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FACTS |
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| Product Placement Keeps Growing |
| Product placements for the first quarter of 2008 rose 6% on primetime programming for the 11 measured networks on broadcast (ABC, CBS, CW, FOX, MNT, NBC) and cable television (A&E, Bravo, HGTV, MTV, TLC). Broadcast television placements rose 39%, while cable television was essentially flat at -1%. There were 117,976 brand occurrences on cable and broadcast networks in the first three months of the year, according to Nielsen. The most prevalent placement type on broadcast television was "foreground," which represented 35% of all product placements. On cable television, "wardrobe" placements were most common, accounting for 32% of all placements. |
| Top Broadcast Television Programs |
| Prime-time product placement occurrences on broadcast networks increased overall by 39% during the first quarter of 2008. The top 10 programs featured 15,404 occurrences in the first three months of this year-compared to 8,893 occurrences in the same time period in 2007. "The Biggest Loser," with 3,977 occurrences, was the top program, in terms of the number of placements. Four of the top 10 programs aired on CW, and six programs had over 1,000 placements. Because of the recent writers' strike, many programs were shifted from their standard airing times. "Big Brother," which usually airs during the summer months, was moved up to the first quarter to fill in empty slots. "The Apprentice" also altered its normal schedule of episodes, airing the same number of episodes between January and March of 2008 as were run from January through April of 2007. In addition, "Deal Or No Deal" featured a special NFL-themed episode, originally aired in September 2007 and re-run in the first quarter 2008, which featured an NFL logo on the stage, NFL helmets throughout the set, and models and contestants clad in NFL apparel. That episode alone had 1,372 product placements. All other "Deal or No Deal" episodes during the first quarter of 2008 had less than 100 occurrences. |
| Top Broadcast Television Catagories |
| The top five product categories on broadcast network television had more than 1,000 placements each. Among these, Soft Drinks ranked first, with 2,502 placements. Of these, Coca-Cola accounted for 2,380. The Apparel, Fitness Centers/Clubs, Football Team, and Exercise Equipment also made the top five. |
| Top Cable Television Catagories |
| The top 10 cable programs that featured product placements accounted for 59,308 occurrences in the first quarter of 2008-an increase of 16% from 50,940 during the first quarter of 2007. "American Chopper" on TLC was again the top program, with 16,164 placements. Half of the programs in the Top 10 air on MTV, and another three air on BRAVO. |
| Top Cable Television Brands |
| The top 10 featured brands on prime-time cable network television in this year's first quarter accounted for 17,356 occurrences-a 28% increase from 13,501 occurrences in 2007. Under Armour Apparel was the top brand, with 2,960 occurrences for this time period-mainly through its association with the program "Real World Road Rules Challenge." Each brand in the top 10 placed more than 1,000 placements. Notably, the top performing placements were not heavy weights in terms of activity; these included Home Depot on the February 10th episode of HGTV's "Color Splash," Flow Power Tools on TLC's "American Chopper," and Hershey's integration on BRAVO's "Project Runway." Each impacted more than half the viewing audience in terms of brand recognition and positive feeling. |
Product placement in TV content boosts brand awareness by 20%.
Nielsen Media Research, "The Performance of Brand Placement in Television"
October 2006
Nearly 90% of DVR owners say they skip all or some TV commercials.
Piper Jaffray, 2007
Nearly 60% of viewers felt positive about brands they recognized in a placement.
Nielsen Media Research, "The Performance of Brand Placement in Television"
October 2006
DVRs will likely be in more than 50% of American homes by 2010.
Forrester Research, 2006
TV marketers enjoyed an 11% sales increase when their 30-second ads were preceded by a product placement before the commercial break.
Nielsen Media Research, "The Performance of Brand Placement in Television"
October 2006
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BENEFITS OF PRODUCT PLACEMENT
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Did you know?
Product placement in TV content boosts brand awareness by 20%.
The Performance of Brand Placement on Television
Nielsen Media Research,
October 2006
Did you know?
When DVR penetration reaches 30 million homes, 44% of marketers will spend more on product placement.
Survey, Association of National Advertisers, Forrester Research
April 2006
Did you know?
[It's] one of the fastest-growing segments… but it's largely unmeasured and difficult to track. The ability to bring some structure to it I think is overdue.Jack Myers, Ad industry analyst about Product Placement
Did you know?
Product placement appears at least as effective as a 30-second commercial in improving viewers' attitude toward a brand.
The Performance of Brand Placement on Television
Nielsen Valuation Study,
September 2006
Did you know?
Industry analyst Jack Myers expects branded entertainment to grow 35% in 2007 to $7.35 billion from $5.4 billion in 2006.Weekly Variety
January 2007
Did you know?
TV marketers enjoyed an 11% sales increase when their 30-second ads were preceded by a product placement before the commercial break.
The Performance of Brand Placement on Television
Nielsen Media Research,
October 2006
Did you know?
Nearly 60% of viewers felt more positively about brands they recognized in a placement.
The Performance of Brand Placement on Television
Nielsen Media Research,
October 2006 |
INTERESTING MARKETING FACTS
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An audio-only stimulus stays in the mind five times longer than a visual-only stimulus.
Roy H. Williams, The Wizard of Ads
Although 66% of program viewers were fully attentive to a particular segment of a show, only 53% could be classified as "watching" a given commercial.
"I'm sure I've purchased a product in the past just because I saw one of my favorite actors using it." (Female, late 30s)
GfK Roper Consulting, "Product Placement from the Consumer Point of View" September 2006
Sprint reported its website traffic quadrupled and brand recall increased 30% after a series of product placements, ad buys and preview content in Fox's 24.
Factoids - Content Providers
The majority of marketers feel that their top goal in 2007 is to quantify and measure the value of their marketing programs and investments.
CMO Council Marketing Outlook Report, 2007
"I think [product placement is] neat. It seems to bring an element of reality to a program." (Male, Teen)
GfK Roper Consulting, "Product Placement from the Consumer Point of View" September 2006
"It has become so mainstream to put the best cars in action movies. I think it adds to some movies." (Female, early 30s)
GfK Roper Consulting, "Product Placement from the Consumer Point of View"
September 2006
Although overall demand for TV has consistently increased over the last five years, time spent per channel has consistently decreased.
Bear Stearns and Media Dynamics, 2007
The average American home can now receive 106 channels, and yet the typical adult views just 14 in an average week. |
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