion to determine whether they

fit the hypothesis

Methodology can be defined as:

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1.The analysis of the principles of methods,

rules, and postulates employed by a

discipline.

2.The systematic study of methods that are,

can be, or have been applied within a

discipline

3.3. A  particular procedure or set of

procedures.

This chapter aims at describing the research

methodology adopted for research in the present

work. Research is common parlances refers to a

search for knowledge. In fact, research is an art of

scientific investigation. Research may be defined

as a careful investigation or inquiry especially

through search for new facts in any branch of

knowledge. Research methodology is a way to

systematically solve the research problem

Sample Design

The respondents of Ludhiana are included in

universe/population.

Sample Size

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It is the total number of respondents targeted for

collecting information or data for the research.

Sample size of Hundred respondents was taken for

the research.

Sample Unit

It refers to the smallest possible individual eligible

for respondent. In my study the sampling unit is

100 individual.

Sampling Technique

Convenience sampling techniques was used to

select respondents though at the sampling.

Data Collection Technique

Questionnaire

Data Source

Both Primary and Secondary sources are used for

collecting the data.

Data

Data were collected by two methods.

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(a)    Primary data i.e. questionnaire. It is a set of

question given to a sample of people. This data is

collected through questionnaire.

(b) Secondary data

-          Certain books related to Brand placement

and advertisement.

-          Articles from net and library.

Analysis of data

Analysis of data has been done by way of

tabulation of data on Microsoft excel sheet. Table

and charts have been prepared to arrive at

conclusion by way of analyzing graphical

representation.

All the information/data collected through

questionnaires’ were first transferee into master

table which facilitated the tabulation of data in the

desired form.

Data Analysis and Interpetation

Age

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(a)    Below 20                      (b) 20-

30                             (c) 30-40

(d) 40 & above

Occupation

(a)    Student                   (b)  Employee       

(c) Housewife

(d) Business man

Q1. Do you watch movies?

a)      Yes                             (b) No

Q2. If yes how often do you watch them?

a)      Sometimes

b)      Frequently

c)      Daily

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Q3.  Where do you watch movies?

(a)  Television                     (b) Theaters/Cinema

halls

Q4. Do you think the Movies are trying to promote

the Brands?

(a)    Yes                              (b) No

(b)   Can’t say

Q5. Can you recall the Brands/Products you saw in

particular Movies?

Film NameOm Shanti Om

Chak De IndiaPartner

Bhool BhulaiyanHeyy Babyy

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Guru

Ta Ra Rum Pum

Namastey London

Jab We Met

Welcome

Tare Zameen Par

Brand NameMukta   Arts-Production   House,   HMV,   Exide   Battery,   Filmfare

Awards, Tag Heur Watch, Maybelline

EXIMBank,AustralianTradeandCommerce,AajTak,McDonald’s,

Britannia Marie, ESPN, Puma

Coco   Cola,   Marie   Claire,   Zoom   (Media   Partner),   Pepsi,   Pizza

Hut,  Toyota,  ESPN,  Boost,  Hutch,  Sony  Vaio,  Phuket  (Tourism),

Starbucks,  Mercedes,  Kawasaki  (Water  Boat),  Nokia  6600,  BPL,

DFL,  Bournvita,  Sony  Erickson  Mobile,  Go  air,  Nikon,  Calvin

Klein

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Sony Handycam

NDTV,  MTV,  P9,  Radio  Power  Fm,  Bright  Advertisement,  Tata

Indicom

Mercedes Benz

EXIM Bank, New York Speedway, Castrol GTX, Pepsi, Goodyear,

Chevrolet, Ford, Apple i-pod, ESPN

Spykar   Jeans,   Western   Union   Money   Transfer,   Streax,   MTV,

Kingfisher,  Bharatmatrimony.com,  Indiatimes.com,  HP  (laptop),

Bailey (Packaged Water), Ford (Tractor), Sony Camcorder

IDBI Bank, ZOOM, Spinz Deodorant, Times Now, Bailey Packaged

Water,  Madhya  Pradesh  Path  Parivahan  Nigam,  State  Bank  of

India, Mercedes.

IDBI Bank, Music India, Junglee Music, Ponds (age miracle), Sun

City (South Africa), Nokia, FrankFinn, Parle G (Biscuit), Surf, Rin,

Nirma.

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MSN, Movie Talkies, Channel V, Red Label (Tea), Horlicks, Colgate,

Fevicryl, Camel’s Geometry Box, Acron, Toyota

Q6. What Impact Do the Celebrities Create In the

Movies? (Can Tick More than One).

(a)    Attract Attention Towards Advertisements.

(b)   Arose Interest In The Products

(c)    Build Desire To Have The Product.

(d)   To Action For Buying A Product

Statement

Attract Attention Towards Advertisements

Arose Interest In The Products

Build Desire To Have The Product

To Action For Buying A Product

.

Q7. The following statement are based on your

ability to remember/ recall the product. Please tick

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the statement(s) as per your agreement to the

statement.

(a)    The particular brand was my favorite brand

and so I could remember.

(b)    The brand was endorsed by my favorite 

actor.

(c)     My friends spotted it and  showed me.

(d)    I was well aware of brand so I could see and

remember it.

Q8. Which Other Factors In Movies Can Influence

You To Buy The Product?

(a)    Brand Name             

(b) Music/Jingle

(c)  Product                                                  

(d) Cast of Film(hero/heroine)

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Q9. Please List down the Celebrity Name and

Brand/Product Endorsed by him/her That You Can

Recall

Celebrity Name Brand Endorsed

Aamir Khan Samsung Mobile,Tata Sky,Coca Cola

Amitabh Bachan Himani Fast Relief, Boroplus, Navratan oil,Pepsi,

Abhishek Bachan Idea,Motorola,Lux.

Juhi Chawla KurKure

Aishwarya Rai Coca Cola,Lux,Tanishq Jewellers.

Shahrukh Khan Sunfeast, Airtel, Nokia, I-10,

Imraan Khan Coca Cola

Akshaey Kumar ThumsUp

Q10.Have You Ever Bought A Product Under The

Influence Of A Movie?

(a)    Yes                                           

(b) No

Q11.Are you planning to purchase it in future?

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(a)   

Yes                                                                        

(b) No

Q12.Please List Down the Products Bought By You

Due To the Impart Of Movies?

CocaCola,Bisleri,Bournvita,Pepsi,Kurkure,ThumsUp,Idea,Motorola,Nokia,Airtel,Boroplus,

Fair And Handsome,Samsung Mobile,Tata Sky,Spyker Jeans,Levis Jeans,Navratan Oil etc.

Q13.How Can The Celebrity Influenced Your

Purchasing Decision? (Can Tick More Than One)

(a)    Due To Good Image                                     (b)

Make Rational Appeal

(c)  Possesses Attractive Personality                  (d)

Define the Product Effectively

Findings

The research was conducted to know the impact of

celebrities on buying behavior of consumers and

recall of products through Bollywood

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movies,following are the findings of the data

analysed.

Ø Majority of the respondents were below 20

and between 20-30 years of age.and were

students by occupation.which was useful

because youngsters take more interest in

movies,which enables them to recall the

product and celebrities more frequently.

Ø Regarding the influence of celebrities on

consumers,majority of the respondents feels

that’s celebrities cast and impact on the

consumers through the movies.

Ø When asked to recall the celebrity

endorsements,most of the respondents recalled

having to action for buying products.

Ø Most of the respondents were already aware

with the most of brands so they could see and

remember it.

Ø While recalling many respondents were

confused as to which celebrity endorsing which

product, because many celebrities are

endorsing various categories of products as in

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the case of Amitabh Bachan,Shahrukhh

Khan,Aamir Khan etc.

Ø Among various kind of celebrities like Aamir

Khan and Shahhrukh Khan has more influence

on the buying decisions.

Ø Celebrity presence in the movies and brand

placed by them are more influencing majority of

respondents.

Ø Some of the respondents denied to make

repeat purchase of products because the

product didn’t confirm the standards.

Ø The products bought by  the respondents

included the durables as well as non-durables,

the purchases included Bikes,Soaps,Coold

Drinks,Mobile sets,Celluler Services etc.

Ø Defining the product effectively by celebrity,

impact on the consumers buying decisions.

Conclusion

The study indicates that brand placement in Hindi

films are effective. The high recall, recognition and

positive attitude scores suggest that brand

managers are seriously looking at product

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placements in movies as a new vehicle for reaching

to consumers.

However, several issues need to be kept in mind.

Relevance of products to the situation needs to be

created- this is possible by incorporating the

placement planning at a script level, as practiced

in Bollywood. The brand managers also need to

guard against the clutter in the scenes- other

competing products of product category should not

be incorporated. They need to look in the future

where use of comparative brand placement will be

a reality.

As the Indian economy develops a global

perspective, Bollywood needs to follow suit. More

importantly, as Indian audiences become

fragmented into class specific segments, marketers

are faced with the more difficult task of

communicating their brand messages. Effective

and well thought of product placement appears to

be some solution.