Product Placement in Marketing

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Product placement is a type of hidden advertising. In Europe, such advertising is monitored and regulated by law, for example, in children's, documentary and news programs, the use of product placement is prohibited. But often, the mention or display of branded products in the frame can look so organic that it is extremely difficult to track.

The most famous example is cigarettes. The success of the advertising campaign with the placement of tobacco products in Hollywood films of the thirties and forties of the twentieth century was truly phenomenal and continued for almost the entire second half of the last century.

Interestingly, the beneficiaries were both individual tobacco companies and the tobacco industry as a whole. Regardless of what brand of cigarettes were shown in the frame, the viewer still had a subconscious desire to imitate the main characters of their favorite works and use the product.

Only in the early 2000s of the current century was the number of smoking scenes in films and TV series significantly reduced. And in the Russian Federation, the demonstration of cigarettes and the process of smoking tobacco products was prohibited at the legislative level.

The digital segment, namely streamers, bloggers and authors of channels and chats, are wordpress web design agency currently practically not subject to Russian legislation in terms of regulating product placement. And, although formally they are subject to the law on advertising, product placement of goods prohibited by law, such as alcohol and tobacco, is encountered here.

After all, in order to track down and punish all bloggers who violate the law, it is necessary to conduct a verification procedure and draw up a protocol, and then impose a penalty. No resources will be enough - the flow of information is too great. So, unlike official TV channels or film distribution, such platforms are practically not subject to censorship.



What can it be used for?
Product Placement in Marketing

Product placement technology does not lead to a direct and explosive increase in sales of a specific product and is aimed, rather, at increasing brand awareness. The positive effect of using this tool can accumulate over the years. However, upon reaching a certain level of citation and brand awareness, the effect of product placement can repeatedly cover all preliminary costs of conducting such campaigns.

In relation to films, series and programs, this technology has been widely developed and its effectiveness is beyond doubt. As for modern formats of interaction with the audience, such as blogging, streaming and the like, there are their own varieties of product placement.

1. Advertising integration: posting promotional materials in the form of text, video or other format on the artist's channel with a mention of the brand name, the name of a specific product, a description of its advantages. In some cases, a direct link is added leading to the seller's page and a special promo code that allows you to provide buyers with a discount and track the effectiveness of a specific placement.

2. Brand ambassador: a major blogger uses the brand's products in everyday life, constantly demonstrates their use on camera and periodically emphasizes the positive aspects of the promoted product or service.

Strictly speaking, integration placement and ambassadorship are not related to product placement, but they operate using the same technology. This is especially true for brand ambassadors, who generally use product placement over a certain period of time in their media materials.

The whole point is that the principles of the ratio are slightly different here. If we are talking about the placement and mention of a brand in a major Hollywood film that is released worldwide and reaches hundreds of millions of people, then in this case it is enough to literally flash in the frame for the brand name to firmly enter the consciousness of the audience. Bloggers in this sense work a little differently: they do not release one information product for a multi-million audience, but constantly release new ones.

In this sense, content is generated regularly, and the information field is quite overloaded and the value of each individual unit of such content is reduced. Therefore, instead of a one-time broadcast and perpetuation in some monumental masterpiece, multiple contacts with the audience and periodic mentions and demonstrations of products in the frame are used.

So it is safe to say that ambassadorship is an adapted version of product placement for digital platforms. And if you don’t have time to wait for the result, which can accumulate over the years, and you need to conduct direct sales of a specific product or service, you can use placement with bloggers using the payment for actions system.

This format belongs to the category of advertising integration with the only difference that here payment is made not for the number of views of one specific publication, but only for specific users who have performed the target action required by the advertiser. This approach allows you to make the reporting system as transparent as possible and optimize the costs of the advertising campaign, having included the cost of attracting a specific client in the advertising budget in advance. You can use this service on the Perfluence exchange.