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Why Use Product Placement?
Home » Advertising & Marketing » Product Placement » Why Use Product Placement?Posted by Your Guide on October 11, 2006 9:28 PM
Product placement has become popular for a variety of reasons. The first reason is advertising fragmentation. With the addition of hundreds of new television stations, advertisers find it harder and harder to communicate to their target market simply because there is no telling what their target market will be watching during prime time any more. Advertising dollars are often wasted on expensive commercials that used to reach millions, but now the market is so fragmented that you do not know who you are reaching.
Also, an important deterrent of traditional advertising through commercials is the popularity of TiVo and similar digital video recorders. These devices allow viewers to skip the commercials altogether and never see the ads that have been paid to play. This is requiring the advertising agencies and marketers to become creative in their forms of advertising.
Another advantage to having your product featured in a show is that it can be used in a real-life scenario, which can call attention to the several features of a product that a short commercial spot doesn't have time to do.
Today, there is a growing trend of manufacturer-sponsored television shows. This means that a certain company chooses to sponsor or co-sponsor the entire show. The most notable example of this happening is the popular reality show, American Idol. Regular viewers know that the show is sponsored by Ford, Coca-Cola and AT&T Wireless. By sponsoring the show, their commercials are run during intermissions, the judges sit behind large Coca-Cola cups and drink from them each and every show, voters who want to text their vote can only use AT&T cell phones that the show's host mentions every instance when it is time to vote, and Ford uses the contestants to create commercials for the company that are attractive to the young, trendy and fun audience. If this weren't enough, the website also mentions these sponsors and products and dedicates certain spots for them to develop on their site.
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