Product Placement Movie

8/13/2019 Product Placement Movie

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Pr o d u ct P l a cem en t i nM ov i e I n d u st r y

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Strategic Insights &Fashion Apparel Case Studies

2012


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Agen d a

1 Product Placement Overview in the Movie Industry 12 Product Placement in Movie Industry Fashion ApparelCase studies

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Pr o d u ct P l a cem en t Ov er v i ew i n t h eM ov i e I n d u st r y

Section 1

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Pw C St r a t eg y ad v i ses f a sh i o n c l i en t s i n def i n i n g t h ei r

m a r k et i n g st r a t eg i es

Section 1 Product Placement Overview in the Movie Industry

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BrandAwareness

Th er e i s a m u l t i p l i c i t y o f c h a n n e l s/ m ea n s fr om w h i c hconsum e rs can r ece i v e messages

P r o d u c tP l a cemen t

CustomerFidelisation

Sales increase

Global Reach

Stimulate aReaction

Seasona lI n s t r ume n t s

I n s t i t u t i o n a lI n s t r ume n t s

Emo t i o n a li n s t r ume n t s

Fashion shows

Media (TV, magazine, etc.)

Exhibitions

Catalogues

Sponsorships

Showrooms

Corporate Magazines

Testimonials

Pro du c t P l a c emen t s

Star Endorsements

Lifestyle activities

Shopping experience

Re l a t i o n a li n s t r ume n t s

Web site, social network, blog

Trunk Shows

Word of mouth (co-marketing)

Events


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H ow t o r ea ch a ca p t i v e a n d i n v o l v ed a u d i en c e?


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Product placement is aw a y o f p r omo t i n g a c omp a n y o r a p r o d u ct b y u si n g m o v i es a n d o t h er t y p e so f med i a t o a d v er t i s e t h e p r o d u c t or c om pan y . Product placements are often established by an agreement

between a product manufacturer and the media company, in which the media company receives economicbenefit.

V i sua l P l a cem en t - theproduct, service, or logo cansimply be observed for a fewmoments or seconds

Spok en P l acem en t - theproduct, service, or corporation ismentioned during the movie. Thishas a greater effect than visualplacement on viewers, becausethey can process the informationeven when they are not looking atthe movie screen.

P l o t / Usage P l acemen t -when an on-screen personalityinteracts or handles the productor service. A usage placementoften involves also a visual andspoken element.

Ty pes o fP r o d u c t

P l a c emen ti n m ov i e s

The Product(Placed product or brand)

The Consumer The Character

Valence of characters attitudetoward product

Strength of charactersassociation with product

Consumers attitude towardplaced product

Consumers attitude towardCharacter

Consumers parasocialattachment with character

The placementcan be as small asa coca-cola bottle

or as big as a

cruise ship or anNFL team(National

Football League).


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Pr o d u c t p l a cem en t i n t h e m o v i e i n d u st r y i s som et h i n g

t h a t da t es ba ck t o 18 96


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The Lumire brothers launched theirinvention on the market and in doing this,unknowingly, gave life to the first case of filmproduct placement.

In the movie "La sortie des usines Lumire"their factory is in the background as set for theexit of the wardens.

Only starting from the early 1950s, thephenomenon of Product Placement began tobe conscious usage tool.

In the movie The African Queen (1951)Humphrey Bogart and Katherine Hepburn arecaught with a bottle of Gordon's Gin.

Many believe that it is impossible to speak oftrue Product Placement before the case of

Reeses Pieces candy in Steven Spielberg'smovie "E.T.""extraterrestrial (1982) The placement of Hersheys Reese's Pieces

caused the sales of the candy to grow by 65%in 3 months

Because of drop in ticket sales prices andover- the-top film budgets, movie executivesbegan to rely on product placement as a wayto support the struggling film budgets

1900

1950

1980

Pos t1990

The Production companies receive various types ofmoney compensation for placing the product (fees,leasing discounts, etc.) and marketer brands andproducts benefit from exposure.

The value of product placement agreements hasgrown over time and today represents asupplementary form of production financing.


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Ad v a n t a g es f o r com pan i es a f t er a w el l d o n e p r o d u c t p l a c em en t


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Key advantages

With Product Placement the product can reach a large number of people over a long period of time. Exposure is strengthened by the fact that moviegoers are captive audience members. Cinemas or theatres

are designed to make the viewers focused - the dark environment, the almost-deafening sound and the way thechairs are arranged all contribute to the atmosphere allowing the viewers to pay attention to the movie.

1. Exposure

It refers to the number of times a viewer watches a movie.Normally some viewers expose themselves to amovie more than once. This number of times aviewer sees the product is even multiplied by the numberof times a product appears in the movie.

2. Frequency

This happens when a particular brand is seen when used by a celebrity. There areviewers who get affected by the personality of the celebrity using or even just holding the

product.

3. Sourceassociation

Product Placement, due to the wide coverage and multiple exposures per person, promises better

recall as opposed to products advertised on television.4. Recall

Product Placement , in a way, is capable ofbypassing some laws applied to traditional advertising. Forexample, liquor or cigarettes may be promoted without manufacturers getting penalized.

5. Bypassingregulation

Choosing the right movie for Product Placement can guarantee the effective reach of potential targets.Moreover, exposure to Product Placement in movies cannot be avoided (zapping is not possible, unlike fortelevision advertisements)

6. Targeting


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R i sk l ev el s i n p r o d u c t p l a c em en t a r e si g n i f i ca n t l y h i g h er t h a n

t h o se i n v o l v ed i n o t h er t y p es o f ad v e r t i s em en t s


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Key Risks

There is a possibility thatviewers wont even notice the product, unless the camera zooms in on the brandname or perhaps unless the main character plugs the products.1. Time of exposure

Movies do not allow detailed advertising like informing target market of the features of the product.2. Limited appeal

The expectation of the manufacturer may not materialize due to some limitations he has nocontrol over (for example, a Champagne brand placed in a movie expected to be out by December but delayedto February, or the target audience is different from the original plan).

3. Lack of control

Product Placement creates public reaction, and sometimes this is not favorable to the movie

industry (i.e. social concerns arising from Product Placement).4. Public reaction

High number of movies advertising brands: competition may make it tough for marketers to penetrate themovie that they select.5. Competition

Use of competing products in the same movie with opposite images. For example a movie on a murdercase in which the Pepsi logo is used noticeably as background in the scenes that show the bad guys and, on theother hand, Coca Cola strategically placed on scenes that show the so called good guys.

6. Negativeplacement


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Co l l a b o r a t i o n b etw een m ov i e d i r ect o r s a n d a d v er t i s i n g

m an ag er s i s k ey t o m a k e t h e Pr o d u c t Pl a cem en t d i f f er f r om an o r m a l com m er ci a l s sp o t


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I suggest that the marketer companies working in product placement would be involvedmuch more with the making of their own product placements in movies. This could be

done by ha v i n g t h e a d ver t i s i n g d i r ec t o r t h a t c o -o p er a t e s w i t h t h e m ov i ed i r ec t o r s o n how t h e p r o d u c t i s t o b e p l a c ed i n a n d m ake t h e p r o d u c t

p l a c em en t d i f f er f r om t h e no r m a l c om m er c i a l s sp o t .

Manager of a Production company

Cinemagoers are a captive audience, sitting there with theintention of being entertained. Thu s t h e a d ve r t i s er h a s

an i n c r eased chan ce o f ga i n i n g th e aud i ence s

a t t e n t i o n .

Manager of an Advertising Agency

We started to use the product placement as movieadditional source of financing since 2004, when thelegislative measure was introduced.... P r o d u c tP l a cem en t i s n ow a t o o l t h a t i s st a r t i n g t ob ec ome a s i g n i f i c a n t so u r c e o f f u n d i n g .

Manager of a Production company

After the Urbani Decree in 2004, t h e n a t u r a l d e v el o pm en t o f o u r b u s i n ess wa s t ot a k e c a r e a l s o o f p r o d u c t p l a c em en t , a sort of duty... We are of course very carefulto keep separate TV-related activities and those related to the movies.

Manager of an Advertising Agency


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M easu r i n g t h e ef f ect s o f p r o d u ct p l a c em en t

There is not one way to measure the effects of Product Placement in movies.

The measuring of the effect of product placement can be done by:

making quantitative and qualitative interviews through questionnaires about a companybefore and after a product placement (brand value/image measuring)

comparing sales revenues some months before and after the release of the movie.

By doing this, it is possible to evaluate if product placement has been successful even though themovie didnt get good ratings or vice versa.


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PwC point of view

Each P rodu c t P l a cem en t i n m ov i e s shou l d be f o l l ow ed by a set o f i n t e r v i ew s, ma de t o sel ec t edt a r g et p e op l e, t o a n a l y ze t h e imp a c t on b r a n d / p r o d u c t p o si t i o n i n g a n d t o d ef i n e a d d i t i o n a l

a c t i o n s t o r ei n f o r c e t h e m essage


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Pr o d u ct P l a cem en t i n ci n em a t o g r a p h i c w o r k s w a s r eg u l a t ed

i n I t a l y f o r t h e f i r s t t i m e i n 2 0 0 4 a n d r eg u l a t i o n w a sex t en ded t o t e l ev i s i o n p r o g r am s i n 20 10

Product Placement (PP) was legalised in Italy by the 2004 Decreto Urbani , that regulates for the first time PP incinematographic works.

Based on the Decree, the placement of brands and products in cinematographic works has to be clear, truthful and

correct and have to be integrated in a consistent manner with the narrative context.

Moreover, the closing credits of the movie containing product placement must inform the audience of the presence ofbrands/products, with specific details of marketers. Product placement of cigarettes, tobacco, weapons, and medicines is notallowed, and there are several restrictions for spirits.

In 2007 the European Union issued the Directive 2007/65/EC on Audiovisual Media Services (AVMSD).

Legislative Decree No. 44/2010 Decreto Romani, issued in adoption of Directive 2007/65/EC on audiovisualmedia services, introduced new rules on product placement.

Among the new provisions introduced by the Legislative Decree No. 44/2010, special mention must be made of the possibility ofusing product placement marketing, i.e., the promotion of a product during the scenes of a program in returnfor payment of consideration by the advertiser.The use of product placement is allowed in certain types of televisionprograms such as: TV films and series, sports programs and light entertainment programs. The details of the rules are entrusted toself-regulation procedures applied by the operators involved (broadcasters, producers and advertising agencies).


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Pr o d u ct P l a cem en t i n M o v i e I n d u st r y Fa sh i on A p p a r el Ca se st u d i es

Section 2

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Fash i o n Appa r el p r o du c t p l a c em en t s hou l d h a ve a l im i t e d t im e o f ex po su r et h r o u g h o u t t h e mo v i e o r s h o u l d g et t h e a t t en t i o n o f t h e a u d i e n ce d u r i n g

k ey m ov i e scen es

Section 2 Product Placement inMovie Industry Fashion Apparel Case studies

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PwC point of view

B r a n d s / P r o d u c t s a n d / o r d esi g n e r n am es sh o u l d b e m en t i o n ed o r sh ow n du r i n g t h e r u n t im e o ft h e m ov i e f o r no l on ger t ha n a f ew seconds i n a si n g l e scene ( t h e key s cene i f pos si b l e ) o r

t h r o u g h o u t t h e m ov i e.

T h e i n v estm en t i n P r o d u c t P l a cem en t m ade b y m a r k e t er s sh o u l d b e mea su r ed e v a l u a t i n g t h ef i t t i n g o f t h e t a r g et a u d i e n ces w i t h r esp ec t t o t h e b r a n d / p r o d u c t t o p r om o t e

Fashion Apparel

Automotive Vehicle

Electronics

Throughout the movie

1 Scene

Multiple Scenes

Throughout the movie

Few Seconds(less than 10)

Many Seconds(more than 10)

F re quen cy V i ew i n g t im eT ype o f p r o d u c t

SuccessfulProduct

Placement


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J am es Bon d m ov i es r ep r esen t a c l ea r ex am p l e o f f u l l p r o du ct

p l a c emen t

The most used products of all times in the James Bondmovies are Sony, Omegawatches, Brioni suits as well ascars which includeAston Martinand BMWto name a

few.

Even though the names of the products are not mentioned,logos and symbols tell the viewer what the products are.


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James Bond - The World Is Not

Enough (1999)

"James Bond - Quantum ofSolace (2008)

"James Bond - Casino Royale(2006)

PwC point of view

The p l a c em en t s a r e n o t d i s t u r b i n g a n d a r e i nt h e mov i e t o su p p o r t t h e r e a l i t y .


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Eu r o p ea n co u t u r i er s w er e co n t r a ct u a l i s ed b y H o l l y w o o dp r o du ct i o n com pan i es, betw een t h e 1920 s an d t h e 1930 s, t o d esi g nm ov i e scen es cost u m es (p r odu c t t i e -i n s) . The f i l m fa sh i on s o ft o d a y a r e y o u r f a sh i o n s of t om o r r ow E l sa Sch i a p a r el l i


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G l o r i a Sw a n s ondressed by Chanel for

Tonight or Never (1931)

Chanel made costumesfor Resnaiss Last Year at

Marienbad (1961)

I n t h e ea r l y 3 0 s , Gab r i e l l e(Coco ) Chan e l s igned

c on t r a c t w i t h Me t r oG ol d w y n M a y er , w h enSamu e l Gol d w y n , d u r i n gt h e Dep r e ss i o n , t h o ugh t h ecou ld i nc r ease box -o f f i cer e v e nue b y p r om i s i n gPa r i s f a sh i o n s i n h i s f i lm s

Jeanne Moreaudressed by Chanel for

Les Amants (1958)

During her work in Hollywood, she wore M ae W est (Every Days aHoliday [1937]) using a mannequin based on West's measurements,

which inspired the torso bottle for Shocking perfume

Sch i a p a r el l i d es i g n ed t h e w a r d r o b e f o r s ev e r a lf i lm s , s h e w o r k ed on 29 B r i t i s h , F r e n c h andAm er ican p r oduc t i ons betw een 1931 and 1952

M a r g a r et L oc kwo o d inThe Beloved Vagabond

(1936)Anna Neag l e inLimelight (1936)

Costumes for ZsaZ sa Gabo r in

Moulin Rouge (1952)


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F r om t h e 1950 s on , m ov i e s st a r t t o a ct l i k e sedu ct i v e st o r ef r o n t s f u l lo f cl o t h i n g a n d st y l i sh c o n sum er g o o d s


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H ube r t d e G i v e n ch y a ndAud r ey Hepbu r n s success fu l

c ol l a b o r a t i o n o n f i l m s

Sabrina (1954)Edith

Head, who designed thecostumes in

Roman Holiday just theprevious year, was

substituted by the starsand directors decision toacquire an actual Pariswardrobe for Sabrina

Funny Face (1957)

Breakfast at Tiffanys (1961)

little black dress look

Marlene Dietrich wearingDior in Alfred Hitchcocks

Stage Fright (1950)

Ren Clairs Le silenceest dor (1946)

Jean-Pierre Melvilles Lesenfants terribles (1950)

Ch r i s t i a n D i o r d e si g n ed f o ra r el a t i v el y sma l l a n declect i c ser ie s o f f i lm s
http://www.lederniercri.it/wp-content/uploads/2012/01/icon-dress-movie_breackfast-at-tiffanys_black1_lederniercri.jpghttp://cabinarmadio.style.it/files/2011/12/Givenchy_Audrey.jpg


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Du r i n g t h e 19 6 0 s a n d t h e 19 8 0 s, b o t h f a sh i o n a n d f i l m cr ea t edi l l u si o n s , d r eam s a n d f a n t a s y im ag es


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Yve s S t L au r en tBelle de Jour' (1967)

Yve s Sa i n t L au r en t d e si g n ed t h eou t f i t s fo r Ca th e r in e Deneuve scha r act er, Sver in e, i n Bu uel ss u r r ea l i s t Be l l e d e Jou r .M r s Deneu ve r ema i n e d Yve s Sa i n tL a u r en t s muse un t i l h i s d ea t h

Paco Raban ne'Barbarella' (1968)

Ra l p h L a u r e n - 'The Great Gatsby'(1974) and 'Annie Hall' (1977)


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Ove r t he l a st d ecades, a f t er t h e 198 0 s, w e ha ve seen m an y exam p l eso f f a sh i o n p r o d u c t p l a cem en t i n Am er i c a n m o v i es w i t h s p eci f i c b r a n dm essag es


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American Gigol (1980)Armani Product Placement

The Devil wears Prada(2006) Chanel Product

Placement

The Proposal (2009)Hermes Product Placement

Top Gun (1986)Ray-Ban Product Placement

The Wedding Planner (2001)Gucci Product Placement

The Tourist (2010)Salvatore Ferragamo Product Placement

ATTENT ION TO D ETA I LS

PERFECT F IT

COOL GUY YOUNG CL I ENTS -TOTAL LOOK

SOPHIST ICATEDWOMAN

CAREER AND E LEGANT W OM AN
http://fashionsensation.files.wordpress.com/2011/01/the-tourist-angelina-jolie-5.jpg


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The t o p m o v i es i n r el a t i o n t o t h e p r o d u c t p l a c em en t - 2 6 d i f f er en td esi g n er s m en t i o n ed i n t h e tw o m o v i es Sex a n d t h e Ci t y a n d i nSex an d t he Ci t y 2


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Sex and the City (2008) Sex and the City 2 (2010)

PwC point of view

T o o m a n y , t o o mu c h

I t l o o k s mo r e l i k e a na d v e r t i s i n g s p o t


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A t t h e b eg i n n i n g o f M en i n B l a ck 3 ( 2 0 12 ) , a p u ssy ca t d o l l w i t hzi p p e r s g o i n g a s l ow a s h er h i g h h eel s b r i n g s a d eco y -ca k e i n L u n a rM a x p r i so n f a ci l i t y i n o r d er t o f r ee t h e v i l l a i n o f t h e st o r y : B o r i s


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PwC point of view

Ch r i st i a n L o u b o u t i n s t y l e p er f ec t l y f i t s w i t h t h e ch a r a c t er t h a t l o o k s v er y sen s u a l a n d a g i l e i nhe r h i g h heel s boo t s

V i s u a l P r o d u c t P l a cem en t , i n t h i s c a se, i s a t t h e b eg i n n i n g o f t h e m ov i e i n a m om en t o f h i g h

aud i en ce a t t en t i o n

Documents

Product Placement Movie